The traditional gallery model is in decline, according to a new report by the non-profit dealers’ federation Cinoa (Confédération Internationale des Négociants en Oeuvres d’Art), which found that fair-led and online business is taking over as the main source of revenue.
Gallery visits are declining as the art market expands to new international centres served better by art fairs or electronic media.
“We do much more business at the fairs than at the gallery—no question,” said Dominique Lévy, the co-director of L&M gallery.
András Szántó, consultant and contributing editor to The Art Newspaper, said: “The fairs have done very well in exploiting a structural weakness of the gallery system—it is inchoate and based on local markets.” With the withdrawal of those markets during the downturn “the overall weight has shifted to clients who don’t live where you work—so you service them through art fairs,” said dealer David Zwirner.
According to a recent report from Capgemini, the Asia-Pacific region has overtaken the west in terms of the number of individuals with investable assets worth $1m or more. It is no coincidence that the Hong Kong art fair, Art HK, in which Art Basel bought a 60% stake in May, attracted such a stellar line-up of western dealers this year.
The Art Newspaper