Art Basel Miami 2023

Welcome to the 16th edition of the Maximalist! Dive into the ultimate guide, filled with insider insights into the world of fashion, art, real estate, travel, jewelry, and horology.

The world of luxury is never boring, and this week is no exception. Let’s dive in!

Markets

End of an Era: The Decline in Swiss Luxury Watch Market

The Swiss luxury watch industry, which experienced an unprecedented boom over the past three years, is now facing a significant downturn. This surge led to record Swiss watch exports, reaching nearly 25 billion francs in 2022, with brands like Audemars Piguet and Rolex at the forefront. However, the industry is now grappling with various challenges, including higher interest rates, uncertain economic growth, aggressive price hikes, and increased production. These factors are impacting the spending behavior of consumers, who were once eager to invest in luxury timepieces.

The cooling demand has been evident in recent months, with a noticeable decline in prices in the secondary market and a shift in the outlook of industry executives. Francois-Henry Bennahmias, CEO of Audemars Piguet, remarked that the sales levels seen in 2021 and 2022 were extraordinary and unlikely to be repeated.

This slowdown is part of a broader trend affecting the luxury goods sector, with major players like LVMH and Kering SA experiencing reduced sales due to inflation and recession concerns. This could lead to reduced pricing power and pressure on margins and profits. The downturn was highlighted in Richemont's half-year results, showing a decline in watch sales and a significant drop in the Americas.

The Swiss watch export figures have started to decline, and the Bloomberg Subdial Watch Index, which tracks the 50 most-traded watch models, has seen a 42% decrease since its peak in April 2022. This downturn signals a farewell to the exceptional growth experienced in the post-pandemic years, with luxury not being immune to recessionary impacts. Read more →

Chanel's Metiers d'Art Show in Manchester

Chanel's prestigious Metiers d'Art runway show was held in Manchester, England, showcasing the French luxury label's special collection that emphasizes its exquisite craftwork. The event, set on a rainy street under a transparent canopy, attracted a host of celebrities, including Tilda Swinton, Hugh Grant, Kristen Stewart, Alexa Chung, and British rapper Aitch. The show showcased models donning 1960s-inspired hairdos and Chanel's iconic tweed ensembles in vibrant colors, paired with Mary Jane shoes.

This annual event highlights Chanel's intricate lace, embroidery, and other crafts from its specialty workshops near Paris. A film of the collection, featuring photography by Jamie Hawkesworth and music by New Order, is set to be released by Chanel. The choice of Manchester, with its rich textile history and cultural significance in British pop culture, sports, and fashion, added a unique backdrop to the event. Read more →

Shiseido Launches LIFT Ventures: Investing in Beauty Wellness Innovation

Shiseido Company, a renowned global beauty company, has announced the establishment of Shiseido Long Term Investments for the Future (LIFT) Ventures. This new venture fund is a strategic move to invest in early-stage companies within the beauty wellness space, focusing on novel technologies, innovative platforms, high-growth brands, and new business models. LIFT Ventures aims to propel Shiseido towards its goal of becoming a personal beauty wellness company by 2030. The fund will primarily target innovation in the Western hemisphere while maintaining a global perspective.

The fund's inaugural investments include Phi Therapeutics, Inc. (Phyla), a leader in bacteriophage technology based in San Francisco, and Patrick Kidd Holdings Pty Ltd. (Patricks), a Sydney-based men’s grooming brand. These investments reflect Shiseido's commitment to pioneering beauty wellness solutions and supporting emerging businesses in the industry. Led by Ron Gee, President and CEO of Shiseido Americas, LIFT Ventures is based in New York City. This initiative underscores Shiseido's enduring focus on innovation and its vision to shape the future of beauty and wellness. Read more →

Lanvin Group Announces Leadership Changes with New CEO and Chairman

Lanvin Group has undergone significant leadership changes, with Joann Cheng stepping down as the founding chairman and CEO. Effective December 7, Huang Zhen has assumed the role of chairman, while Eric Chan has been appointed as the new CEO. Cheng's departure follows a successful tenure where she oversaw the transformation of Lanvin Group into a listed company on the New York Stock Exchange and initiated several key growth strategies, including the Lanvin Lab creative partnerships initiative.

Huang Zhen, the new chairman, previously served as executive director and executive president at Fosun International, which holds a controlling stake in Lanvin Group. Eric Chan, the newly appointed CEO, brings over 30 years of experience in the commercial sector, including omnichannel shopping, luxury commercial real estate, and high-end hotels and resorts. He was co-chairman of Greater Yuyuan Commercial Development Group prior to joining Lanvin Group.

This leadership change comes as Lanvin Group embarks on a significant phase of growth, focusing on retail expansion across North America, Europe, Asia, and the Middle East. Zhen emphasized Chan's extensive real estate and consumer experience as crucial for driving the group's global expansion and growth. The group is also exploring opportunities in mergers and acquisitions.

