Germany’s art galleries are in severe economic distress but still constitute a dynamic cultural fabric capable of producing thousands of exhibitions and attracting hundreds of thousands of visitors. This, in a nutshell, is what emerges from the Galerienstudie III report, a five-yearly report on the state of galleries produced by the Institutfür Strategieentwicklung (IFSE, Institute for Strategic Development) and just published, twelve years after the first nationwide survey and five years after the study conducted during the 2020 pandemic. This edition provides an updated overview of the situation of professional galleries in Germany, analyzing their economic conditions, structural characteristics, and crucial role in the art system.
Galleries in Germany are distributed in a decentralized manner, with concentrations in the major art cities of Berlin, Hamburg, Munich, Cologne, Düsseldorf, Frankfurt, Stuttgart, Leipzig, and Karlsruhe. The difficult economic fringe they are experiencing mirrors that of the global art trade: according to the Art Basel & UBS Art Market Report, the global art market in fact reached a turnover of $57.5 billion in 2024, registering a 12 percent decline from the previous year. This represents the sharpest slowdown since the pandemic-related low point in 2020. However, despite the overall decline in sales, the number of transactions increased by 3 percent, with a significant shift in market activity toward lower price segments, while high-value sales declined in importance. In the gallery sector, 2024 was also a polarizing year. Global sales in this segment decreased by 6 percent to $34.1 billion. The top market segment was particularly hard hit: 64 percent of galleries with annual sales over $10 million reported lower sales than the previous year, with an average decrease of 9 percent. The middle segment ($5-10 million) lost 3%, while galleries with sales between $1 million and $5 million reported 10% growth. Smaller galleries, with annual sales of less than $250,000, experienced the greatest growth, increasing their sales by an average of 17%, marking the second consecutive year of growth after a long period of weak development.
This trend toward smaller market players is also relevant to the German art market. Many galleries in Germany operate in precisely those revenue brackets that have seen growth internationally. Although Germany remains below the leading markets in terms of total sales, its share of the global art market is stably at 3 percent. Germany and Switzerland thus share fifth place, behind the United States (43 percent), the United Kingdom (18 percent), China (15 percent) and France (7 percent). However, the economic situation for galleries remains tense. According to the Art Basel & UBS Art Market Report 2024, average operating costs have also risen, by 10 percent, mainly due to expenses for personnel, rent, technology and fair attendance. In Germany, this cost pressure is further exacerbated by structural factors such as the Künstlersozialabgabe (artists’ social contribution). One positive sign, however, was the return of the reduced VAT rate of 7 percent on art sales as of Jan. 1, 2025.
In Germany, about 59 percent of the galleries belong to the small segment, with annual sales of less than €400,000, about 28 percent to the medium-sized segment (€400,000 to €1.5 million) and about 13 percent to the large segment, with sales of more than €1.5 million. This basically confirms the 2020 study’s segmentation. The median turnover stands at 300,000 euros, the average at over 800,000 euros. Projecting these figures results in an estimated total turnover of about 600 million euros, which is significantly lower than the 2020 Galerienstudie benchmark figure of 890 million euros.
The market behavior of many galleries has changed. In the contemporary segment, sales declined by 11 percent in 2024, while galleries focused on established artists from the postwar period, modernism, and Old Masters reported stable or slightly increasing sales. The distribution of sales within individual galleries also shifted: 56 percent of annual sales in 2024 were generated by the three artists with the highest sales, a three percentage point increase from the previous year. At the same time, in the primary market, i.e., the direct sale of artworks by galleries, differentiation has increased slightly, with a decrease in the share of total turnover of the top-selling artists. Another trend is the increase in the percentage of female artists. Their share among artists represented by galleries worldwide rose to 41 percent in 2024, and even 46 percent in the primary market. The turnover share was 42%, a remarkable increase from previous years and a sign of increasing visibility for successful women artists. For future development, it is remarkable that 44% of buyers in 2024 purchased for the first time from their respective gallery, with the share in smaller galleries reaching 50%. This dynamic, combined with more sales at lower prices, indicates a slight opening of the market, but without eliminating its structural risks.
