I recently lost a sale with a good client. The work in question is by an up and coming emerging artist with no auction track record. The piece looked amazing in my client's home and they both loved it.
The artist is doing very well and believes the artwork should command higher and higher prices. In this case, my clients decided that their money would be better spent putting those dollars toward work by an investment grade artist. I can't blame them as the work in question was on the higher side and they've smartly invested in some very good pieces that have great upside potential. Now that they have a taste of artwork that appreciates, they've made that a consideration for acquisitions.
The artist is now willing to lower the prices. Hopefully this incident will be remembered by the artist and his manager.
I believe that collectors need to have a mix of big name artists as well as emerging artists in their portfolio. None of us know what the future will bring and that emerging artist you collect today may be the next Andy Warhol, Picasso or Jeff Koons!