Art Auction at Department Store... "Starting from 0 Won"

by Kim Yuri

Published 17 Mar.2022 11:30(KST)

Shinsegae Department Store Partners with Seoul Auction to Launch Art Auctions via Department Store App
Emerging Artists' Artworks Starting at "0 Won"...Lowering Auction Barriers for Beginners
Shinsegae Expands Art Sales Business with Multifaceted Approaches

'TromTrom 02' by artist Kim Hee-kyung, featured in the first exhibition 'Zero Base: The Edit' of the digital art gallery 'Art Gallery with Seoul Auction' within the Shinsegae Department Store application (app).

[Asia Economy Reporter Yuri Kim] As the craze for 'Art-Tech,' which uses artworks as a means of financial investment, sweeps through, the role of department stores as a closer point of contact with the public is also growing. They are expanding beyond art exhibitions and sales to mobile auctions. The industry expects that diversifying the methods of art transactions through department stores will attract more beginners to the art market, and is putting effort into expanding related businesses.

According to the distribution industry on the 17th, Shinsegae Department Store opened a digital art gallery called 'Art Gallery with Seoul Auction' on its mobile application (app) and will launch the industry's first mobile art auction. To lower the barrier to the art auction market, the department store app allows free exhibition viewing, and introduced a zero-base auction starting from 0 won, breaking away from the traditional auction pricing method.

This is the first collaboration introduced together with Seoul Auction after Shinsegae invested 28 billion won at the end of last year to acquire a 4.82% stake in Seoul Auction. Zero Base is an online auction platform launched by Seoul Auction in 2019, operated by providing participation opportunities to emerging artists.

Writer Jonggi Lee, 'Pungnammun'.

From the 18th to the 31st, the 'Zero Base: The Edit' exhibition will showcase 128 works by 19 promising artists including 275C, Kim Heekyung, Lee Jonggi, Lim Hyunhee, Choi Yeji, and Han Imsu. A Shinsegae official said, "Customers who have just started to take an interest in artworks can easily access art and participate in auctions to broaden their horizons, and it will also provide emerging artists with opportunities to participate in the market and expand their sales channels."

Shinsegae is attempting to expand its art business from multiple angles. With overseas travel becoming difficult due to COVID-19, artworks have emerged as interior decor and financial investment tools, leading to increased related consumption and greater momentum. The domestic art co-purchasing market size is expected to grow from about 50.1 billion won last year to over 100 billion won this year. Shinsegae currently operates dedicated gallery teams for the art business and runs galleries where customers can appreciate and purchase artworks at its main store, Gangnam branch, and Centum City branch.

They are also strengthening efforts to develop the mobile app from a simple shopping information channel into a cultural and artistic platform. They provide services such as e-book rentals, music curation, seasonal food recipes, and social services?the first in the distribution industry?and have held events distributing self-produced non-fungible tokens (NFTs) to customers via the app. They also broadcast overseas fashion week shows live for the first time in the industry.

To expand related businesses, Shinsegae will discuss adding business purposes such as value-added telecommunications, internet auctions and product brokerage, advertising including internet advertising, advertising agency, other advertising, database and online information provision, and internet content development and supply at the upcoming general shareholders' meeting on the 24th. An industry insider said, "This is a move to expand art sales business and strengthen differentiated services through the app," adding, "Through this, they will diversify their business and secure future customers."