The Do’s And Dont’s Of Pricing Your Art
The art world can be a tricky one to navigate. You want your work to be seen, but you don't want to starve in the process. So how do you go about pricing your art? Pricing is undoubtedly one of the most important elements when it comes to selling your art but can be equally as challenging; however, there are some simple techniques you can use so that you don’t miss out on sales by pricing too high and don’t undersell your work by pricing too low. Read on for these insider tips that will help you on your journey to perfectly priced art!
“Bewitched no.2” //Encaustic photograph, oil and acrylic on cradled wood board// by 4th Edition Finalist, Helena Palazzi
Do: be consistent with your prices
I cannot stress the importance of this one enough - be consistent with your prices. Customers like consistency. They want to know what they can expect when it comes to the price of your artwork, so avoid changing it up too often or unnecessarily.
This point is also crucial with regard to selling from your studio or website versus selling through galleries. It’s a massive no-no to sell your work from your studio at a lower price than the price given to a gallery. This is because galleries generally disapprove of this practice and it can leave a lasting bad impression with them as well as potentially jeopardize your reputation for future representation with other galleries.
A tip for establishing a good price for studio, website and gallery is by accounting for the comission rate (that many galleries normally take) in the initial stages of developing your pricing strategy (ie. before the final price is set for your website, studio, and gallery).
Now, being consistent with your prices doesn’t mean that you have to stay at the same price for the duration of your career. You should monitor the rate of sales. According to ArtBusiness, “Good times to raise prices are when your art sells regularly, you've been selling consistently for at least six months to a year, preferably longer, you have a show where at least half of your art sells, or you're selling at least half of your art within several months or so after you make it.” They explain that a high sales rate indicates that there is a high demand for your art and in cases like this you can raise prices by 10-25%, “closer to the 10% if you are consistently selling well, closer to 25% if you reach some sort of major career milestone like getting a significant museum show or receiving a prestigious award.” You should be able to justify the inflation with facts or a solid reason but never due to emotions or because you’re mirroring another artist’s pricing strategy. Raising prices should have a gradual increase so that you can remain attractive to prospective collectors and of course, your loyal clientele.
Don’t: sell yourself short (literally!)
Rome wasn’t built in a day and I’m sure those breathtaking pieces of yours that you’re ready to sell weren’t either. Creating art takes time, money, and effort and you have to account for this when setting your price. You can start by setting a reasonable hourly wage and calculating the average cost of materials (ex. Frames, shipping, medium, tools, etc.) when pricing.
Artwork Archive outlines that “The US Dept. of Labor lists the average hourly wage for a fine artist as $24.58—use this to help you estimate. Your price should reflect the money and time you put into creating your art.”
They further created a formula for calculating (Hourly Wage × Hours Spent) + Cost of Materials by stating that “your price should reflect the money and time you put into creating it. This formula ensures you are being paid for each hour you work and are covering the cost of your materials. It is an especially good formula for artists who are just starting out. When deciding on an hourly rate, look to see what comparable artists are charging for their art. If you use this formula and your price is much higher than theirs, consider lowering your hourly rate.
Example for an artist who charges $20 an hour, works for 15 hours to complete a piece, and spends $100 on materials:
$20 × 15 hours = $300
$300 + $100 = $400”
“Iced Tea and Lemon” //Oil on Panel// by 4th Edition Finalist, Susan Paterson
Do: Research similar artists for comparable prices
Market research is one of the best ways to gauge your prices. You can do this by researching various artists that have the same or similar style, medium, subject matters, sizes, etc. to your work and make note of how much they sell their work for, which prices sell and which don’t as well as why they sell as that price point. You should also take into account factors such as the accomplishments and achievements of the artist (typically accessible through their artist bio on their website) their experience, where they reside, and their production rate as these factors influence prices.
Do: Be transparent with your price
Have you ever wanted to buy something in a store and the salesperson just calls a price from the top of their head without double-checking or scanning the item? They may very well be honest but from the customer’s viewpoint, the seller also could be changing the price according to who is inquiring and other biases that Artwork Archive calls the customer’s “perceived level of interest and their perceived level of wealth.” The easiest way to avoid these instances is to have your prices clearly outlined. This will also make you more trustworthy amongst clients and show a great level of integrity and credibility while simultaneously boosting your reputation amongst buyers and prospective collaborators. You’re also helping your prospective buyers because they’d be able to see which pieces are best suited for their price range.
“Behind the veil” //Charcoal and Graphite// by 3rd Edition Submitter, Kirsten Walsh
Don’t: conflate emotions and price valuation
I know that it can sometimes be a challenge to separate emotions from price valuation because of all the investment that you’ve put in but trust me, it’s the best option! The value of your work is according to its physical objectivity such as size, medium, materials, etc., and not its emotional or personal value to you.
Do: Offer different works to fit different price points
To make art accessible to more customers, some artists choose to create smaller pieces that are less expensive. This is especially helpful for young buyers who may not be able to afford a larger piece but can still buy your work at an affordable price. The affordability of the artwork also opens up new opportunities in terms of sales.
Did you know that prints are an ideal and affordable option that makes it easier for your work to reach more prospective buyers? They may not be the original pieces, but they're still large and affordable enough that buyers can take them home without worrying about their wallets too much. They also give art collectors an opportunity to test out how well-liked you are before investing in larger works of yours -and when they start getting comfortable with what you do, those customers might upgrade from print purchases into something pricier!
Don’t: rely only on basing the price according to size
Some artists price their artwork according to its size. This makes sense if you spend less time working smaller pieces, but it also can lead to buyers expecting lower prices for all of your work by a certain size. That’s why it’s not a rule that should always be followed because your smaller works may take just as long and effort to create than larger ones.
“George” from Polymorphous Series //Charcoal and Graphite on Paper// by 4th Edition Submitter, Ellie Newland
Conclusion
The key to pricing art is setting the right price for your work. Pricing too low can make it seem like you don't care about your own creation, but if you set prices too high, no one will buy them! Use our tips to figure out what the perfect price point is in order for people to love and cherish your artwork without breaking their wallets or making it difficult on yourself financially. Let us know how these do’s and dont’s of art pricing have helped you so far!