Sotheby’s and Christie’s hail recovery in global art market

Two of the world’s largest auction houses have signalled a return to growth in the global art market, offering early evidence that a prolonged downturn in demand may be easing.

Sotheby’s, headquartered in New York, said it expects sales to rise by 17 per cent in 2025 to around $7 billion. Auction sales alone are forecast to increase by more than a quarter year on year to $5.7 billion, alongside what the company described as its strongest-ever performance in luxury categories.

That outlook places Sotheby’s ahead of its closest rival, Christie’s, which said on Tuesday that it anticipates global sales rising by about 6 per cent to $6.2 billion this year. Both auction houses are privately owned and did not disclose profit or loss figures.

The fine art market has faced several challenging years, marked by weaker demand from ultra-wealthy collectors and shifting tastes among younger buyers. Sotheby’s, which is owned by billionaire Patrick Drahi, reported annual losses that more than doubled to $248 million in 2024, according to recent Companies House filings. Christie’s is owned by Artémis, the holding company of François Pinault, the French billionaire behind luxury group Kering.

Charles Stewart, chief executive of Sotheby’s, said the latest figures pointed to a “return to growth”, underpinned by strong buyer demand across more than 450 auctions held in nine countries.

Among the most high-profile sales this year was the $10 million auction of Jane Birkin’s original Hermès Birkin bag in July, making it the most valuable handbag ever sold at auction. A collection of Patek Philippe watches also fetched $11.9 million during Sotheby’s collectors week in Abu Dhabi.

Sotheby’s said interest from younger and first-time buyers continued to grow. First-time bidders accounted for 35 per cent of participants, while buyers under the age of 40 made up 17 per cent of global fine art bidders and just under 30 per cent in luxury categories.

“Our strong performance in the second half of the year demonstrates clear momentum in our markets,” Stewart said. “This has been driven by more high-quality collections coming to market and meeting record levels of buyer demand.”

Christie’s also struck an upbeat tone. Bonnie Brennan, its chief executive, said that “the energy has returned to the salesroom, online and across the market”.

Both auction houses highlighted strong growth in luxury sales, which rose by 22 per cent at Sotheby’s and 17 per cent at Christie’s. Luxury goods have increasingly been positioned as an entry point for younger collectors, a strategy both firms have leaned into as they seek to broaden their client base and stabilise revenues beyond traditional fine art.

While challenges remain, the improved outlook from the two dominant players suggests the global art market may be entering a more stable phase after years of contraction.

Amy Ingham

Amy is a newly qualified journalist specialising in business journalism at Business Matters with responsibility for news content for what is now the UK’s largest print and online source of current business news.