Over the past few years the online art market has been growing steadily. The first figures for 2021 confirm these observations: buying and selling art online has become increasingly popular over the last 12 months. Artalistic brings you an overview of the latest Hiscox report.



Buying and selling art online in 2021



The online art market has stormed ahead!

Hiscox - an insurance company specializing in the field of fine art – recently released a report about the online art market in 2021 and the figures were unequivocal. Buying and selling fine art online is becoming increasingly popular. We have carefully reviewed this report to bring you a condensed version of the latest information from the first half of 2021.



Buying and selling art online is more popular

​Buyers are feeling increasingly confident about making purchases online, which in turn is driving the growth of online art sales up. The volume of money exchanged on the market proves that collectors are willing to pay more for a work of art. For example, the average price paid at online auctions was $24,291.

An important economic factor also played a part in this upward trend - the Covid-19 pandemic has accelerated the shift to digital purchases. This shift has taken hold and the virtual sale of original pieces of fine art has become the norm. For example, just a year ago 56% of art buyers and 65% of online art sales platforms said that they thought the shift to digital would likely be permanent.

It is also worth noting that sales made on mobile devices reached an estimated $3.125 billion, representing 46% of online art sales. This figure has increased radically; in 2019 mobile transactions clocked in at $1.92 billion.



Old forms of fine art sales methods have not been lost

While online art galleries have skyrocketed, the data provided by Hiscox shows that traditional ways of investing in the art market are still being embraced. In fact, it is likely that auction houses and conventional art galleries could become the main players in the online art market. Online sites for buying and selling art are just another facet of this ever growing and transforming landscape.

In fact, we must give you a word of warning about the astounding number of websites specializing in the online art market that have cropped seemingly overnight. If you are looking to invest in art online, make sure you a choose platform with a solid reputation.



Blockchain & NFTs: trading Crypto breaks onto the online art market



Another insight revealed in Hiscox’s 2021 Online Art Market review is that an increasing number of online art galleries are expected to accept cryptocurrency payments: 38% of them actually plan to use it in the coming year, which is a noteworthy 15% increase over last year.

Furthermore, 41% of online art buying and selling platforms plan to integrate blockchain technology into their business, compared to 30% in 2020. This is not surprising given the breakthrough of NFTs in the art world.



Buying and selling art online: NFTs enter the arena

By the end of September, 2021, the sale of NFT encrypted art and collectibles reached approximately $3.5 billion. If you are an art investor you should not overlook the new possibilities NFT technology is bringing to the world of art collecting.



Is the online art market in lockstep with the NFT revolution?

The hype over NFTs (Non Fungible Tokens) is tangible in the online art market. Last March, NFTs made a sensational entry into the art market with Beeple's Everydays, which sold at Christie's for $69 million! This sale was followed by other multi-million dollar sales, including Cryptopunks, unique collectibles created by Larva Labs in 2017.

It is still too early to imagine how long this trend will last or the place it will hold in the history of fine art. Many specialists have placed blockchain on a pedestal, praising it as the optimal currency for promoting transparency and traceability.



We hope that you have enjoyed our review of the online art market in 2021. The increase in online purchases has been significant. Artalistic has been a major player in this shift online. Feel free to browse our carefully curated virtual galleries of paintings, photographs, sculptures, drawings and limited editions prints by well-established and emerging artists. See you soon for the latest news from the art world brought to you by Artalistic!