The study estimates that there are about 700 professional galleries in Germany. The survey was conducted online in the spring of 2025, with an observation period referring to the year 2024. More than 160 galleries participated, and about 150 questionnaires were evaluated. For the first time, the study specifically asked the gender of the gallerists primarily responsible: 59% were men, 39% women, and 2% identified themselves as different. The average age of galleries at the time of the survey is 27 years. About 6% were founded since 2020, about 45% have been in existence since before 2000, and a third were founded in the 2000s. About 10% are over 50 years old. About 73% of the gallery owners surveyed started their business between 1990 and 2019, and only 7% have taken on this role since 2020. 29% said they took over as gallery directors before 2000. Comparison with the year of founding suggests that in about one-fifth of the galleries a generational change or takeover occurred.
The spatial distribution of the surveyed galleries broadly reflects the actual structure of professional galleries in Germany, with strong participation from Berlin (38 percent), North Rhine-Westphalia (16 percent), Baden-Württemberg (14 percent), Hamburg (11 percent) and Bavaria (9 percent). At the same time, about one-third of the galleries are located outside the major centers, either in small and medium-sized cities or in rural regions, highlighting both the concentration in urban areas and the fragmented and decentralized structure of the gallery market in Germany.
Gallery directors come from a wide range of professional backgrounds: 27 percent have studied art history or art science, 11 percent have an art background, 12 percent have completed studies in business administration or a similar field, and an additional 7 percent have a business background. The share of gallery owners with a business background is thus 19 percent overall, in line with 2020. The fields of activity of galleries remain diverse. Selling in the primary market, and thus mediating contemporary art, remained in first place in 2024. Many galleries are also active in art trading, offering consultations, organizing events, publishing, curating exhibitions, and mediating loans. The breadth of activities has further expanded since 2020, reflecting the increasing diversification of galleries’ work. In particular, the increase in activities in the secondary market (from 48 percent to 54 percent) and events (from 50 percent to 55 percent) is evident, as is the curating of external exhibitions (from 38 percent to 42 percent). New fields such as art rental, digital formats or project-based activities are emerging, but for now they play a secondary role. However, when questioned about the most economically important field of activity, 76 percent of galleries indicate the primary market, followed by the secondary market with 15 percent. Art consulting and edition sales each stand at 3 percent. This confirms that despite the increasing variety of activities, the primary market remains the economic backbone of gallery work. Classic sales continue to be the core business, flanked by mediation, publication and event formats. Galleries today increasingly operate in a hybrid fashion, as vendors, cultural organizers, publishers and consultants, but the economic importance of these additional fields, measured in terms of turnover, remains significantly lower.
In 2024, German galleries collectively created more than 3,000 jobs. The average number of employees per gallery increased slightly, although the average value is stuck at the number of 3 employees. About 10% of galleries have more than 10 employees. Estimates for 2024, based on about 700 professional galleries in Germany, indicate up to 1,000 business owners, about 1,400 employees subject to social security contributions, nearly 900 low-income employees, more than 1,000 freelance staff and more than 500 interns, often involved on a project or temporary basis. The total estimated number of people currently working in German galleries varies between 3,000 and 5,000 depending on estimates.
The demands on gallery employees are diverse and high, as not only art history knowledge or sales talent, but also autonomy, communication skills, digital skills, and a professional approach to dealing with clients. The most frequent expectations include autonomous work and a sense of responsibility (92 percent), accuracy and reliability (91 percent), good manners (86 percent), organizational talent and project management (83 percent), sales competence and customer orientation (82 percent), language proficiency (80 percent), ability teamwork and communication strength (77 percent), digital skills (76 percent), experience in art management, transportation and logistics (75 percent), and knowledge of art history (67 percent). These demands outline a complex professional profile that moves between art mediation, project management, and entrepreneurship. In Germany, there is no specific vocational training for working in art galleries. Employees enter the profession through very different routes, making the search for qualified personnel even more difficult.
