BADA Survey

The Antiques Trade Gazette has an article on a survey of the British Antique Dealers’ Association, and the news is not too bad.  Actually, given the period it covers (the first six months of 2009) it is actually rather positive. The survey reveals the first six months of 2009 saw 45% of members with a decline in sales compared to only 28% the year before. 25% of those surveyed stated sales had increased, yet this was down from 34% in 2008.

Of course there are some negatives, but the news is considered better than what many had expected. I have heard through dealers and appraisers that there seems to be a bit more optimism in the antique trade, with a more client and collector interest in traditional antiques, with a shift away from mid century modern. We have seen this in the past, but with little long term effects, but perhaps now the tide might be starting to turn positive for the decorative arts and the middle markets.

The ATG reports

24% of all business was conducted at fairs (28% in 2008). Shops and galleries remain the main points of sale, accounting for 60%; this is a marked increase on the 49% of the previous period. Internet sales remain around 4%.

• Since the current economic downturn began, 29% of members have experienced noticeable delays in receiving payment from customers; in 59% of these cases causing cashflow problems.
• 38% of members felt that banks had an insufficient level of understanding of the financial requirements of their business. Nearly one third found borrowing for their business had become more difficult in the current economic climate.

Looking at the spread of turnover among members, a third registered annual revenues of between £100,000 and £500,000. Another 19% took £500,000-1m, while the same percentage achieved £1m-2m. With 12% turning over less than £100,000 a year for 2008/9, that left 17% who took more than £2m. Of that slice only one or two soared over the £20m mark.

There was little surprise when it came to which regions which turned over the most, with 43% of members in Greater London achieving sales of more than £1m, down from 48% in 2008/9. No member in the South Central or Eastern regions recorded a turnover of more than £1m.

The hardest hit speciality was pictures, which saw an overall fall of 6% turnover year on year, while furniture, silver and jewellery fell by 3%. Other disciplines fell by no more than 1%.

To read the full article, click HERE.