4 art business numbers to watch out for (and how easy it is to get informed!)

In the dark about the numbers of your art business? Shed light on key insights that will help you measure your success and improve your business strategy. Whether it's knowing the value of your inventory versus your sales, or understanding which galleries are pulling their weight, these numbers can only help. Once you know where you are, you can make an informed plan for the future.

Here are 4 key metrics to look out for in order to improve your art business and a simple and painless way to analyze them.

1. Know the size and value of your inventory

Knowing the size and value of your inventory will help you understand where you are in your art business. And help you plan for the future. If you empty your inventory by the end of the year, you can pat yourself on the back. If you have too much inventory left by the end of the year, you can use this information to plan your future sales strategy. You can also use Art Count to see how much art you create each month and each year. This will help you decide if you need to change your production speed or work habits.

2. Track how much work is in the studio compared to what has been sold

The value of your inventory versus your sales can shed light on your art business strategy. If you have thousands of dollars worth of inventory, that means you have thousands of dollars worth of potential sales. Consider slowing down production and focus more on sales and marketing. Inventories are shrinking while sales are rising? Better go back to the studio and create more art to sell. The more aware you are of the value of your inventory versus what you've sold, the better you'll be able to plan your days.

3. Consider how many pieces were sold in each gallery.

Keep track of how your galleries are performing. If one gallery sells all of your work quickly, you know it's a winner. Keep an eye on them and make sure they have everything they need. It is also important to know if the gallery is very slow with sales. Or worse, if they don't make any sales. You can use this information to redefine the location of your artwork. It will also help you see which cities or parts of the country are best for selling your art. You can then look for new places to sell your art in those places. Informing guides your efforts in the best possible way.

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4. Compare your expenses with your income

Understanding this aspect is especially important when you are looking for where to show your work. Pottery artist Liz Crane wrote a great blog post about it called . She found that a cooperative gallery generates more revenue than a traditional or vanity gallery. But when you look at the work hours lost due to the cooperative gallery's required volunteer time, the traditional gallery came out on top. Art Biz trainer Alison Stanfield has a great list of potential expenses to consider in her post.

How can you easily track and analyze your numbers?

The Art Archive makes it easy to understand the art business. It shows you easy-to-read charts such as the number of pieces and the cost of the pieces. You can track your inventory, work for sale and sold work at a glance. You can also see the value of your work in different places. And measure your production and sales over time. Find out more about this fantastic tool.

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