Tag: art price formula

Is there a formula to calculate the prices of artworks?

Most media have a way of computing the artwork’s price based on physical facts like weight, size, duration, edition size, etc. Since these metrics differ between territories (inches vs. cm, pounds vs. kilograms, etc), there isn’t really one internationally established formula. The basic idea is always similar though: to derive the price from something objective and factual (a physical attribute), instead of basing it on something subjective like alleged work quality, likeability, use of material or production time (while use of material might sound objective, its use really is a consequence of specific processes and abilities, and thus subjective).

These formulas always include a factor (sometimes called “coefficient”) that inserts the artist’s individual market standing; without it, all works with the same metrics would cost the same, independently of their creator. Understand that similar mediums might still have differing factors (eg. drawings and paintings of the same size will usually use a different factor). Prices usually rise steadily over the years, which is done by increasing the factor according to sales success (eg. from 10 to 12).

  • Research the price calculation formula for your medium: For paintings, the metrics-independent formula could be as follows (talk to your peers to understand what length metric is used locally):

    (Height + Width) x Factor = Price

  • Calculate the factor for your work, based on the price range you want to be in: Once you know both the formula to use for your medium and the price you want to use for a specific artwork, you can calculate your current factor. Simply add width and height, and divide the price by it; then round the result to the next integer. For a 40 x 30 inch (or centimeter) painting, the calculation would look like this:

    (40 + 30) x Factor = 800
    Factor = 11

This allows you to have your work based on the economic realities of your surroundings (which influenced your pricing decision), yet also have a clear factor to communicate. You might notice that in pricing discussions, stating your factor will often result in more authority than stating a work’s price – even though both numbers are interchangeable. The factor also adds an indirection layer between the work and its price, which can be beneficial if you don’t feel comfortable with the economic aspects of your work; since you discuss a number (and not a price), it offers a degree of dissociation from monetary aspects.
Consider the following:

  • Memorize your factor, not each work’s price: Having a factor lets you memorize exactly one number, instead of each work’s individual price. If you raise your factor, you don’t have to memorize each work’s new price – but simply remember the new factor. Understand that since each medium will have its own factor, working in multiple mediums (drawing and sculpting, painting and performance), requires you to memorize several factors.

  • Use the factor when discussing prices with peers: Knowing your factor lets you easily discuss your work’s prices with peers. To prevent misunderstandings, make sure to know whether the formula is used to calculate the artwork’s price before or after taxes – both is common.

Consider reading the anatomy of art pricing, further art pricing facts and the formula to calculate art prices.

How do I price my artworks as a total newbie?

As an artist pricing their work the first time, you usually come face-to-face with two realities: the idea of commodifying your idealism, and your lack of knowledge about pricing expectations and dynamics.

Accept that your work has both artistic and monetary value

Even if your artmaking is based on idealism (searching for ways to expand a medium, to express yourself, etc), this idealism doesn’t exist in a vacuum. It’s a part of you, and thus a part of the society you’re living in. The societies that most of us live in exchange money for goods: once you start thinking about selling your work, you obviously need to attach a price tag to it. The better this price tag suits both your and the public’s expectations, the more satisfied you will usually be. But as the very first step towards pricing your work, you need to accept that your work has both artistic and monetary value. This acceptance ideally leads to a curiosity about not only the artistic, but also the monetary side of it:

  • Research the price ranges of local artists with similar CVs, who work in your medium: Find out where they exhibit and go there to take notes on their works’ prices​. What range is it roughly in? This will help you see the realities of commodifying your work, and let you understand local price expectations – and which artists transcend them. It will help you see which artists stand where: some students are laughably expensive, while more established artists can sometimes be weirdly cheap.

  • Discuss pricing with your peers: Ask your fellow artists, as well as your professors and their assistants (if you’re in art school): “How would you price my work, and why?” Try to understand their reasonings, and whether they can be applied by you. You will realize that a lot of successful professionals have little knowledge about pricing: stay attentive and open-minded, but know that you’ll have to make your own decisions.

  • Investigate resistance: If you feel resistance about pricing your work, investigate its source: you might be worried about having a price tag for your work, since this firmly marks it in your economic surroundings. While encouraging to some, it will be unwanted by others, since it brings your art into a very specific domain of the world.
    If you pursue your work as a hobby, you might never want to price it; if this is your situation, consider how pricing your work can have positive benefits for your artistic process as well: it can heighten your awareness about your work’s quality. Similar to getting started on a piece, it’s another step to making the work real; not through physical manifestation (which is part of the artmaking process), but by letting people know they can own it, and at what price. If you’re worried about pricing, could you actually be worried about the quality or finishedness of your work? Could you be worried about disinterest or about your monetary place in the world making you unhappy? Try to understand these questions to decide your path forward.

Pricing gets easier once you get started. Developing a deeper understanding of general pricing dynamics, as well as specific knowledge about your local art scene will ultimately enhance your range of action – and gradually increase your confidence in pricing your artwork. This will allow your work to inhabit a specific place of the art world: the art market. For all its ambiguity, this will most likely help you in your progression as a professional artist: to understand the monetary aspect of your work, and to find your personal approach on it.

It might eventually be hard to remember these initial troubles, which are the consequence of a profession so deeply based on ideals of purity and idealism.

Consider reading the anatomy of art pricing, further art pricing facts, and the formula to calculate art prices.