France's Senate Commission on the French Art Market and its Attractiveness on 7 March 2018 dominated by Artprice's figures and Artprice's demands
Having studied the minutes of the discussions held by the Senate Commission concerning the Legal Attractiveness and Competitiveness of the French Art Market, Artprice notes that the entire debate on 7 March 2018 was largely structured around Artprice's market statistics and demands (available on online at the Senate's website).
Catherine Morin-Desailly, Chairman of the Committee, opened the meeting by quoting Artprice:
“According to Artprice, France generated 5.3% of global auction turnover [on Fine Art] in 2017, in a context of strong recovery after two years of slowdown. Our country is far behind the top three marketplaces, China and the US (with roughly 30% each) and the UK with roughly 20%”.
The SYMEV (France's National Union of Voluntary Auction Sales Operators), which represents nearly all the auction operators in France, described France's system of auction market supervision by the Conseil des Ventes Volontaires (CVV – Council of Voluntary Sales, France's auction market oversight authority) in the following terms: “... our regulatory systems impose obstacles. Trust the professionals! The existing oversight system regarding the sums invested, established since 2001, is totally archaic; it penalizes our competitiveness and attractiveness”.
The SYMEV's critique of the Council of Voluntary Sales at the meeting of the Senate Commission is unambiguous. The following strongly-worded text is available on the Senate's website:
“The French art market is quite capable of defending its position, but the Council of Voluntary Sales, whose existence was justified in 2001 when it was created, has become an outdated supervisory body for us. This was already concluded two years ago in the report by Messrs. Herbillon and Travert on behalf of the Parliamentary Committee on Cultural Affairs and Education calling for regulatory reform.
The existence of this Council of Voluntary Sales adds no additional security to the French art market compared with those of New York or London. If today's buyers need guarantees, it is up to the auction operators to provide them.
We cannot allow scandals such as those that have emerged in recent years to undermine confidence in our public art market. We must create our own system of self-regulation to ensure that questionable objects can no longer access the French market. The Council of Voluntary Sales should only deal with “current” regulatory breaches, which are rare but nevertheless detrimental to our reputation”.
Artprice's constant requests to practice genuine auction bidding on its unique Standardized Marketplace are perfectly reflected in the following text from the SYMEV:
“Auction operators have changed; the world has changed. Our competitors today are not bailiffs, but rather websites where items are sold to clients on their smartphones. We urgently need to restore confidence in our auction market by making it more transparent”.
All of Artprice's claims with regard to the prejudice it has suffered since 2012 were effectively corroborated at this Committee meeting, leaving no room for any other interpretation of the facts.
Before January 2012 when Artprice launched its online auction sales activity, its share price had a long-term history above €50, a price that included anticipated revenues from its online auctions.
The anticipations of investors, shareholders and the market regarding the potential of Artprice's online auction activity were confirmed when its first day online offered $700 million in value. Most unfortunately, this positive news was simultaneously undermined by a totally iniquitous Communiqué from the Council of Voluntary Sales stating that the CVV was launching an emergency injunction against Artprice, an injunction that never materialised and which therefore qualifies as false information as defined in France's Monetary and Financial Code.
The economic damage caused by the fake news was immediate and devastating. It wiped more than ten million euros off Artprice's market capitalisation on the first day of activity. However, this damage, illustrated by the stock market graphs from that period, does not take into account the long-term loss of earnings suffered by Artprice and its shareholders since 2012.
These conflicts have all been extensively documented in Artprice's AMF reference documents (articles 4.2.6 and 4.2.7 regarding “Risks and Litigation”).
* See below Artprice's press release of 11 January 2012: Artprice Refutes Any Emergency Injunction From France's Auction Market Supervisor, the Conseil des Ventes Volontaires (CVV).
Almost 7 years later, France's Art Market professionals have finally expressed, before the Senate, their acute awareness of the non-competitiveness of the French Art Market and have fully endorsed Artprice's vision of how France can recover its former position on the global Art Market. Artprice's IPR protected Standardized Marketplace®, offering nearly 70,000 works every day, represents a superb opportunity for the French art market and an ideal portal where all Art Market operators are invited to sell their works.
Artprice's online sales activity is therefore fully operational, just as it was in early 2012, but with more experience (2005/2018). Moreover, Artprice is ready and willing to put its financial, technical and digital expertise (an Internet pioneer since 1987 with direct contact with 6,300 Auction Houses in 2018 and 4.5 million ultra-qualified users [allowing big data analysis]) at the service of those who wish to join us in competing with the art market's international players on a level playing field.
www.artprice.com Copyright thierry Ehrmann 1987/2018
Artprice is listed on the Eurolist by Euronext Paris, SRD long only and Euroclear: 7478 - Bloomberg: PRC - Reuters: ARTF.
Artprice celebrates its 20th birthday, editorial by thierry Ehrmann, founder and CEO of Artprice. https://www.actusnews.com/fr/ARTPRICE/cp/2017/10/04/artprice-celebrates-its-20th-birthday-editorial-by-thierry-ehrmann-founder-and-ceo-of-artprice
Dicover Artprice in video: https://www.artprice.com/video
Artprice is the global leader in art price and art index databanks. It has over 30 million indices and auction results covering more than 700,000 artists. Artprice Images(R) gives unlimited access to the largest Art Market resource in the world: a library of 126 million images or prints of artworks from the year 1700 to the present day, along with comments by Artprice's art historians.
Artprice permanently enriches its databanks with information from 6,300 auctioneers and it publishes a constant flow of art market trends for the world's principal news agencies and approximately 7,200 international press publications. For its 4,500,000 members, Artprice gives access to the world's leading Standardised Marketplace for buying and selling art. Artprice is preparing its blockchain for the Art Market. It is BPI-labelled (scientific national French label).
Artprice's Global Art Market Annual Report for 2017 published in March 2018: https://www.artprice.com/artprice-reports/the-art-market-in-2017
Artprice's Contemporary Art Market Annual Report for 2017 - free access at https://www.artprice.com/artprice-reports/the-contemporary-art-market-report-2017
Artprice's press releases: http://serveur.serveur.com/Press_Release/pressreleaseen.htm and https://twitter.com/artpricedotcom
Discover the Alchemy and the universe of Artprice http://web.artprice.com/video, which headquarters are the famous Museum of Contemporary Art, the Abode of Chaos
The Contemporary Art Museum The Abode of Chaos on Facebook: https://www.facebook.com/la.demeure.du.chaos.theabodeofchaos999
The Abode of Chaos/Demeure du Chaos Contemporary Art Museum by thierry Ehrmann,author, sculptor, artist, photographs https://www.flickr.com/photos/home_of_chaos/sets/72157
Contact [email protected]