Despite a 10.8% revenue decline in the Lanvin brand due to transitions in creative leadership, the group's overall revenue rose by 6.4% year-on-year to €215 million in the first half of 2023. Chan expressed enthusiasm about joining Lanvin Group at this pivotal time, highlighting the clear creative direction, strong brand leadership, and a consumer engagement strategy that spans digital and retail. He sees significant opportunities for international expansion and building the group's presence globally. Read more →

Art Basel Miami 2023: A Convergence of Artistic Innovation and Market Dynamics

During this past weekend, Art Basel Miami Beach, in its 21st edition, reaffirmed its status as a premier destination for art enthusiasts, collectors, and gallerists. The Miami Beach Convention Center, transformed into a sprawling canvas of creativity, played host to an international assembly of artists, collectors, and galleries. This year's fair was not just a showcase of artistic talent but also a reflection of the art market's complexities and the cultural metamorphosis of Miami itself.

Art Basel unfolded against the backdrop of a city in the midst of a cultural renaissance. Miami, long celebrated for its Art Deco architecture and vibrant nightlife, has emerged as a global hub for art and design, attracting a sophisticated international audience. This transformation was mirrored in the fair's offerings, which spanned a wide spectrum of media and styles, from cutting-edge digital art to traditional paintings and sculptures. The event was a testament to the evolving tastes and trends of the art world, highlighting both established masters and emerging talents.

The fair's significance extended beyond the art on display. It was a barometer for the health and direction of the art market, with collectors and gallerists engaging in a dynamic exchange that set the tone for the year ahead in art commerce. The conversations and transactions at Art Basel offered insights into the shifting preferences of collectors, the strategies of galleries in a competitive market, and the ever-present quest for the next big thing in art.

Moreover, Art Basel was a focal point for examining the broader societal and cultural shifts reflected in contemporary art. The artworks presented served as a commentary on current global issues, personal narratives, and artistic explorations, offering a window into the diverse perspectives and experiences shaping our world. The fair's role in facilitating these dialogues underscored its importance as a cultural event, far surpassing its commercial aspects.

As attendees navigated the labyrinth of galleries and installations, they encountered a microcosm of the global art scene: a place where beauty, innovation, and commerce intersected in a vibrant celebration of human creativity.

Collector Insights

At the heart of Art Basel was the collective pulse of the collectors. This year, collectors offered a fascinating glimpse into the complexities and nuances of collecting contemporary art. In turn, this revealed a landscape of both enthusiasm and discernment.

The collectors at Art Basel were a diverse group, ranging from seasoned veterans to enthusiastic newcomers, each bringing their own unique approach to the art of collecting. Their presence underscored the fair's role as a critical meeting point for the exchange of ideas and the cultivation of art patronage. For many collectors, the fair was not just about acquiring new pieces but also about engaging with the narratives and visions behind the artworks.

Discussions with collectors like Josh Abraham and Jeff Magid highlighted a sense of cautious optimism. They noted the vibrant energy of the fair, indicative of a thriving art scene, yet also pointed out the challenges in navigating the art market. Their observations touched on the delicate balance between the artistic value and market viability of artworks, reflecting a deep understanding of the intricacies of art collection as an intersection of passion and investment. These insights also shed light on the evolving trends in the art world. There was a noticeable interest in emerging artists and new media, signaling a shift towards more experimental and boundary-pushing works. This trend was not just about aesthetic preferences but also about supporting new voices and perspectives in the art world.

Moreover, the collectors' experiences at Art Basel revealed the changing dynamics of art acquisition. With the increasing prevalence of digital platforms and virtual galleries, the traditional model of art collection is being redefined. Collectors spoke about the blend of physical and digital experiences in discovering and acquiring art, illustrating how technology is transforming the art market.

Artistic Highlights and Notable Exhibits

Art Basel offered a kaleidoscope of artistic innovation, showcasing a stunning array of works from a diverse group of artists. The fair's galleries presented pieces that ranged from the thought-provoking to the visually spectacular, each contributing to the rich tapestry of contemporary art on display.

One of the standout exhibits was the mere $20 million painting, Painter at Night (1979), by Philip Guston and presented by Hauser & Wirth. This piece sold during VIP night, the night before the show opened to the public. This significant sale not only underscored the enduring appeal of Guston's work but also highlighted the market's appetite for high-value, historically important pieces. Guston's painting, known for its raw, emotive power and distinctive style, was a focal point of the fair, drawing collectors and enthusiasts alike.

At Bradley Ertaskiran's booth, the immersive installation by Sudanese-Canadian artist Azza El Siddique, titled "Final Fantasy," captivated audiences with its multi-sensory approach. Drawing inspiration from ancient Egyptian and Sudanese culture, El Siddique's work was a profound exploration of themes such as control, religion, and loss, paralleled in contemporary society. The installation, featuring cement sculptures of Dobermans in a sphinx position and a large square steel structure, was a testament to the artist's innovative use of materials and narrative.