It is therefore not surprising that many galleries describe finding suitable staff as a challenge. Lack of qualified candidates, unrealistic salary expectations, lack of resilience, and unwillingness to work flexible hours, such as weekends or during fairs, are cited as the main reasons. Some galleries also report that younger applicants have different expectations regarding work ethic, leadership, and work-life balance, such as a desire for more flexible work patterns, flatter hierarchies, or a clear separation of work and private life, which are not always compatible with the operational realities of many galleries, characterized by small teams, irregular work schedules, and high personal responsibility.
The study again investigated which measures and tools contribute most to economic success from the perspective of gallery owners. A differentiated picture emerges between what is regularly practiced and what actually contributes to the economy. While almost all galleries (93 percent) operate their own website, only 40 percent consider it a key success factor. Instagram has established itself as a communication channel (88% in 2025), but has little economic importance (12%). In contrast, nurturing personal relationships with collectors is not only among the most frequently used measures (87%), but also tops the list of economically relevant activities with 72%. Participation in fairs has also stabilized in evaluation: 80 percent of galleries participate in them, and 67 percent attach high economic importance to them. Exhibition openings remain relevant, both in their implementation (91%) and their impact (59%). This shows that direct meetings and personal networks remain the decisive and effective factors in gallery management. In contrast, platforms, mediation through artists or social media lose further economic importance, while remaining present in the day-to-day operations of galleries.
It follows that the hope placed in digital formats during the pandemic is of relative importance. Although many galleries have invested since 2020 in websites, online stores, viewing rooms, or social media, the economic effect remains limited. The percentage of online sales has not increased since 2019, but has decreased, averaging about 12 percent in 2024. The German gallery market is thus well below the international average of 22 percent indicated by the Art Basel & UBS Art Market Report 2025. Most of the galleries surveyed have modified or expanded individual elements of their business model from pandemic, virtual exhibitions to podcasts to new sales formats or cooperations. However, it is clear that few of these innovations have so far established themselves as sustainable alternative sales channels. Instead, pragmatic realism is observed: much is being experimented with, some things professionalized, but only a few adopted in a lasting way. The orientation of many galleries remains close to classical exhibition and sales practice.
Digitization of gallery management often remains additive, not supplementary; it complements existing activity but does not replace it. Reluctance toward fundamental digital transformations has several causes: smaller galleries often lack the human or financial resources to build complex software structures or digital infrastructure. Larger galleries, particularly those with regular exhibition activities, are much better positioned technologically. The introduction of AI-based tools is so far hesitant; about half of the galleries forego them altogether. Where AI is used, it is mainly for point applications in translation, text creation or newsletter delivery. Strategic-economic applications such as target analysis, pricing or authenticity verification play a marginal role so far.
In 2024, nearly half of the surveyed galleries (48 percent) used hybrid exhibition or mediation formats. Simple digital integrations dominate: online viewing rooms parallel to physical exhibitions (29 percent) and virtual exhibition tours (27 percent) are the most cited formats. More complex approaches such as digital conversations with artists, digital exhibition formats, livestreams or accompanying programs were used by only 6 to 12 percent of galleries. AR/App formats are not very popular (2%). The effectiveness of hybrid formats is generally rated cautiously. Only a few galleries gave high ratings, especially when multiple formats were combined. Galleries with only one or two formats were often unconvinced. Only with four or more formats used does the rating rise significantly. This suggests that purposeful and diverse use correlates with higher satisfaction, while punctual or experimental applications tend to lead to disappointment. Hybrid formats in 2024 are not a standard, but a selectively used tool whose potential is exploited only in isolated cases. They remain a complementary offering, but not a mainstay of regular gallery work.
For the first time, the Galerienstudie systematically surveyed the topic of ecological sustainability. The results show an overall high awareness for simple and practical measures, and the first approaches to structural depth in strategic implementation. Most galleries already use LED lighting (91 percent), forgo unnecessary packaging (87 percent), separate waste (79 percent), or reuse materials (75 percent).
