Confidence is returning to the Australian Art Market
Despite the enormous results in the major art markets of the world with US$1.5 billion of art sold in the last two weeks alone, the Australian market has lagged behind. Confidence is the driver of growth, and we are only now seeing the tide turn positive after a sustained flat period post-GFC. To place it in context, Australian auction rooms have generated sales of $77.4million thus far in 2014 – less than 5% of the turnover witnessed in New York in the last two weeks alone. In 2013 the global art market was worth $67 billion. Australia’s GDP is estimated to be 2.5% of global GDP. If the Australian art market represented 2.5% of the global art market, it would be worth $1.675 billion!
History proves Australia often follows global markets by a substantial period of time, but focus is growing in the domestic market. Australia’s love affair with property dictates broader confidence often follows property prices; if this translates to art as it has in previous cycles, there is a massive opportunity to be realised in contemporary Australian art over the coming decade.