The C L E A R I N G gallery presented an array of compelling works, including Shota Nakamura’s bright red canvas Untitled (2023) and several of Sara Flores's intricate pieces. Aaron Garber-Maikovska, Robert Zehnder, Celia Vasquez Yui, Sergey Kononov, Marguerite Humeau, Blair Whiteford, Calvin Marcus, Ken Price, Loïc Raguénès, Javier Barrios, Jean-Marie Appriou, Daisy Sheff, and Henry Curchod were others present at B60.

Another highlight was Emma Webster's presentation at Perrotin's booth. Webster's large paintings, priced between $80,000 and $175,000, were a blend of the fantastical and the terrifying, exploring our complex relationship with the environment. Her unique process of creating these paintings involved a hybrid VR method, where she traced and painted her VR creations onto canvas, showcasing a fascinating intersection of technology and traditional painting.

Miami's Cultural and Architectural Evolution

This year, Art Basel not only showcased the world's finest contemporary art but also highlighted Miami's remarkable cultural and architectural evolution. This evolution has transformed the city into a global epicenter for art, design, and luxury living.

The fair took place amidst Miami's iconic Art Deco backdrop, a testament to the city's rich architectural heritage. This year, however, there was a palpable sense of a city in the midst of transformation, blending its historic charm with modern innovation. A prime example was the ongoing revival of the Raleigh Hotel, an emblem of Miami's art deco elegance. The hotel's restoration, spearheaded by developer Michael Shvo and architect Peter Marino, symbolized the city's commitment to preserving its architectural past while embracing contemporary design.

This architectural renaissance extended beyond individual projects. The Miami Design District, a neighborhood dedicated to innovative design, fashion, and art, has become a focal point for the city's creative community. The district, with its high-end boutiques, galleries, and public art installations, epitomizes the new Miami—a city that seamlessly integrates luxury and culture.

Art Basel itself has played a significant role in Miami's cultural metamorphosis. Since its inception in 2002, the fair has attracted a global audience, turning the city into a melting pot of artistic and cultural influences. This influx of international artists, collectors, and enthusiasts has spurred the growth of local galleries, museums, and cultural institutions, further enriching Miami's cultural landscape.

Moreover, the fair coincided with a broader shift in Miami's identity. Once known primarily for its beaches and nightlife, the city has emerged as a hub for cultural and intellectual exchange. This shift is evident in the growing number of cultural events, art exhibitions, and educational initiatives taking place throughout the city, attracting a diverse and sophisticated audience.

Market Trends and Economic Impact

The economic impact of Art Basel was substantial, with high-value sales like the $20 million Philip Guston painting previously mentioned, signaling a robust and confident art market. These significant transactions demonstrated the continued willingness of collectors to invest in high-quality works, underscoring the resilience and appeal of the art market even in times of broader economic uncertainty. Fionna Flaherty, a partner at Lehmann Maupin, said in a press statement, “Sales at the booth have been strong since the opening hours of the fair, signaling an optimistic shift in this year’s sleepier market and economy.”

However, the fair also highlighted some nuanced shifts in market dynamics. Collectors seemed interested in a far more diverse array of artworks. Emerging artists and unconventional mediums were gaining traction, indicating a broadening of market interests beyond established names and traditional formats. Discussions among collectors, gallerists, and art professionals at the fair revealed a keen awareness of the delicate balance between artistic value and commercial viability. The pricing strategies employed by galleries were a topic of much debate, with some expressing concerns over the sustainability of high valuations for emerging artists. This conversation highlighted the complexities of pricing art—a process that must consider not only the current market demand but also the long-term trajectory of an artist's career.

The fair also underscored the increasing importance of digital platforms in the art market. Online viewings, virtual galleries, and digital sales have become integral components of the art market ecosystem, expanding the reach of galleries and artists while offering collectors new ways to discover and acquire art. This digital shift, accelerated by the global pandemic, has paved the way for reshaping the traditional art market model.

Reflecting the Zeitgeist of Contemporary Art

As Art Basel 2023 drew to a close, it was clear that the fair was much more than an annual event; it was a vivid reflection of the zeitgeist of contemporary art. The fair not only showcased an array of stunning artworks but also served as a mirror to the current state of the art world, revealing the trends, challenges, and innovations that define our times.

The diversity of artworks and the multitude of voices represented at the fair spoke volumes about the inclusivity and dynamism of contemporary art. From the groundbreaking works of emerging artists to the masterpieces of established figures, Art Basel was a testament to the richness and depth of artistic expression in the 21st century. The fair was a celebration of creativity that transcended boundaries, showcasing a wide array of mediums, styles, and perspectives.

Moreover, Art Basel highlighted the evolving relationship between art and its audience. The fair was not just a place for transactions and displays; it was a space for dialogue and discovery. It fostered interactions between artists, collectors, and art enthusiasts, facilitating conversations that extended beyond the confines of the fair. These interactions were crucial in shaping the understanding and appreciation of contemporary art, making the fair a vital hub for cultural exchange.

Thank you again for supporting the world of luxury.