Survey shows trade heading back to fairs and shops

The survey, which includes a range of statistics on the trading habits of members of the Association of Art and Antique Dealers, revealed that the number working from home or by appointment has decreased by almost half since the previous survey at the end of 2000.

One of the most encouraging signs reported was that those falling victim to crime had also been cut by half during the past 12 months. Of the 151 replies (22 per cent of the membership) to the survey, 14 per cent claimed that the EU was their most important overseas marketplace (against 11 per cent in the last survey), but 78 per cent stated the US remains the most important overseas market for them, a drop of five per cent on last time.

Only seven per cent reported doing no overseas business at all; 56 per cent revealed that a quarter of the business was done with overseas clients, with 10 per cent stating that at least three quarters of their activity was overseas.

Reversal

In the 1999 and 2000 surveys, the trend showed dealers moving away from doing business in galleries and shops. This time, however, the numbers have reversed, rising three points to 65 per cent, with ten per cent working out of antiques centres and another ten per cent working from home (down from 19 per cent last time). The figure for those dealing at fairs has risen from 12 to 15 per cent.

Further developments have taken place with technology and Internet use: 88 per cent of respondents now have email access, 45 per cent have sold items over the Internet and 24 per cent have bought stock that way. In addition, 61 per cent have their own Website compared with only 45 per cent last time.

LAPADA chief executive John Newgas was not surprised by the dip in sales to the US but was gratified that this had been made up by extra sales to Europe. “I am also delighted to see that there has been a significant decrease in thefts and burglaries from our members, although none of us can rest on our laurels.”

As expected, the number reporting a lower turnover than the previous year has grown since the last survey. Then it was 27 per cent, now it is 45. The downturn is also reflected in the figures for expected turnover in the next year: only 19 per cent expect an increase this time around compared with 31 per cent last, with 34 per cent expecting a decrease now compared with only 16 per cent before.

LAPADA MEMBERSHIP SURVEY 2002

151 members responded, 22% of the membership. Figures in brackets denote, where applicable, the
equivalent percentages from the 2000 survey.

Estimated turnover during the last 12 months
16% under £100,000 (12%)
24% £100,000-250,000 (26%)
24% £250,000-500,000 (27%)
19% £500,000-1m (35% over £500,000)
17% over £1m

Turnover compared with last year
31% reported an increase (44%)
45% reported a decrease (27%)
24% reported no change (29%)

Expected turnover next year
19% expect an increase (31%)
34% expect a decrease (16%)
47% expect no change (53%)

Members deal from
65% a shop or gallery (62%)
10% and antiques centre (12%)
10% from home/by appointment (19%)
15% at fairs only (12%)

Employment
35% employ no staff
100 members employ between them 370 full-time staff and 162 part-time

New clients
56% reported that up to 25% of their clients were new
33% reported that 26-50% of their clients were new
7% reported that 51-75% of their clients were new
4% reported that over 75% of their clients were new

Fairs
41% had not exhibited at a fair in the last 12 months (33%)
25% reported exhibiting at fewer than five fairs a year (32%)
34% reported exhibiting at five or more fairs a year (35%)
12% reported that they exhibited at overseas fairs (10%) –
16 members exhibited in the USA, three in Europe and one in Hong Kong

Buying
20% was from private clients (16%)
45% was from the trade (50%)
35% was at auction (34%)

Selling
66% was to private clients (65%)
31% was to the trade (32%)
3% was at auction (3%)

Overseas turnover
7% report no turnover overseas
56% report turnover of up to 25% with overseas clients
15% report turnover 25-50% with overseas clients
12% report turnover of 50-75% with overseas clients
10% report turnover of over 75% with overseas clients

Most important overseas market
78% USA (83%)
14% EU (11%)
4% Japan/Far East (4%)
2% Australia/New Zealand (1%)
1% Switzerland (1%)
1% Middle East (n/a)

The Internet
61% have their own Website (45%)
88% have an email address
45% have sold stock over the Internet, 62% for prices less than £5000, 21% at prices ranging from £5000-10,000
24% have bought stock over the Internet

Crime
14% have suffered theft or burglary over the last 12 months (29%)
90% of the thefts/burglaries were from premises
5% were from fairs
5% were from a vehicle