In the ever-evolving world of art, the United States maintains its position as the epicentre of the global art market, contributing a staggering 45% to the total market share in 2022, as revealed by the Art Basel and UBS Art Market Report 2023. Within this dynamic landscape, one individual, Franklin Melendez, stands as a keen observer and influencer, offering insights into the fascinating world of American art collecting.
Franklin Melendez, co-founder of the New York-based art advisory service DM Office, collaborates with US-based dealers and collectors to shape collections, support emerging artists, and curate exhibitions worldwide. Despite the uncertainty swirling around the global art market due to geopolitical events like the war in Ukraine and economic concerns in the US, Franklin Melendez remains optimistic, echoing the sentiments of the Art Basel and UBS survey.
According to the report, high-net-worth (HNW) collectors in the US continue to invest in art, showcasing resilience in the face of external challenges. Melendez emphasizes the seasoned collectors’ ability to navigate the market’s ebbs and flows, seizing opportunities for both buying and selling. Many collectors under Melendez’s guidance focus on emerging artists, whose markets prove to be less susceptible to larger economic fluctuations.
The resurgence of in-person visits to galleries, fairs, and artists’ studios marks a positive shift as the impact of the pandemic on travel diminishes. Melendez, reveling in the return to studio visits, notes that engaging with art in person is an integral part of the collecting experience. Art fairs, he acknowledges, offer efficiency for clients with demanding schedules, presenting opportunities for significant conversations and discoveries.
The influence of these face-to-face interactions is exemplified in the experiences at Paris+ par Art Basel. Melendez describes how pivotal discussions during the fair influenced the buying patterns of high-profile Hollywood collectors for months to come. These encounters underscore the importance of reframing the art fair experience as the beginning of a meaningful dialogue.
Collectors, driven by self-identity, investment, and social considerations, play a crucial role in shaping the market. Melendez emphasizes the term ‘value’ over ‘investment,’ highlighting the cultural value that comes with critical acclaim and museum recognition. While only a fraction of HNW collectors identify as investors, many actively trade in and out of their collections as a natural progression in their collecting journey.
The Art Basel survey sheds light on American collectors’ growing interest in French and Japanese artists and dealers. Melendez confirms this trend among his clientele, noting an influx of acquisitions from Japan in 2022. Speculating on the motivations behind this shift, he suggests that collectors seek to add depth and texture to their collections by exploring artists beyond the confines of New York’s vibrant art scene.
When asked about his confidence in the market outlook, Melendez remains pragmatic. He acknowledges the resilience of the art market but emphasizes its vulnerability to external events. However, he remains bullish on the enthusiasm of collectors, describing the current moment not as one of boundless growth but as “a great moment for savvy collectors.” In his view, high-net-worth individuals, often astute businesspeople, recognize and act on opportunities even in times of disruption.
As the US art market continues to evolve, Franklin Melendez’s perspective offers a glimpse into the intricate world of art collecting, where passion, investment, and a keen eye for opportunity converge to shape the future of the global art scene.