These measures do not require structural transformation, are easy to implement, and often save costs as well. Strategic approaches such as balancing emissions or formulating concrete reduction targets, on the other hand, are extremely rare (3%, 4%). Nine percent of galleries said they have not taken concrete measures but are interested, while 3 percent said sustainability is not yet a theme in their work.
In 2024, German galleries collectively represent about 14,600 artists, a number that remains almost unchanged from the last survey. The median is still 16 artists per gallery, while the average has risen slightly to nearly 21 due to larger galleries. An uneven distribution of revenues within the gallery program persists: in many galleries, individual artists contribute the bulk of revenues, while others, often younger, experimental or less commercially attractive artists, depend on cross-subsidies.
Instead, the gender distribution has changed. The proportion of women artists is now 41 percent, up from 35 percent in 2020. The average share of women has thus increased by six percentage points in four years. Most galleries report that the percentage of women artists has increased, justifying this by a more conscious programming policy, greater visibility of women’s positions, or a desire for balance.
Collaboration between galleries and artists is ideally based on trust, mutual esteem and a shared interest in artistic development and economic sustainability. However, this relationship is structurally complex, as it combines curatorial responsibilities, economic cooperation, and personal loyalties. In this context, it is surprising how little this relationship is still formalized. Although there is a slight change since the last survey (from 10 percent in 2020 to 18 percent in 2024 of galleries that regularly enter into written contracts with artists), an additional 38 percent enter into contracts in individual cases, but 39 percent continue to basically forgo written agreements. The reasons given for this waiver-as in 2020-are the high value of trust, the specificity of artistic processes, and the desire for flexibility. However, it is often overlooked that collaboration based on trust also benefits from clarity. Written agreements not only create security in exceptional situations, but also provide a basis for ongoing discussions about common goals, working conditions, and expectations.
In 2024, German galleries held an average of six exhibitions per year. This translates into a total calculated value of more than 4,000 exhibitions nationwide, or more than ten new exhibitions every day, attracting two million visitors per year (estimated number). In 2024, vernissages were attended by an average of about 130 visitors, with a median of 60. Individual events are experiencing significantly higher attendance than in the past, but the typical vernissage is somewhat less attended today than it once was. The number of vernissages per year has also decreased slightly: the average is 5.5, with a median of 5. In 2020, the average was still above 6. This figure, combined with slightly lower attendance, suggests a reduction in attendance and an increased focus on a few high-profile events.
Exhibition areas per gallery in 2024 range from a few square meters to 2,000 m², with a median value of 123 m² and an average of 182 m². The total exhibition area of professional galleries in Germany is estimated to exceed 120,000 m². On average, galleries have a total space of more than 400 m². A good location, proximity to museums, cultural institutions and a lively environment remain decisive factors for most galleries.
Although it is expected that some galleries can also operate successfully in more peripheral locations, perhaps digitally connected or with a strong exhibition focus, physical space has not lost its central importance. Rather, it emerges that the latter continues to play a key role as a base and anchor in a hybrid structure of analog, mobile, and digital formats. Most galleries (77 percent) operate only one venue, but about a quarter have two or more, sometimes internationally, sometimes temporarily or curated in different contexts. This confirms for the first time quantitatively a trend toward multi-location structures, which had only been observed qualitatively in the 2020 study.
Painting remains the central and unchallenged category in the German market; almost all galleries (97 percent) include it in their program, and two-thirds (67 percent) indicate it as the most economically important category. Works on paper, sculpture, drawings and photography are also popular, as are objects and graphic art. Performance, media art, and installation art, on the other hand, are represented far less frequently, confirming the impression that certain art formats, which are harder to sell, are presented more for symbolic profiling purposes or because a gallery still wants to show the most interesting of a work. Despite the diversity of the program, the center of gravity of sales has shifted more toward the middle and lower price segment.
