Monday, April 13, 2009

Brief Example of Art Work Valuation as "Value Proposition"

Brief Example of Art Work Valuation as "Value Proposition"

Are you enquiring about paintings for example? This I can answer specifically regarding the work of Robert Genn who has many fans in Canada. His style is reminiscent of Group of Seven or post-modern landscape and figural art which increasingly commands higher auction prices at houses like Heffel's.

In terms of valuation, Genn may be seen to observe very strict control over pricing and distribution of original annual sales through a limited number of direct sales agents. This prevents his "brand image" from being weakened. The reason I would refer "Robert Genn" as a reliable example of artwork "value proposition" is that in my modest knowledge he is the only Canadian artist with such a well defined distribution network.

His original paintings range in price from 10-20 CAD dollars per square inch.

His target customers range from individual buyers more likely to purchase fewer and smaller works but also more likely to be charged higher rates per square inch. While a second target customer, corporate buyers, purchase paintings above 30x30 inches taking advantage of distinctive corporate tax savings offered as incentives to purchase Canadian artwork by the government. Also large sculptural works in Canada are heavily incentivised by government rebate programs for new urban and commercial architectural projects.

As for myself the best proposal I have ever seen for research data was 25 CAD dollars per square inch ~ unsubsidized.

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