A pivotal gateway to Asia’s thriving art market

I OFTEN hear that there is not much activity for art in Singapore. However, the enthusiasm and support we have received from collectors and the art community since Sotheby’s return to the Lion City in 2022, however, tells a different story. While I’m delighted that this longing from collectors and the art community provides an opportunity for Sotheby’s to fill a gap, it has made me reflect upon how the Singapore art scene has grown.

Having lived in Singapore more than 15 years ago, I remember what it was like in 2007. At that time, there was no Gillman Barracks, no National Gallery Singapore, no art fairs as we know it. Art was not seen as a practical career choice and most people in my generation were not interested in engaging with art.

In contrast, Singapore’s art scene today is more dynamic than ever. Singaporean artists have multiple opportunities to showcase their talents and be appreciated by collectors beyond Singapore. In fact, our data shows that they are well-loved by collectors globally. Similarly, Singaporean collectors are as passionate about national artists as they are about discovering great art by artists from other nations. This is what makes art a universal language, and collecting art a universal passion.

Singapore is the best poised in the region to be at the centre of all this. This year Sotheby’s celebrates its 280th anniversary. In Asia, we are not 51 years old, but 51 years young. Our future is only beginning. We only need to be optimistic and committed, and to keep marching forward.

Singapore has long established itself as a world-class city. Its present status as a beacon of prosperity in South-east Asia continues to be propelled by favourable foreign investment policies, high per-capita gross domestic product, and a flourishing free market economy, making it a prime location for international businesses, private banking and investment.

Besides being a thriving financial centre, Singapore has also emerged as a key cultural hub in the region, with a vibrant and diverse arts landscape that reflects the soul of its multicultural population. From ground-up initiatives and independent projects to blockbuster exhibitions featuring internationally renowned artists and even art fairs, Singapore offers an abundance of opportunities for audiences of different walks of life to participate in its exciting arts and cultural scene.

While these are among the more apparent reasons for Sotheby’s commitment to Singapore, results and trends observed from recent auctions provide deeper insight into the future of Singapore’s burgeoning art market.

The tides are turning in favour of Asia

According to Art Basel and UBS’ The Art Market Report 2024, China, including Hong Kong, became the second-largest global art market behind the United States, with its share rising to 19 per cent and surpassing the United Kingdom and France at third and fourth place respectively. Results from recent Sotheby’s auctions worldwide can attest to the vast potential of the art market in Asia, as Asian collectors are making their presence felt in the sales rooms.

In the New York marquee auctions held in May this year, buyers from Asia accounted for nearly a quarter of the Modern Evening sale value. More significantly, Claude Monet’s Meules a Giverny, which surfaced as the top lot for the week, was sold to a buyer in Asia. In Hong Kong’s recent Spring Sales, we also saw 75 per cent of buyers hailing from Asia, of which the top five transactions came from Greater China, the United States and Singapore.

SEE ALSO

Collectibles – an enjoyable way to lose money

Sotheby’s returns to Singapore after 15-year absence

Singapore’s most recent auctions have also reaped similar results, revealing particularly strong interest from South-east Asian collectors. Since our return in 2022, our Modern and Contemporary Art Auctions, held annually, have seen at least half of participating bidders coming from South-east Asia, with strong participation from Singapore, Indonesia and the Philippines.

Recent auction results have also shown an interesting correlation between the geographical location of bidders and the artist’s nationality. In our Insight Report, The Artists Who Power The $1 Million+ Market, a bidders’ analysis of the top 50 most popular artists at Sotheby’s, Christie’s, and Phillips auctions shows that this is especially true of Asian artists and collectors.

This is evidenced in Sotheby’s recent auctions in Singapore, which reflect a strong demand for art in South-east Asia and Asia. Works by celebrated masters from the region such as Georgette Chen and Wu Guanzhong have emerged as the top lot for our 2022 and 2023, as well as 2024 auctions in Singapore respectively, and works by South-east Asian artists have performed particularly well at the most recent June 2024 auction, attracting fierce bidding across all channels and achieving remarkable prices well above their high estimates. This includes works by South-east Asian artists Christine Ay Tjoe and Tran Van Ha, as well as artists with cross-cultural backgrounds like Le Pho and Theo Meier.

