how do you feel about mixing art and money?. artist survey responses business skills are...
DESCRIPTION
Artist Survey Responses Artists have prejudice toward “business” people. Business has nothing to do with art Business takes time away from creating Talent, not business skills, will lead to success Fear of expensive scams targeted at artistsTRANSCRIPT
How do you feelabout mixing
art and money?
Artist Survey Responses
• Business skills are counter-intuitive for artists
• Directly selling your art erodes humility, goodness, or purity
• Artists are not passionate or motivated by business
• Artists are intimidated by business
Artist Survey Responses
• Artists have prejudice toward “business” people.
• Business has nothing to do with art• Business takes time away from creating• Talent, not business skills, will lead to
success• Fear of expensive scams targeted at
artists
Business and ArtBeing good in business is the
most fascinating kind of art.
During the hippie era people put down the idea of business—they’d say,
‘Money is bad,’ and ‘Working is bad,’ but making money is
art and working is art and good business is the best art.
– Andy Warhol (1975)
Wage and Employment Data (May 2010)Occupation Employment Hourly Mean Annual Mean
Actors 54,740 $28.44 N/A
Art Directors 29,700 $45.24 $94,100
Artists and Related Workers 7,560 $29.69 $61,760
Choreographers 12,390 $20.25 $42,110
Craft Artists 4,790 $15.39 $32,010
Dancers 11,200 $16.55 N/A
Designers, All Other 8,560 $24.25 $50,440
Editors 99,160 $28.53 $59,340
Entertainers and Performers, Sports and Related Workers 23,510 $18.60 N/A
Film and Video Editors 19,930 $29.75 $61,890
Fine Artists, Including Painters, Sculptors, and Illustrators 10,320 $25.52 $53,080
Graphic Designers 192,240 $23.14 $48,140
Multi-Media Artists and Animators 26,560 $30.50 $63,440
Music Directors and Composers 20,640 $25.36 $52,750
Musicians and Singers 43,350 $30.22 N/A
Photographers 54,550 $17.30 $35,980
Producers and Directors 83,520 $42.60 $88,610
Set and Exhibit Designers 8,120 $24.81 $51,600
Writers and Authors 40,980 $31.71 $65,960
Total 751,820 Ec. Power: $43,164,993,480
Wage and Employment Data, Georgia (May 2010)Occupation Employment Hourly Mean Annual Mean
Actors 260 $22.26 N/A
Art Directors 480 $40.64 $84,540
Artists and Related Workers 7,560 $38.38 $79,830
Choreographers N/A N/A N/A
Craft Artists 110 $15.55 $32,340
Dancers 70 N/A N/A
Designers, All Other 140 $27.34 $56.860
Editors 1,020 $26.87 $55,900
Entertainers and Performers, Sports and Related Workers N/A $19.75 N/A
Film and Video Editors 320 $24.76 $51.500
Fine Artists, Including Painters, Sculptors, and Illustrators 210 $14.30 $29,740
Graphic Designers 3,660 $25.21 $52,430
Multi-Media Artists and Animators 580 $26.22 $54,530
Music Directors and Composers 200 $22.27 $46,310
Musicians and Singers 490 $33.83 N/A
Photographers 1,250 $13.49 $28,050
Producers and Directors 1,490 $38.09 $79,230
Set and Exhibit Designers N/A $20.15 $41,920
Writers and Authors 610 $29.89 $62,160
Total 18,450 Ec. Power: $13,936,023,000
More information from BLS
• Occupational Employment Statistics:– http://www.bls.gov/oes/ – Latest OES News Release ->– Occupational Employment and Wages, May
2010 ->– Table 1
Drill Down for More Info!
• http://www.bls.gov/oes/ – > OES Tables– > List of Occupations in Alphabetical Order
FA Survey: Artist IncomesRespondent Annual Income Distribution
0%2%4%6%8%
10%12%14%16%
Source: Fractured Atlas – Arts Career Development Survey
FA Survey: Artist Incomes
0 5 10 15 20 25 30 35 40
No portion
Less then 10%
10% - 20%
20%-50%
50%-75%
75%-100%
% of Income Generated from Art
Source: Fractured Atlas – Arts Career Development Survey
Fair ValuationOne common mistake for
emerging artists with a good creative offering in a arts hungry market is to under price. A low
price is rationalized as necessary to enter the
field.
– Caroll Michelscareer coach,
artist-advocate
Talent in the (new) service economy: creative class occupations?Posted by daviding on May 9, 2008 under services
How do you demonstrate value?How visual artists demonstrate value• Join recognized artist organizations – get listed on their rosters• Have a dealer or gallery publish a catalogue at least 12 pages long• Get listed in exhibit catalogues and bulletins from:
– Museums– Art associations– Corporate art exhibits– Juried shows– Non-juried shows– Local, regional and statewide shows
• Get your work reviewed• Any physical proof that you are an artist from neutral 3rd parties• Document every significant piece of art (Who, What, Where, etc.)• Track sales
How do other disciplines demonstrate value?