In 39 percent of galleries, most sales are generated by works between €1,000 and €5,000, and in an additional 30 percent in the range of €5,000 to €10,000. In contrast, the percentage of galleries that generate their main turnovers from high-value works has declined sharply: whereas in 2020 about 16 percent of galleries had their largest sales in the segment over €50,000, by 2024 this percentage had dropped to 7 percent. This shift indicates a greater concentration in the lower price segment, with a simultaneous decrease in high-value sales, continuing a trend toward fragmentation already seen in the last survey.
The market remains clearly oriented toward private clients: more than 60 percent of the galleries make most of their sales with individuals, while institutional buyers play a secondary role in most galleries. At the same time, there is evidence of a strong dependence on repeat customers; more than half of the galleries generate more than 50 percent of their turnover with them. However, acquiring new customers remains a significant factor: about 40 percent of galleries generate at least 30 percent of their turnover with new customers. Compared to 2020, there is a slight opening to new categories of buyers.
In the 2020 Galerienstudie, the concept of gross margin was already introduced in an attempt to more realistically capture the economic foundation of galleries. The study understands “gross margin” as the part of the turnover that actually remains available after deducting the artists’ fee, as well as the immediate costs of production and transportation, and those to cover personnel, rent, fairs and, last but not least, one’s own livelihood. This perspective, according to the study, is necessary because turnover alone says too little about the economic substance of a gallery business. The Galerienstudie of 2025 systematically investigated this gross margin for the first time, providing a comprehensive picture. The average share of reported gross margin is 30 percent; the median value is 32 percent. The dispersion is huge: some galleries report gross margin shares of less than 10%, others more than 70%. The median value of gross margin is 50,000 euros, compared with a median turnover of 300,000 euros. High turnover does not automatically lead to high gross margin. On the contrary, even galleries with relatively low turnovers achieve substantial gross margins in individual cases, presumably due to lean structures, good planning, or lower third-party participation. For most galleries, after deducting direct costs, only a sum remains with which, at best, to pay a small team, support a rent, and cover a minimal entrepreneurial risk.
The available data show how thin a thread many galleries run on, regardless of artistic ambition or international presence. Those who talk about the future and the promotion of the gallery model must put gross margin at the center, because it is not turnover, but what remains at the end, that decides whether a gallery can survive or must operate from project to project. This requires a greater commercial focus from the operators themselves and, at the same time, a greater willingness to think openly about the economic basis. Transparency and exchange are indispensable, not least so that cultural policy and the media can properly assess the reality of gallery-based cultural work and not see the measure in the isolated results of foreign auctions.
The role of art fairs in the economic success of galleries proved ambivalent in 2024. Although many galleries continue to use fair formats for visibility and client curation, the number of participations and sales achieved at fairs are slightly lower than in previous years. More than 20 percent of the galleries surveyed said they did not participate in any fairs in 2024. The remaining galleries participated in an average of two or three fairs. Nearly a third were limited to a single participation; only 11 percent participated in four or more events. On average, the surveyed galleries generated about 22% of their annual sales at art fairs in 2024. Twenty-nine percent of galleries were below the 10 percent threshold, while nearly 10 percent said they generated more than half of their revenue at fairs. At 22 percent, the share in Germany is below the global average of 31 percent indicated by the Art Basel & UBS Art Market Report 2025. This report indicates that the share of turnover in fairs has increased slightly from the previous year, but still remains below the 2022 level (35 percent) and well below the pre-pandemic value of 42 percent in 2019. Above all, larger galleries with a turnover of more than $10 million recorded the highest fair sales internationally (34 percent), while smaller galleries in the lower turnover segments experienced declines to some extent.
Galerienstudie ’s 2025 results suggest that even in Germany, it is mainly galleries with higher turnovers that benefit most from fairs. The best-attended events were Art Karlsruhe (43 percent), followed by Positions Berlin Art Fair and Paper Positions Berlin (20 percent each). Art Cologne (18 percent) and Gallery Weekend Berlin (13 percent) were also frequently mentioned. By contrast, large international formats such as Art Basel (5%), Paris Photo (7%), Arco Madrid (7%) or Frieze London (4%) played a significantly smaller role.
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