Despite the evidently strong interest in works by artists from the region, Singaporean and South-east Asian collectors are also sophisticated and considered, demonstrating a balanced interest in works by international artists and contributing to the overall growth and depth of the collecting scene.

The future is looking bright for Asia. According to the latest Euromonitor International Global Wealth and Luxury Report, Asia-Pacific is set to become the world’s largest consumer market, with Asian consumers becoming key players, setting trends and shaping the global demand for consumer goods and services. As such, Singapore’s art market is poised for continued growth, given its strategic location as a gateway to the South-east Asian region and Asia, where collectors are growing in prominence and driving a robust demand for Asian art.

A new generation of collectors on the rise

In addition to the heightened visibility of Asian collectors, another major shift in the market is happening as Gen X and millennials take over as the most active demographic of bidders, with the former accounting for 40 per cent of bidders for artworks priced above US$1 million. Millennials have also been noted as the largest-growing demographic among Sotheby’s Asian buyers, in contemporary art, fashion and luxury.

We are seeing these young collectors entering the scene more equipped and informed than their predecessors, making confident, bold moves even if it is their first time bidding. Our recent June auction in Singapore saw 20 per cent of new buyers, of which a majority are aged below 40 years old.

Beyond investing in art, many of these young collectors are passionate patrons and play active roles in bridging institutions with art and artists from Singapore and beyond, such as National Gallery Singapore, Singapore Art Museum, Museum MACAN, Tate Modern, Centre Pompidou, M+ and Mori Art Museum, among others.

Moreover, according to figures from the latest Knight Frank Luxury Investment Index 2023, art was the top-performing luxury asset class for Asia’s wealthy in 2023. A majority of 58 per cent of Singapore respondents ranked art as the top investment of passion to be sought after in 2024. These findings are supported by a survey by Bank of America in 2022, Private Bank Study of Wealthy Americans, which also found that alternative assets such as art are growing in appeal down the generations.

With millennials forecasted to be the most affluent consumers by 2040, according to the latest Euromonitor International Global Wealth and Luxury Report, this growth of a younger generation of educated and confident collectors is a welcome trend, charting a lucrative course for the future of high-end spending on art in Asia.

Singapore’s on the upswing

The first-hand experience and the insights we have gleaned from the auctions reaffirm that our choice to increase our stakes in Singapore was the right decision. We are encouraged by the positive response from our clients, both old and new, about the resumption of our live auctions and exhibitions in Singapore.

The palpable energy and excitement in the salesroom that can only be experienced in-person is after all something that cannot be quantified by words. Some collectors were even inspired to bid on the spot, even though they were not originally planning to participate. We hope to continue bringing such experiences to audiences here and the wider region, inviting them to share in the love of art.

Yet our auctions are but a small part of a larger arts ecosystem in Singapore and the region, where avenues for buying and appreciating art are plentiful. According to a survey conducted by the National Arts Council, arts appreciation in Singapore is on the rise, with a stark improvement in in-person attendance for such events, which has increased from 48 per cent in 2011 to 59 per cent in 2022.

Keeping a pulse on such developments, Sotheby’s continues to be led by a strong spirit of innovation and commitment to engage with our clients where they are. Beyond auctions, we have taken active strides towards bridging the gap between the finest luxury offerings, our clients and the public – from the implementation of a new fee structure that makes purchasing with us more attractive, to an upcoming opening of the Hong Kong Maison at Chater House in July, as well as the introduction of new sales formats and cross-category collecting experiences.

For the continued growth of Singapore’s dynamic arts scene, we urge others to similarly be agile as they play their part in the larger arts ecosystem, looking at Singapore not as a Little Red Dot, but as a cosmopolitan city of global citizens with diverse needs and where there are endless possibilities for art. Our future is only just beginning, and we are optimistic that we will reach new milestones with Singapore as the arts hub and heart of South-east Asia and a key location in Asia.

The writer is managing director, South-east Asia, at Sotheby’s