December 6, 2006

Dear Young Collector,

As you probably realize, the international art world has become a spectacle unlike any other. Auction madness in New York and London seems to have peaked in the last number of years, with records being set as new collectors from China and Russia in particular enter the market. A few weeks ago, for example, the highest price ever for a contemporary art work – 27 million US – was paid for an abstract painting from 1977 by Willem DeKooning.

Willem DeKooning, Untitled xxx, 1977. Image: IHT.com

Andy Warhol’s silkscreen of Mao – similar to paintings that you might have seen at the recent AGO Warhol exhibition – sold to a Hong Kong collector for $13.37 million US.

The international art craze continues in Miami this week. “Miami” in the art world used to mean Art Basel Miami Beach, the American outpost of the most prestigious art fair in the world, which is held each June in Basel, Switzerland. Now Miami art week includes at least eleven art fairs, and has become a place for major collectors as well as those looking to discover the hot new thing.

Image: wochenpostusa.com

At the most prestigious fairs – essentially glamorous trade shows - galleries can pay in the region of $40,000 for a small booth – although that figure can vary widely due to insurance, shipping etc. It seems like a huge amount until you realize that many of the galleries sell paintings in the $50 – 100,000-dollar range. So they’d only have to sell one or two paintings to cover their costs.

Image: Geringgallery.com

The fairs are usually accompanied by special events, champagne receptions, private viewings and dinners – all in order to allow the collector to meet the right people, have the right conversations and make him or her feel that his money has been – or will be – well spent.

About eighteen Canadian galleries have gone to Miami this year. A few participate in Art Basel Miami Beach, others in the smaller, less expensive satellite fairs. For collectors, it is one big party and a superb networking opportunity.

Image: Techtour.com

Don’t be fooled, though. Most serious collectors have an idea of what they want to buy long before they get there. They may have been in discussion with the dealer about a particular work, with the proviso that they see it “one last time” before they buy. The fact is that many collectors like to buy in public, and it’s a great conversation starter in Miami…

For the young collector like yourself, art fairs like Miami don’t offer an ideal environment. Many galleries don’t bring their best work (except pieces that are practically guaranteed sales.) And there is so much to see that it can be overwhelming, making it difficult to make quick decisions. But young collectors can get some use from these fairs.. I would encourage you to go. Walk around; see what catches your eye. Then go home and do some research.

If you are interested in art fairs – and they’re a great excuse to travel – some to look out for are Art Basel in Switzerland in June, Frieze in London in October

Image: Graphicthoughtfacility.com

and the Armory Show in New York City in February. Less huge, but still respected fairs are ARCO in Madrid also in February, MACO in Mexico City in April, Chicago in April and Art Forum Berlin in early October.

The big fairs, with so much art, are hard to get to grips with for anyone but the best-connected collectors. It’s a better idea to start by visiting galleries in your city, or a local fair like the Toronto International Art Fair. (October 25 – 29) which are smaller and relatively unintimidating.

Collectors who are starting out in Canada are in a fortunate position right now. Why? Because Canada’s art market is undervalued. Lack of media exposure, lack of information to the general public and artist support networks like artist-run centres, representation agencies, galleries and government granting programs mean that artists can, and often do, create excellent work under the radar.

What creates value in a market? Demand. Demand through media exposure. There are world-class artists in this country but people aren’t clamoring for their work yet because they don’t know about them. But that is already beginning to change. Some artists go to New York or London to launch their careers. An example is installation artist David Altmejd, who divides his time between Montreal and New York.

Image: Artnet.com

He is creating a buzz in the States and will represent Canada at next year’s Venice biennale. He isn’t represented in Toronto, but will have a solo exhibition at Oakville Galleries from Jan 27 – 25 March, which I highly recommend going to see. Another way that the market is expanding is that more Canadian commercial dealers are appealing to an international clientele, too. Witness all the Canadians in Miami.

Here in Canada, we need to encourage interest in the arts, and we can’t rely on the mainstream media any more. That’s why I host a seminar series for young collectors, and that’s why I am here.

I’ll write more next week, Young Collector – I’ll send you some tips on starting a collection, including places to go and artists to watch out for.

With fondest wishes,

VoCA

p.s. Just drop me an email if you’re interested in the seminar series…