Discover the growth factors
The 2018 Report of Hiscox Art Online Trade with Art Tactic has shown a continuous growth in online art sales.
Artists, Galleries and Auction Houses, are increasing their online presence in the market, with a positive response from the collecting world.
A new approach to buying that offers important opportunities for all the protagonists of the art market that has become global.
Also for these new forms of market it is essential to have a “online” due diligence strategy to verify:
- The security of the platforms where contacts with auction houses, galleries and artists take place
- Information about the work (origin, certificate of authenticity, condition report)
- Protection of personal data during payment
- Shipment conditions
The Hiscox Art Online Trade report data shows that the online market amounts to $ 4.2 billion, almost 8% of the global market amounting to $ 64 billion, recording a growth of 12% in 2017, although slowed compared to 15% in 2016 and an increase of 24% in 2015.
In a market that is expected to reach trade for $ 8.37 billion by 2023, the analysis reveals interesting factors and concrete answers to the consolidation of the online market:
- THE TRANSPARENCY OF PRICES: 90% of new collectors consider it essential to go beyond this obstacle, in an offline market deemed “opaque” of information on the economic value of the works;
- THE WEIGHT OF INSTAGRAM: 61% of respondents indicated Instagram as the most effective platform to make purchases, preferred by collectors under 35, 79% of whom declared to discover new artists while 82% considered it as a way to follow the progress of the artists already present in their collections;
- WHITECUBE 2.0: today, three quarters of the world’s art galleries, up from 49% in 2017, use online platforms to diversify sales such as Artsy and Artnet;
- NEW TECHNOLOGIES: 64% of the sector operators believe that the Blockchain represents the future of the art market for overcoming problems such as authenticity, price manipulation and lack of transparency.
The online art market is therefore a great opportunity, although, but not unlike other markets, to be managed with due precautions, to live a truly international art world.