Difficulties in the art market: buyers do not enter the market, the sellers do not have confidence to shoot

Starting from the autumn auction last year, the Chinese auction industry entered its third adjustment period. Due to the impact of tariffs during the spring auction this year, large buyers rarely enter the market, funds are difficult to enter, and large works of art rarely appear. Last spring Compared with the auction, the total turnover fell by about 50%. Behind the rapid development of the Chinese art market and the world's top number of transactions, the auction industry in China has suffered from ills, and the auction companies have struggled. After experiencing a downturn, how did the Chinese auction industry get out of its predicament? Now it is time to reflect and summarize.

Recently, several major auction companies in the Mainland announced that they would go to Hong Kong to conduct business. However, after moving to Hong Kong, they faced overseas largest competitors, Christie’s and Sotheby’s. How should auction companies operate? It is easier for Hong Kong to move to Hong Kong and collect lots in Hong Kong and Taiwan and Europe and the United States, but it is more difficult for truly wealthy buyers to concentrate on collecting large numbers of Mainland collectors in Hong Kong. Moreover, in the process of business transfer to Hong Kong, auction companies are in urgent need of solving the problems of business decentralization, establishment of new buyers and sellers, and import and export tariffs. In addition, how can mainland auction companies establish pricing standards in Hong Kong? In the face of competition, we stand and survive in a short period of time. This is a preliminary test of the auction company in Hong Kong.

“After the Ullens Contemporary Art auction in 2010, the contemporary art market began to decline. In the past two years, the number of contemporary artists whose works can be traded is very small, the unit price is hard to reach new heights, and it is not the same as the rush of the peak period. language."

Some galleries and auction companies have turned their aim to “post-70s” and “post-80s” artists because the price of the previous generation of artists’ works is too high and the prices of these new artists’ works still have room to rise, but for auction companies, the middle and low end Works at a price point have very little profit.

Almost all transactions in the Chinese contemporary art market are based on investment. The reason for the rise in prices is that the capital's approach is up, rather than the preferences of collectors. The primary and secondary markets have been seriously upside down for a long period of time. Galleries and artists have not established a real agency system, and they lack the appreciation and acceptance of contemporary art and the true foundation of collectors.

In comparison, the European and American contemporary art market is getting bigger and bigger. Christie's total global transaction volume in the first half of 2012 was as high as 3.5 billion US dollars, of which the contemporary art section accounted for a major share. In the context of the European debt crisis, contemporary art can continue to grow steadily. This is the result of the long-term development of galleries and auction companies, and the popularity of aesthetics and appreciation of knowledge. Regardless of the economic situation, collectors will continue to enter the market.

In contrast, the Chinese art market is still a regionalized Chinese market. Modern paintings and calligraphy are really supportive forces, but counterfeit goods are too many fakes. In the long run, buyers do not enter the market and sellers do not have confidence to shoot.

For the auction company, relying on two major seasons to maintain the survival of the auction itself is a test, how much commission can actually earn? Can we maintain the normal operation of the company? In this situation, the art market system had to be changed. The author personally believes that the changes in the auction market in the next two years will be very large. This change will allow galleries to enrich their dominance. The auction company needs to actively reflect on how to cooperate with galleries.

Now everyone is rethinking and re-recognizing the issue of the Chinese art market. However, the author is still optimistic that the future development space for the Chinese art market is still very large. In the long run, the Chinese art market is not a single market because of the large number and variety of works of art, and the unit price is not more than 1 million US dollars, so the room for price increase is still large, plus ancient paintings, modern paintings, There are still great potentials in the four major sections of porcelain miscellaneous and contemporary art. The rotation of the plates will continue to bring vitality to the market.