Art market in upheaval: sharp decline in auction sales!

Art market in upheaval: sharp decline in auction sales!

The global market for contemporary art is currently under considerable pressure. In 2024, auction sales for works created after 2000 fell by 27 percent. This represents a decrease from $956 million to just $698 million. Comparing these numbers with the peak in 2021, the decline is even 41 percent, which is alarming for many market participants, such as Cash Online reported.

A particularly pronounced decline can be seen in high-priced sales. In contrast, sales of artwork valued under $50,000 increased by 20 percent. This shift shows that buyers are increasingly looking for more affordable options. At the same time, the presence of young and female artists on the auction market has increased, indicating a positive development in diversification.

Changes in buyer behavior

Buyers are increasingly placing more value on established artists and are becoming more cautious when making purchasing decisions. This selective purchasing behavior could indicate that the market environment is changing and buyers are seeking more security in their investments. According to the current “Hiscox Artist Top 100” report (HAT 100), the average resale value of works of art created after 2000 is slightly negative for the first time in years. There was a decrease of 0.3 percent compared to the previous year, which is another indication of the current market situation.

The need to protect against unforeseen losses, such as damage, theft or transport problems, is becoming increasingly important in the current market situation. Janna-Lena Baierle from Hiscox emphasizes that special insurance can offer stability and security for artists and collectors, which is particularly important for long-term planning.

Market development and trends

The art market is therefore experiencing a significant reset. Although values ​​are falling, the HAT 100 report also shows that sales, in terms of the quantity of works auctioned, increased by 5 percent. This suggests that there is increased market activity despite the bearish price trends. A record number of artists have offered their works at auction, showing that the desire for visibility and market penetration among artists continues.

Overall, the report shows that the contemporary art market is facing a significant transformation. Buyers are adapting their strategies and taking a keen interest in the developments and trends shaping this dynamic sector, as well ArtTactic determines.