First of all, it is very telling that the report focused on AI, highlighting the growing interest in this space.

In summary, seasoned art collectors are largely a no-go market for AI-generated art. By most metrics, they did not value this art form. The real momentum lies with younger collectors, new collectors, and art enthusiasts.

As the AI-generated art market matures, these groups may be the ones to carry it forward. We should also consider the “great transfer of wealth,” estimated at $70 trillion, that will soon flow to younger investors, according to PwC. It will be interesting to observe how this demographic engages with AI-generated art as their purchasing power grows.

The sample audience for art enthusiasts ranges from 18 to 65 years old, making it difficult to segment preferences by age. Their income ranges between $25,000 and $100,000 USD, and they primarily purchase art for decorative purposes based on personal taste. They may not have extensive knowledge of the art market. In contrast, art collectors typically buy art for investment, collecting, and value appreciation—two distinctly different motivations.

Among the interested groups, four factors were identified that would encourage people to buy AI-generated art:

1. Price
2. Trust in the Seller
3. Artist Quality
4. Reputation of the Artist

With that in mind, it's worth diving deeper into what the report reveals about young collectors, art enthusiasts and new collectors.

Young Collectors

• 67% consider AI-generated art to be less important than human creativity.
• 44% are very excited about AI.
• 41% are familiar with AI-generated art.
• 50% are concerned with the authenticity and originality of AI-generated art.
• 47% have ethical concerns about AI-generated art’s impact on human creativity.

Art Enthusiasts

• Over a quarter have purchased AI-generated art.
• 56% see AI-generated art as being as valuable as man-made art.
• 76% want a clear way to distinguish AI-generated art from human-created art.
• 56% are optimistic, predicting AI-generated art will be as valuable as human-made art.
• 71% are very excited about the evolution of AI.
• 71% are familiar with AI-generated art.
• Only 47% are concerned about the lack of emotional connection in AI-generated art.
• 57% share concerns around authenticity and originality.
• Only 21% are worried about buying overpriced art.
• 42% have ethical concerns.
• 14% are concerned about how these artworks will be displayed.
• Over a third (36%) think AI-generated art is just as good as human-made art, while 31% think it’s better because it represents the cutting edge of creativity and innovation. This suggests a growing market for AI-generated art among younger buyers and enthusiasts.

New Collectors
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​Interest in buying AI-generated art was higher among new collectors—those who have been collecting for fewer than three years. Of this group, 7% have already purchased AI-generated art, and a further 39% said they would consider doing so in the future.

• 26% of new art buyers see value in AI-generated art.
• 44% of new collectors believe AI-generated art is inferior.
• 54% are very excited about AI-generated art.
• 7% have already bought an AI-generated artwork, with 39% considering future purchases.
• 57% share concerns about authenticity and originality.

In conclusion, this report offers valuable insights into the AI-generated art space and highlights what is needed to propel this segment of the market forward. The future momentum lies with three key groups—young collectors, new collectors, and art enthusiasts—provided their needs and concerns are adequately addressed.

Source

​https://www.hiscoxgroup.com/blog/hiscox/art-and-ai-report-2024​