Newmenon.com Introduces Modern Art Pricing Model for Contemporary Collectors and Gallerists Just in Time for Holidays

Share Article

A new modern art pricing model for modern and contemporary art is available as a free download from Newmenon.com. The Model is based on Peak Art Theory and introduces a work called Google's Secret Edge (2007) by Newmenon.

Google's Secret Edge (2007) closeup

Collectors need more than an eye. When price matters, you need a pricing model.

A new modern art pricing model for modern and contemporary art is available as a free download from Newmenon.com.

Lorenz Kraus, MBA Rensselaer, author of the model, writes, “It doesn’t matter if you own something by Andy Warhol or Damien Hirst, collectors need more than an eye. When price matters, you need a pricing model.”

The model provides an explanation for why modern art prices have soared over the last three decades. In light of the 2008 financial catastrophe and its impact on the art market, collectors and gallerists will find valuable and timely insights. Gallerists are free to forward the document to their clients. Unlike a brand-based model, a formic pricing model empowers the critical eye. Thus historians, critics, and students will find the model of special interest.

“No one has explained the reason for run-away art prices to my satisfaction,” says Kraus.

“Peak Art Theory provides a big picture perspective for modernism that any collector knows deep down, but hasn’t seen in this new intuitive way,” Kraus adds. The model suggests a real-world reason for the ‘inflated’ prices seen in modern art. The simplicity of the model should get collectors’ attention. Gallerists will certainly want to reassure their clients of the formic value of their collections in this tough market by forwarding them a pricing model to see them through their holiday purchases.

The Peak Art Pricing Model is used to analyze the work, “Google’s Secret Edge” (2007). Assuming that it is a new and final form of modern art, the model establishes a present value price range. The work is available for viewing through Newmenon.com

Just as Peak Oil Theory suggests that there is a halfway mark between petroleum already consumed and petroleum still available for consumption, whereupon prices skyrocket, Peak Art Theory suggests a halfway mark in the productivity of new forms of modern art, after which prices for established modernists and more recent innovators would surge. A virtue of the model is that it integrates recent market observations in both modern and contemporary art.

“The paradox is that art and computer prices tend to go in opposite directions,” says Kraus. The theory would attribute rising modern art prices over the last two decades not to the influx of wealth, necessarily, but to the decline in productivity of new forms of modern art. “People assume there are no limits to creativity and thus to art, but there is a limit to new forms that can be produced,” says Kraus. “Forms are limited by the potential of the medium.” There are billions of people, but there is basically one form of man. There are many imitators of Picasso or Pollack, but no one can surprise the world with drips or multiple perspective techniques as they did. Kraus emphasizes, "There are only so many ways to apply paint and only so many techniques to tinker with images. Modernism has done almost everything one can with traditional materials. Only new materials will generate new forms." In the mean time, formic innovations will remain valuable.

Those with a business perspective, such as hedge fund managers and venture capitalists, will find the Peak Art Model tailored to their style of thinking.

Don Thompson, author of the $12 Million Stuffed Shark, identified the power of branding to add intangible value to art.

Peak Art Theory shows why branding is prevalent. Branding increases when formic art innovations declined to a drip. Without formic innovations, standard formulas get ranked just like cola. Brands become a stand-in for forms. To Kraus that’s OK. "It’s inevitable as modernism tails off.”

The modern art market has been hit hard with the rest of the economy. It tends to rise and fall with the rise and fall of financial sectors. Collectors should be looking for the artist of the next boom. The Pricing Model introduces the Newmenon as the tip of the next wave in modern art. While collectors and gallerists are clearing the deck for the future, the Newmenon may be both the last form of modern art and a transition piece to whatever comes next. Download the details from newmenon.com

Newmenon.com carries works priced from $20,000 for each of an eventual 50-piece Wine Bottle Series to canvas Newmenons, like “Google’s Secret Edge,” that are significantly more. Inquiries welcome.

Lorenz Kraus is an MBA graduate from Rensselaer with a focus in strategic innovation and commodity trading.

###

Share article on social media or email:

View article via:

Pdf Print

Contact Author

LORENZ KRAUS
Newmenon
518-436-5374
Email >
Visit website