Major Auction Houses Experience Significant Sales Decline in 2023
In a year shadowed by significant downturns, Phillips, one of the three principal auction houses, has reported a 15 percent drop in auction sales in 2023. The decline in sales, which slumped to $840.7 million from $1 billion the previous year, is reflected in the sale of Phillips’ top five works. These masterpieces, which fetched $173 million in 2022, managed to bring in only $87.6 million in 2023, marking a stark 50 percent decrease.
Art Market in a Slump
The sales slump is not confined to Phillips alone. Christie’s, a fierce competitor, also experienced a 30 percent decline in auction sales, skirting just over $5 billion in 2023, a severe drop from $7.2 billion in the preceding year. This downward trend seems to have impacted the broader art market, with auction sales plummeting $2.3 billion from 2022, according to ArtTactic, a respected art market analysis firm.
Sotheby’s Yet to Reveal Figures
While Phillips and Christie’s have disclosed their financial health, Sotheby’s, another key player in the auction market, has yet to release its sales figures for 2023. The anticipation surrounding these numbers is palpable, given the overall market trends.
Phillips Restructures Amid Downturn
In response to the downturn, Phillips has restructured its operations, consolidating its presence in Los Angeles and concurrently expanding its specialist team in Asia. This strategic shift, it hopes, will help it navigate the choppy market waters. Although Phillips refrained from providing figures for private sales, it is crucial to note that these sales have shown growth in previous years. In 2022, private sales swelled to $250 million, a substantial increase from $208.2 million in 2021.
Despite the turbulence that the market has been facing, the demand for art remains unscathed, especially in the lower price points. The resilience of the art market is a testament to its enduring appeal and the undying human fascination with beauty and expression.
