Rent-to-Own Art – A Potential Boon to Buyers and Artists

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by Andre Smith

Many people linger in museums, longing to bring such beauty into their homes, perhaps dreaming of someday investing in artwork. So, what restricts that wish to a dream? For many art lovers and would-be buyers, the art market seems too complex and daunting, or art prices appear economically out-of-reach.

To accommodate this widespread but largely unfulfilled interest in art acquisition, many major museums and smaller galleries have started offering rental and rent-to-own programs, such as San Francisco’s MOMA.

While art rental has a long tradition, especially among corporate clients, the rent-to-own movement is increasingly gaining popularity. In many cases, the arrangement may benefit the buyer, the selling institution and the artist. Buyers get to see how they like “living with” the painting or sculpture before they commit to a major expenditure. As a result, individuals who would not usually consider purchasing art “whet their appetites” and just might begin a lifelong habit of collecting.

In the meantime, throughout the rental period, the gallery makes artwork available to appreciative eyes, which would otherwise be displayed at considerable expense, or kept out-of-sight in storage areas. In the long run, the gallery and artist also benefit, as the pool of potential buyers increases.

When a work is displayed in a home instead of a gallery setting, it instantly creates the word-of-mouth buzz that galleries usually labor to generate. Imagine that you’ve just acquired a beautiful piece of artwork, and you may only have it for a couple months: Wouldn’t you tell your friends, show it off with a dinner party or two, and flood your social media streams with proud images?

How Rent-to-Own Programs Work

In general, rent-to-own agreements are based around a commitment-free rental period, followed by the opportunity to make a purchase. Beyond that, individual programs can vary widely in the agreement details. According to BBC reports, two or three-month rentals are fairly common. Rental terms of a few months allow individuals to try out living with the artwork without burdening themselves with an excessively long commitment.

Pricing can also vary widely. As an example, the San Francisco MOMA might rent out a piece worth $30,000 for a little over $1000 per month. Taxes and installation charges also apply, and insurance costs will also vary. As with any rent-to-own arrangement, should the renter eventually decide to purchase, the final purchase price will be lowered to partially reflect the funds already invested during the rental period. For example, the Seattle Art Museum lets buyers put half of the rental fees toward the purchase price.

Expanding the Pool of Buyers

In general, the rent-to-own arrangement appeals to potential buyers for a few simple reasons. It allows them to enjoy artwork, in their homes, without committing to a major investment. Plus, for those interested in an eventual purchase, beginning with a rental significantly lowers the pressure and the risk of “buyer’s remorse.” As a result, risk-shy investors and novice art buyers are especially likely to find the option attractive.
Rent-to-own arrangements also offer a convenient alternative for a range of specific scenarios. For new companies in high-end sectors, acquiring the right artwork is fundamental to creating the office environment that gives clients the right impression. However, the cost of purchasing art outright can prove prohibitive for startups. By choosing to rent, with the option to buy, companies can suit their spending to meet the changing budget of their growing business.

Aiding Artists

Given the increasingly popularity of the rent-to-own arrangement, why should the scheme be of interest to artists? Firstly, by working with galleries that specialize in rentals, artists can massively increase their exposure. Although you may typically imagine your artwork to eventually grace a handsome home, consider how many more people will see a piece that hangs in a workplace. High-end hotels and competitive firms constitute many of the most ardent art renters. Many galleries, such as CKI Fine Art Rental, have specialized services to shepherd such clients through the art rental and rent-to-own process.

As an added bonus, letting galleries rent out your artworks ensures that they will be loved and appreciated. Instead of hanging at the back of a gallery, waiting to be purchased, your artwork will be continuously pleasing viewers. And at the same time, a growing public will be getting to know your name.

Andre Smith is a writer from Brisbane. His great passion is art – he’s an admirer of Ansel Adams‘ work and Asian fine art. You can connect with him on Google+.
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Content Meets Utility Marketing

Wondering how to drive more traffic to your business via your website, blog, and social media sites? Consider these stats on data per minute on the Internet (and that was last year, so of course even more now):

-204,166,667 email messages

-2,000,000 search queries on Google

-684,478 users share on Facebook

-1,300,000 video views

-47,000 app downloads

In the marketing world, the messaging has been that “content is king,” which makes sense given that we know consumers have been getting more and more fatigued and resistant to advertising. According to research from the Content Marketing Institute and MarketingProfs, “more than nine out of ten B2B marketers are using some form of content marketing.” So that’s not the problem, the issue moving forward is in how to create content that will get noticed – and how to engage consumers in a way that will create loyalty to you and your brand.

Very difficult these days, but Jay Baer, author of Youtility: Why Smart Marketing is About Help Not Hype, and Mitch Joel, author of Ctrl Alt Delete and Six Pixels of Separation, are evangelists for the concept of utility marketing, which suggests that content focus and consumer engagement should shift from promoting the value of a product or brand to developing a user experience that is concrete and useful to the consumer. It’s a welcome shift from pumping out quantity messaging to looking for new ways to engage in a meaningful way.

Baer says, “Success flows to organizations that inform, not organizations that promote. Three key concepts described in his book are to provide “Self-Serve Information,” which is to figure out what you can provide that can be most useful to your consumers, thus establishing yourself as an ongoing source of information; “Radical Transparency,” anticipating and providing answers to the questions they may have about you; and “Real-Time Relevancy,” which is about being prepared to provide information timed when it’s most useful to the consumer. 

Joel believesthe next five years will be about the brands that can actually create a level of utility for the consumer.” He sees an era of increased personalization that requires different types of messaging not just by knowing your audience, but by media platform.

This is the ideal to be able to engage meaningfully and even specifically, but may feel overwhelming if you’re running your own business and trying to create at the same time. Something like being told to: “do everything, get to know everyone personally, and think outside the box.” However, taking a step back, it’s a way you should already be thinking. First, think in audience segments. What do you know that you can teach them? You can share information on new techniques, how to present, how to research, how to make a story or a piece of art extraordinary. Second, consider how others have shared that knowledge in the past? What new tools are there now, or new ideas you have for engaging them in a different way? What’s particular about your work, and are there specific times when that information can be most useful – at a particular time of the year, for special programming and events, in conjunction with trends or what’s happening in the news?

Third – and here it’s tougher – how can you learn enough about your customers, and how can you engage with them personally? Truthfully, you probably can’t if you’re thinking of them individually, but if you think in segments, you certainly can – and you can use different messaging, platforms and tactics to reach them. The trick is to break the message down in meaningful ways and then customize based on what you know about them.

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