Wise to Art

The American Art Dealers Association publishes an online beginner’s guide to art collecting where their vision of the on-line marketplace is set out. Not surprisingly and for obvious reasons they are in general against buying art on the Internet.

It is true that this new medium threatens the classical (and often costly) intermediaries, who are not always as professional or useful as they make us believe. Nonetheless, the brochure, albeit already a bit dated, is interesting. But as with everything in regard to Internet we need to accustom to virtual reality and not try to bend the world to our own will. You either accept the evolution or you are surpassed. It is clear that in the niche of Affordable Art, direct trading on the Internet between knowledgeable actors is already gaining market share and prices up to 5000 USD are readily paid. The on-line experience just asks for normal due diligence. If you are careless you will be ripped off whatever the channel.

Here are some excerpts from the AADA’s online brochure:

The Internet is a remarkably user-friendly way to navigate the art world. The World Wide Web can be used to do background research on an artist or type of art that interests you, to locate dealers specializing in that work, to scout available inventory and to check prices. The Web offers access to art and galleries all over the world. Email makes it easy to initiate a relationship with a gallery that you might not readily be able to visit.

However, no one polices the Web for accuracy, and the Internet must be approached with intelligence and a degree of caution. Art-historical information is only as good as the source from which it comes. Internet sellers may post images of works they do not actually have access to, or that are incorrectly described or not authentic. Prices need to be understood within the larger context of the art market.

While the Internet can be helpful in researching an acquisition, the actual process of buying art should not differ substantially from any other kind of art purchase. Unlike books or appliances, most art works are unique, and unless you are buying a low-cost multiple, you will not want to simply pop the item into your online “shopping cart” and proceed to “checkout.” After you have located a work or artist that interests you, call or email the dealer. Ask questions about provenance. Does the dealer perhaps have other works by the same artist that might interest you more? Get a description of the condition and a good photograph, and be sure that the dealer is reliable and reputable.

So far, attempts to sell higher-priced unique art through online auctions have not proved very successful. The risks attendant to buying on unvetted websites such as eBay are simply too great. EBay and similar sites essentially act as neutral conduits between buyers and sellers, who are solely responsible for delivering on their promises. Services such as Paypal, which withhold payment from the seller until the item has been satisfactorily received by the buyer, cannot wholly guard against disappointment or fraud.

Recently, some of the larger art auction houses have initiated online bidding services, which enable bidders to participate in real-time auctions from their laptops. Essentially, the process is no different from bidding on the phone, as the actual sale is still conducted in the auction house’s salesroom.

Since Internet sellers are liable for the authenticity of the works sold and for conveying good title, buyers must ultimately rely on the honesty and knowledge of the individual seller.