In 2001, Takashi Murakami established Kaikai Kiki, the multifaceted art enterprise whose activities include the production and promotion of artwork and merchandise, the management and support of young artists, and the general management of events and public projects—such as the one-day GEISAI festivals. There is also an animation component that produces feature-length films.
Art Production
Easily the most lucrative of the divisions, the workshops staffed by highly trained Kaikai Kiki employees (left) churn out artworks that sell in primary markets around the world. Last May, at Gagosian Gallery in New York, for example, Murakami’s new Zen-themed paintings sold out at prices between $1 million and $1.5 million. More than 30 smaller and identically scaled flower paintings sold out at $100,000 apiece. Larry Gagosian was reputedly so enthusiastic about luring Murakami to his stable of artists, he personally sold the lion’s share of the paintings to his favorite clients.
Although not directly related to this aspect of the enterprise, Murakami’s consistent auction track record of high six-figure prices and, in the case of one mural-size painting, $1.1 million, places him in an elite club of secondary-market players. As appraised by London-based market analyst ArtTactic, “both the primary and the auction market [for Murakami] have been and are selling above the $1 million mark, establishing a symbolic price floor for important works.”
Management
A Murakami disciple, Mr. M had his international debut this past May at Lehmann Maupin in New York, selling large-scale paintings and sculpture at prices reaching $300,000. In Paris last month, Chiho Aoshima’s fantasy landscapes opened the fall season at Galerie Emmanuel Perrotin, priced from $10,000 to $200,000. Kaikai Kiki gets a portion of the sales’ proceeds.
Showmanship
Held twice a year in Tokyo since 2002 and about to branch out to Miami during the Pulse art fair in December, the GEISAI art festival is a vital part of Murakami’s campaign to create an infrastructure for contemporary art in Japan. So far, however, the endeavor has bled red ink, with Murakami having lost about $4 million out of his own pocket since launching the event.
Merchandising
Since 1996, tchotchkes have been an integral element of the Kaikai Kiki cash machine, spawning a small industry of post-Pop arty accessories, from pillows and towels to keychains and soccer balls (above). Prices for the cutesy and cuddly items range from $3 for a small badge to $800 for a giant flower cushion. At every press conference staged by Murakami and Kaikai Kiki, you can be sure to find a goodie bag of the stuff packaged in a distinctive and most likely collectible Kaikai Kiki shopping bag.
Like most privately held corporations, Kaikai Kiki keeps its profits secret. A spokesperson for the company declined to comment or release any figures.
Collaborations
Although Kaikai Kiki artist Aya Takano produced a design series for Wrangler jeans this year and Chiho Aoshima’s futuristic cityscape murals were displayed in the London Underground, nothing has come close to the global frenzy sparked by Murakami’s collaboration with Marc Jacobs on handbags and accessories for the storied Louis Vuitton brand (right). So far, three separate projects have been launched using the patterns and color schemes of Murakami’s fashionista side, with the artist’s fame—and fees—growing with each success. Although he doesn’t get a cut of the profits, it is believed that Murakami has raked in “millions of dollars” from his effort, according to a source close to Kaikai Kiki.
Similarly, LVMH, Vuitton’s $40 billion parent company run by art collector Bernard Arnault, declined to release any figures on the revenues or production size of the sought-after bags and accessories. The former are so hot that even today, five years after their introduction, they’re one of the most pirated icons of high-end merchandise.