We have consistently found, sale after sale, that a faster-paced auction with a larger number of lots and a greater variety of categories leads to the most ideal bidding environment. By “ideal,” we mean maximizing the number of registered bidders, absentee bids, bidder retention from beginning to end, and achieving the highest prices realized along with the highest sell-through rate. Incorporating these factors results in the ultimate “juggernaut” auction—one that is fast-paced, engaging, and exciting, with a diversity of offerings.
However, a recent trend in the antique and fine art auction industry is moving in the opposite direction. Slower auctions with fewer lots have led to the rise of “theme” sales. These smaller auctions typically feature only one or two categories of material. For example, the sale may focus exclusively on “silver,” “American pottery,” “jewelry,” “Asian arts,” “mid-century,” “folk art,” or “fine art.” Essentially, the fine art and antique industry has gone “retro” or “back in time,” despite all the technological advances and the interests of a growing pool of worldwide bidders.
These “theme” auctions, featuring only one or two categories, often lead to psychological “saturation.” Even rare and above-average objects can appear more common because of the number of similar items in the sale. Worse still, more common objects within the same category may seem so ubiquitous that potential bidders lose interest, even at any price.
The challenge with theme sales is that many potential bidders, who have the funds and inclination to buy, may not spend the time to examine an auction that only features a narrow classification of objects. As a result, the pool of registered bidders is typically in the low hundreds, rather than the 6,000-7,000 range.
Sales featuring a variety of categories generate engaged bidders and exceptional results, but they also create another favorable phenomenon—the “peripheral” bidder. By offering a single-day sale with a significant number of lots representing various categories and a wide range of price points, the number of bidders increases in a rapid, nonlinear fashion. Such a sale takes on the properties of a “snowball,” where an ever-increasing number of bidders leads to dramatically higher views and bids. This heightened activity creates greater engagement and bidding intensity.
Bidders who may have initially entered a sale focused on one or two categories will be drawn into the “energy” of a high-traffic event and begin exploring other object categories. A recent example involved a traditional jewelry buyer, who spent only 25% of her $32,000 invoice on jewelry, instead purchasing a high-priced 18th-century telescope, a William Walker painting, and a swan decoy. Auctions with diverse offerings are one of the most effective ways to create new collectors.