How do you demonstrate value?
Pricing Visual Art• Pricing is an art, not a science• Price competitively – benchmark competitors
– Based on art quality– Based on the production costs and efforts– Based on the position in the hierarchy of fame, fortune, and
accomplishment– Make sure you are displayed with artists in your price range
• Don’t price so low you are not taken seriously• Don’t price so high you are not taken seriously• Consult with gallerists, art appraisers, collectors, etc.• Be consistent – create a steady appreciation• Find multiple justifications for the price and be confident
Pricing Visual Art – More!• Start on the low end• Sell originals for more than reproductions• Larger works sell for more than smaller works• More expensive materials (bronze, precious
gems) command higher prices• The faster you work and the more prolific you
are, the lower your prices• If you can’t produce enough work to keep up
with the demand, then raise your prices• Don’t lower prices – offer discounts• List your prices as retail prices
Your Pricing Formula
Hourly WageX
Number of Hours+
Cost of Materials----------------------------
Price
How do other disciplines price their offerings?
How do you price yours?
Market Psychology
Why do we negotiate?
Creating Interdependence
• Integrating your interests• Remain autonomous, but become reliant
on and responsible to one another• Cooperate + Compete = Co-opetition
– Work together where neither party has competitive advantage
– Can share common costs
Reasons to Negotiate
• Anytime you cannot achieve your objectives without the cooperation of others you are negotiating
• Negotiation is an interpersonal decision making process necessary when we cannot achieve our objectives single-handedly
• Effective negotiation is not just about money. It is about relationships and trust.
First Task: Create Value
• Keep multiple issues in the conversation• Talk in terms of packages• Make bi-lateral concessions• Make multiple offers of equal value – truth serum• Throw in things you don’t care about• Ask diagnostic questions• Capitalize on differences by structuring
contingent agreements
= Issues on the Table
Create Value
1
3
45
21
2
3
4
58
7
6
9
10
Creating Value
Second Task: Divide Value
• All negotiations divide value if an agreement was reached
Create Value
1
3
4
5
2 1
2
3
45
8
7
6
9
10
Dividing Value
The Challengethroughout both tasks
Building Trust
Negotiation Sandtraps
• Leaving money on the table• Settling for too little by making too large
concessions• Walking away from the table• Settling for terms that are worse than the
alternative• Trying to negotiate when it is not beneficial
to do so
Avoid the Sandtraps
Negotiate only when both parties believe they benefit more by negotiating than by
not negotiating.
Why people are ineffective negotiatiors
• Faulty Feedback• Satisficing• Self-reinforcing incompetence• Hubris• Fear of change
Negotiation Myths
• Negotiations are fixed-sum deals• Negotiators need to be hard or soft• Good negotiators are born• Experience is a great teacher• Good negotiators take risks• Good negotiators rely on intuition
Recognize the types of issues
• Trade-off issues: Recognize and trade• Zero-sum issues: Recognize and
compromise• Compatible issues: Recognize and fully
benefit
Win-Win Deal
• Trades that create value, not compromise• Not an even split• Not based on good future relationship• Optimizes value• Both make concessions• All parties think they made a good deal• All creative opportunities are exploited• No resources were left on the table
BATNA
Best Alternative To a Negotiated Agreement
What you get if youdon’t negotiate
BATNA
• The BATNA of the other party tells you how high or low they’re willing to go.
• Know what you can offer that will be accepted.• Anchor the conversation near the BATNA, so
they will be happy to at least reach an agreement that is better than their resistance point as determined by their BATNA.
• Understanding your BATNA allows you to feel either sufficiently confident or cautious.
More BATNA Stuff
• If you have a good BATNA you can feel confident about pushing for a good deal.
• If you know that your BATNA is not good you can be careful to make appropriate (not premature) concessions to insure reaching a better then BATNA agreement.
• The more dependent you are the less you have an advantage.
Resistance Point
The minimum terms you would accept, given your BATNA. You
cannot go beyond this point.
Important: Try to estimate the other party’s resistance point.
This is also known as the walk away position.
Bargaining Zone
The overlap that exists between your resistance point
and the other party’s resistance point.
Aspiration Point
The absolute best case scenario for you, even if it’s
unrealistic.
Target Point
The best result you can hope to achieve.
Use the other party’s value system when trying to figure
out their target point.
Putting it all together in one AMAZING Illustration
Negotiator #2’sBATNA
& Resistance Point
Negotiator #1’s BATNA
& Resistance Point The Bargaining Zone
Negotiator #1’s
Target Point
Negotiator #2’s
Target Point
Negotiator #1’s Aspiration Point
Negotiator #2s Aspiration Point
Overlapping Bargaining Zone=
Positive Bargaining Zone