UBS Art Market Report: What It Means & New Collectors
Art Basel, UBS, and Dr. Clare McAndrew come together every year to create The Art Market Report. Clare McAndrew owns the company Art Economics, which examines the ecosystem of the art market as a whole. The report summarizes the key moments of the art market, such as who is collecting, how much is being spent, where the largest art buyers are, and the tastes and trends of the year. The report can tell us a lot about what types of artists the market is favoring and what direction it may be headed in in the following year.
Key Takeaways about The Overall Art Market (UBS Art Market Survey 2022)
Imports of arts and antiques increased by 41% in 2021 and exports were up 38% - trends predict new cross-border trade records for 2022
HNW Clients were optimistic about the global art market (78%)
Spending in 2022 showed strong confidence in the market (median expenditure of HNW clients was $180,000) - higher than pre-pandemic
Buying at higher prices increased: HNW clients buying over $1 million doubled since 2019
Digital art (NFTs) accounted for 17% of the total art market expenditure
Art Fairs: 74% of HNW collectors purchased at an art fair in 2022
Galleries: 93% of HNW collectors bought through a gallery or director online, directly, or at a fair
Environmental impact of art collecting is a growing concern (digital art is a strong option after the recent environmental improvements back by ETH, as it negates shipping and transportation, comment by Elise)
The number of countries importing / exporting art has expanded significantly, increasing sales and helping the market avoid recession due to greater geographical diversification
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Size of High Net Worth Collectors’ Collections
As you can see, France, Brazil, Italy, and the US are leading in terms of share by location and median number of works.
Image belongs to Art Economics.
Millennial and Gen Z Spending on Art (UBS Art Market Survey 2022)
Price Levels by Generation in 2022 (see graphic)
Share of HNW Collectors Expenditure by Medium in 2021 vs. 2022 (see graphic)
HNW Collector Median Expenditure on Digital Art (see graphic)
Median Number of Digital Art Works with NFT Bought by HNW Collector and Generation of Collector (see graphic)
All images belong directly to Art Economics.
The Length of Time Collecting
As you can see, the majority of time collecting has been 10-20 years. Here at Next Up Collectors we are hoping to see that change!
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Share of Works Held in HNW Collectors’ Collections by Medium
I find this particularly fascinating, yet expected. What do we, as the art industry, need to do or change to encourage a wider range of mediums? How do we increase digital art collecting, or photography, or sculptural?
Image belongs to Art Economics.
HNW Collectors’ Most Common Price Range
Although the graphic is covered, under $50K is very common and the most common price point for individuals, with the next being $50-100K. We hope to continue to see this trend as we encourage the next generation to collect.
Image belongs to Art Economics.
So Now What?
This data teaches us many things - it shows there is still a long way to go to get the newest generation to collect, but that they are starting to engage with the market. It suggests people continue to gravitate towards works on paper and canvas, with the need to explore new mediums, whether that be digital or otherwise. It continues to demonstrate the lack of accessibility of the art market, with the geographical locations of the buyers continually in the West and in Asia. How do we increase accessibility and knowledge of the art market in other areas? Of course, this question is more complicated, as other factors such as general wealth, cost of living, access to resources, and quality of life play factors in one’s ability to purchase art in the first place.
To learn more, read The Art Market Report in its full, available for free download here.
