Selling Art in a Tough Economy

I read a lot of doom and gloom about the long-term status of the economy. Few pundits are optimistic and the spreading popularity of the “Occupy Wall Street” movement suggests that even those of us at the base of the economic pyramid are worried as well. This pervasive economic pessimism is going to affect art markets – globally and locally. Artists, like all other “manufacturers,” must have adaptation strategies for times like these.

I remember the first time I saw a TV ad for an automobile that offered “employee pricing.” A substantial portion of the ad involved the company explaining what “employee pricing” was. Then, it was a dramatic acknowledgement of tough economic times. Now that phrase pervades car price advertising and there is no longer any need to explain what it means. What was once an adaptive novelty price is now an accepted (and expected) one.

Consumers seek price reductions when times are tough, but savvy manufacturers are careful to provide discounts rather than price reductions. Price reductions are “invisible” unless they are advertised with original pricing and it is hard to put prices back up. Discounts, however, can be time-limited, qualified and do not require a change in pricing. Discounts provide a far greater psychological incentive for customers than do price reductions when it comes to selling art. And make your discounts event- or time-specific.

Another change in professional practice that is a good idea is to create work that takes less time to make, or to do some multiples – doing either can produce inventory at lower prices thereby protecting the prices of existing work. Or selling on installment with consumers you know and trust is another effective idea to consider in lean times. Monthly or bi-weekly payments can be easier for some customers and have little negative impact on you. Or you can rent your work out.

Gertrude Stein said something like, “If you want to become blind to a work of art, buy it.” She had her friend, Alice Toklas, change the location of their collection on their walls frequently to help keep her awareness and appreciation for the work alive. Art rentals [i.e when you rent your art to people] can very effectively serve clients who like a frequently changing environment. But don’t just rent a piece; think of what you are doing as operating a service and offer your rental clients the right to exchange pieces over the tenure of your contract.

And you can use your artwork like money. Barter with it. One of the more active barterers I have ever known was Toni Onley who was certainly anything but “starving.” It was just something he learned to do early in his career and he never stopped. Another artist I met began bartering when she was faced with a bill for veterinary services she could not afford. Necessity pushed her to try bartering for part of the fee, and her veterinarian was receptive.

When the global economy was shaken up in the 70s, one enterprising artist took everything – I mean everything – off her walls and totally de-cluttered the main floor of her home and turned the walls into her art gallery. She labeled and priced everything as though she was running a professional space and just continued on with her life. There was a quick and dramatic effect and, as she increased her entertaining, she increased her sales. It was subtle and effective; she did not push sales, her work sold itself to her friends.

The point is, the larger the role that sales plays in your career, the more you must consider change if the economy does what it is predicted to do. You can’t carry on as we did during this millennium’s first decade and expect the same outcomes. Sometimes, a bold strategy in tough times is to find new markets or to create new products. Here are some strategies for the bold and confident artist:

1. Move “up market.” This is a great strategy if you have a methodology for reaching people or professionals who still have a lot of disposable income.
2. Leave your gallery and being represented in order to sell directly and avoid paying a commission. During recessionary times, galleries often suffer.
3. Assess your future with your gallery with an open mind – especially if you have a large network and roster of past customers.
4. Consult. One of the greater problems artists face is that they must be good at so many things. You need writing expertise, financial skills, advanced computer skills, communication and publicity skills and sales and marketing expertise. Rarely do the artists I know excel in all these fields yet learning from other professionals is not part of their practice. Some investment in learning about sales and marketing is very wise in tough economic climates.

To end on a positive note, Howie’s Brainfood website (http://brainfood.howies.co.uk/) recommends taking a positive approach to recessions because they:

1. Provoke creativity.
2. Force you to make tough decisions.
3. Thin out the competition.
4. Make you remember not to take things for granted.
5. Remind you that real wealth is not what you own.
6. Make it easier to abandon “business-as-usual.”
7. Bring you back to basics.
8. Promote efficiency.

(If, however, you are doing well and want to do better, consider networking with me and other artists on the one-week Art Marketing Cruise to Alaska in May. Details at http://vancouverartcruise.blogspot.com or call 604-940-4766.)

To comment on this article, you can post one here or write to Chris at ctyrell@shaw.ca.

Chris Tyrell is the author of Artist Survival Skills and Making It!, an arts writer and educator. His popular opinion pieces have appeared in our newsletter since its first issue in 1986.
Visit his website, www.christyrell.ca, or his art marketing blog http://visualartmerchandising.blogspot.com, to learn more.