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Auction House Management Software: Custom Build vs Package (London Benchmark, 2026)

Mohamed Bah·Fondateur, Kolonell
October 8, 2026
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Auction House Management Software: Custom Build vs Package (London Benchmark, 2026)

Auction House Management Software: Custom Build vs Package (London Benchmark, 2026)

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The verdict in three sentences

For an auction house holding 40 sales and 15,000 lots a year, the real cost is not the licence but the re-keying between catalogue, absentee bids, live platforms and invoices. A specialist package still makes sense below 8,000 lots a year and with a single online channel. Above that, a custom build at GBP 43,000 to 103,000 (EUR 50,000 to 120,000), connected to live bidding platforms such as the-saleroom or Drouot Digital and equipped for AML compliance, frees the equivalent of one to two admin roles.

Where an auction house loses its hours

A lot's cycle is long: consignment, inventory, photography, cataloguing by the specialist, estimate, publication, absentee and phone bids, room and live sale, hammer, buyer invoice, payment, collection, vendor settlement. Every step poorly linked to the next creates re-keying.

Task (2026 estimate)Fragmented processIntegrated software
Cataloguing and publishing one lot12 to 18 min5 to 8 min
Importing absentee bids from platformsManual, 1 to 2 h per saleAutomatic
Issuing buyer invoices after the sale1 to 2 daysWithin the hour
Vendor settlements5 to 10 days48 h
Dealer's stock registerSeparate entryGenerated from inventory
Buyer AML checksExcel fileThreshold alerts with attachments

On 15,000 lots, saving 8 minutes per lot in cataloguing already means 2,000 hours a year, more than one full-time role.

Package or custom build: the numbers

CriterionAuction packageCustom software
Upfront costGBP 2,500 to 10,000GBP 43,000 to 103,000
Recurring costGBP 350 to 1,300 a month, sometimes a fee per lotGBP 500 to 1,300 a month (hosting, maintenance)
Live platform connectorsVendor-dependent, sometimes only oneSeveral, plus your own live bidding
Buyer's premium 25 to 30% with margin or standard VATStandard settingsRules per sale, lot, buyer
AML (checks above EUR 10,000)Free-text fieldThresholds, ID documents, register, alerts
Website and online catalogueShared templateYour own branded site, SEO per lot
Data ownershipVendor contractCode and database are yours
Go-live time1 to 3 months5 to 8 months

One point often overlooked: live platforms charge their own fees (often an extra 3 to 5% of hammer to the buyer). A site with integrated online bidding captures part of those sales without an intermediary.

Compliance: what the software must track

In the UK, art market participants handling transactions of EUR 10,000 or more fall under the money laundering regulations, as do French auction houses under LCB-FT rules. You must identify buyer and seller, keep records for five years and be able to report a suspicious transaction. Good software generates these registers from inventory, blocks the release of a lot if documents are missing and logs every change. It also handles artist's resale right for eligible works and export licences for cultural goods.

Mini case study

James, a partner at an auction house in Kensington, runs 40 sales a year for 15,000 lots and GBP 7.7 million in hammer total. His admin team has 4 people, with about 1.5 roles absorbed by re-keying, roughly GBP 60,000 a year fully loaded.

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He chooses custom software at GBP 81,000 with GBP 850 a month of maintenance. Re-keying drops by 70%, saving GBP 42,000 a year. His integrated live bidding captures 10% of online bids that previously went through a third-party platform, worth about GBP 15,000 of extra buyer's premium retained. Net annual gain: about GBP 47,000, payback in 21 months.

FAQ

How much does custom auction house software cost?

Budget GBP 43,000 (EUR 50,000) for catalogue, bids, invoices and settlements, and up to GBP 103,000 (EUR 120,000) with integrated live bidding, website and a specialist app. Maintenance runs GBP 500 to 1,300 a month.

Can we keep our existing live platforms?

Yes, the software publishes your lots to them and pulls bids and hammer results automatically. You keep their audience while growing your own channel.

How does the software handle AML?

It triggers enhanced checks above EUR 10,000, requests ID documents and blocks release until they are provided. Records are kept for five years with an access log.

Is a variable buyer's premium possible?

Yes, you set 25%, 27% or 30% per sale, with tiers by hammer price band and the right VAT scheme. Invoices are recalculated in seconds.

How long is the project?

Between 5 and 8 months, including migration of 5 to 10 years of buyer and vendor history. A pilot sale is possible from month four.

Let's scope your project. Tell us your lot volume, live platforms and compliance constraints, and we will price a scope, an indicative budget and a timeline. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.

Tags:#auction house software#auctioneer software#live bidding#custom software London#AML compliance#online auction catalogue
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Mohamed Bah

Fondateur, Kolonell

Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.