FADA Member Blast | December 2020

 
 
 
 
 
 
 
 
 
 
FROM THE EXECUTIVE DIRECTOR
 
 
 
Dear Members,
 
It’s beginning to look a lot like...
 
- A once-in-a-lifetime planetary conjunction occurred by coincidence on the Winter Solstice (the longest night of the year):
 
 
 
 
 
- A vaccine is being distributed to curb the pandemic...save lives...prevent severe sickness and allow the freedom to transition to a new normal. 
 
- Congress has passed a $900 BILLION COVID Relief Package. Will you and FADA be able to qualify for benefits? I hope so! 
 
Please review the letter below from ASAE, the association of associations; FADA is a member of this organization. 
 
This past year we've all been challenged. It was difficult getting anyone's attention. I understand. However, we have not been complacent. Forging ahead independently with our small devoted team we continue to provide membership services: social media, website management, new viewing rooms, Database Communications and Member Blasts. We've extended membership through 2021 for paid-up members. Thoughts you have as to how FADA might evolve are welcome and appreciated. We must be innovative and resilient to succeed.
 
Shall we initiate an exclusive FADA Auction on ARTNET? A FADA Member page on Artsy? Offer a curated selection of limited edition offerings from partner nonprofits on FADA.org? The possibilities are endless. 
 
I wish you a safe and restful holiday. Take special care of yourselves and your loved ones. We’ll put our heads together and figure it out. Somehow we made it through 2020 and more will be revealed in the New Year, 2021. 
 
With much gratitude to our creative community,
 
Jane Glassman
 
 
 
 
 
 
 
Dear Members and Advocates,
 
The long-awaited COVID relief package is finally here, and we have critical news to share:
Many 501(c)(6) nonprofits are included in the Paycheck Protection Program! Here are new eligibility criteria:
  • The organization does not receive more than 15 percent of receipts from lobbying (up from 10 percent);
  • The lobbying activities do not comprise more than 15 percent of total activities (up from 10 percent);
  • The cost of lobbying activities of the organization did not exceed $1,000,000 during the most recent tax year that ended prior to February 15, 2020; and
  • The organization has 300 or fewer employees (up from 150).
There are several other ASAE priorities that were included in the package:
  • More resources for EIDL loans;
  • Simplified PPP forgiveness;
  • Personal protective equipment; and more.
 
The PPP eligibility criteria are an improvement from previous expansion proposals, and ASAE played a major role to expand the percentage thresholds and require regulators to consider the most recent tax year that ended prior to February 15, 2020. These changes help include as many 501(c)(6) nonprofits as possible. And, while ASAE was on the front lines in Congress, it was your outreach, data and efforts that helped our messaging stick. Special thanks to everyone who submitted data surveys and signed our community letters.
Despite this significant progress, however, we take major issue with Congress’ and outside influence organizations’ false perception that associations and other 501(c)(6) organizations exist solely to lobby the government.
 
As stated by ASAE President and CEO, Susan Robertson, CAE:
“ASAE recognizes that this legislation came together only as a result of bipartisan compromise and congressional leaders were forced to accept a deal both parties described as imperfect to produce emergency relief measures for a nation in acute crisis. We’re thankful Congress has recognized that associations are deserving of access to federal relief programs like the PPP. This year-end relief package qualifies as progress. However, there are many deserving associations that will find themselves still unable to qualify for PPP loans as a result of the conditions set in this bill. No legitimate, well-purposed association should be left in the cold simply because they exercise their First Amendment rights to advocate on behalf of the industries or professions they represent.” (Read ASAE's press release for more.)
 
We’re still pouring over the bill and will provide more information and analysis, as it includes many critical provisions to help Americans and the association community. Until then, we wanted to share this important news and express our immense gratitude for your hard work and unwavering support. We wouldn’t be here without you.
 
Be on the lookout for a more detailed update soon.
 
Sincerely,
Mary Kate Cunningham, CAE
Senior Vice President of Public Policy
 
 
 
FEATURE
 
 
 
THE 2021 ART MARKET
 
Hiscox Online Art Trade Report and Art Basel Art Market Report enlighten 2021 Business Prospects
 
 
 
 
 
 
 
Hiscox Online Art Trade Report
 
  • In 2019, the online art market grew just 4%, but figures for 2020 are much larger as the art world is forced to complete more transactions online.
 
  • Previously there was reluctance from a large portion of the commercial art world to "properly embrace" full immersion into online commerce, and this contributed to the low growth in online sales last year. Now that stay at home orders have heavily influenced how we conduct business, everyone has been forced to conquer the virtual.
 
  • 65% of online sales platforms believe that the current crisis will result in a permanent shift, with the online marketplace becoming a natural part of the art sales business (galleries, dealers, auctions, and advisors). 
 
 
"After three months of effectively an entirely digital art market, it is clear that collectors are building their confidence and trust in transacting online. This suggests that the price ceiling in the online art market is increasingly pushed upwards.
 
For the majority of traditional art world operators, the pandemic has exposed an over-dependence on certain traditional sales and promotional channels (physical art fairs, gallery exhibitions, auctions, etc.) and how vulnerable they are with such limited digital strategies in place.
 
An online presence is more likely now than ever before to keep the art world afloat and is providing a fast-track for the lagging digital transformation we have seen within the wider art industry."
 
 
Click here for Hiscox Online Art Trade Report
 
 
Art Basel and UBS Report analyze data related to Dealers, Fairs, Auctions, and Global Wealth
 
 
This Art Market Report 2020 presents the results of comprehensive research on the global art and antiques market in 2019. While this report is analyzing a year that was pre-pandemic, it's still important to review the findings as we head into a more hopeful year for the return of gallery openings and fairs thanks to the vaccine.
 
 
  • The survey indicated that 57% of the total sales of galleries working in the primary market came from their top three artists, with 43% from just one artist (stable on 2018). 
 
 
 
 
 
 
  • On average, dealers attended four fairs in 2019, stable on 2018. Galleries with sales in excess of $10 million exhibited at more than twice as many fairs (eight on average) as those with turnover less than $500,000 (averaging three). 
 
 
 
  • Art fair sales were estimated to have reached $16.6 billion in 2019. Dealers reported that 15% of these sales were made before the fair ($2.5 billion), 64% during the fair ($10.6 billion), and 21% after the fair as a direct result of exhibiting at the fair ($3.5 billion).
 
  • Finding new buyers was the biggest challenge cited by dealers in 2019. The share of sales to new clients increased 5% year-on-year to 34%, and new buyers were more important for dealers with lower turnover.
 
 
 
 
  • High Net Worth millennial collectors were the most regular users of the online channel, with 92% having bought online. 36% of millennial HNW collectors who purchased online had paid over $50,000 for a work of art or object online, including 9% who had spent more than $1 million
 
 
 
 
 
Click here for Art Basel and UBS Report
 
 
 
WEB & SOCIAL MEDIA REPORT
 
 
 
 
 
 
 
Jan-Feb 2020
 
 
 
 
 
 
Sept-Oct 2020
 
 
Traffic By Source: Social media shows an increase in traffic to the site this fall, there was also less of a disparity between numbers for direct and organic searches. Our direct numbers stayed lingering roughly the same area throughout, but our organic searches have gone up to get closer to matching those direct numbers.
 
 
 
 
 
 
 
Jan-Feb 2020
 
 
 
 
 
Sept-Oct 2020
 
 
User Activity: The number of users have stayed the same, however there has been an increase by around 1,000 in terms of sessions, meaning we are retaining users more in the fall, they are consistently coming back to the site several times within this time period whereas in Jan they would only visit once in that time period. However, the average session duration is down by a minute. So they are visiting more, but staying less time. This may be due to an increase in art- related browsing due to the fall art season, but there’s also a lot of options so they may be switching around art selling platforms more.
 
To see full web report, click here
 
 
 
WORDS OF WISDOM
 
 
 
 
 
 
 
Anciens Constructeurs
Fernand Leger
Available at Jane Kahan Gallery
 
 
 
"Strive for progress, not perfection."
 
 
- David Perlmutter
 
 
 
 
 
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