
--
CPA survey results deconstructed --
Tue, 14 Nov 2017 12:13
--
Written byy Bobby Amm, executive officer, the Commercial Producers Association
With South Africa s unstable commercial production industry, and our currently strained economy, the topic of sustainability has been receiving a lot more attention. This has come sharply into focus via the CPA s annual survey, which has revealed some noteworthy results this year.
The annual CPA survey
The CPA runs a survey every year to better understand the magnitude of the industry and to detect prospects, challenges and local trends. The findings are assembled into two groups of results:
1. The whole group: 40 50 contributors per year
2. The control group: 30 South African production companies that participate in the survey every year
Even though the number of participants isn t high relative to the greater industry, most of the heavyweight companies are included, so the results are an adequate reflection of the general industry, we believe. For instance, the control group on its own, turned over R1,25 billion this last year.
The results from 2017
Commercials produced: In total, 703 commercials were produced by the survey participants for a little more than R1.6 billion.
Number of filming days: These ads were shot over 1 680 days, with an average daily budget of over R900 000.
Variety of commercials: More local ads were produced (368) than service ads (305), and South African directors made 30 ads for overseas clients.
Filming landscape: In total, 58 per cent of the ads were shot in the Western Cape, 39 per cent were shot in Gauteng, and only 3 per cent were shot in other regions.
Biggest customers: After South Africa, Germany was our biggest client, with 74 ads made. Next was the United Kingdom with 72, the United States with 51, France with 40, and Scandinavia with 26.
Expense analysis: Almost 50 per cent of production costs go to remunerating the crew and hiring equipment. The other big costs take up: 13 per cent for art and set construction, 5 per cent for location fees, 9 per cent for talent, and 6 per cent for post-production.
Rising location costs: Production is still relatively affordable in Johannesburg, but the increasing costs in Cape Town are making it hard to shoot commercials there. With accessibility to the area limited to those with deep pockets, the city and its surrounds are quickly becoming service-only regions.
How this affects you
From these results, it looks like the industry is dipping, mainly thanks to rising production costs and an insignificant change to turnover. This trend is more gradual in the control group, but it persists suggesting that production budgets aren t growing in line with expenses.
As this gap gets wider, so does the danger to the production industry. It s one we should take note of too, as other countries have taken years to recover after experiencing similar trends.
Impact on global projects
Something else we ve seen is that many CPA members are getting less work from overseas. We think this could be because of variables like:
Universal unease: Trump, Brexit, human trafficking, terrorism the world is a scary and uncertain place these days, so clients are less likely to travel.
Rate of exchange: The UK is no longer our biggest client, mainly because of Brexit and the weakening Pound. The Rand is also getting stronger against the US Dollar and the Euro, which has the potential to make South African production less affordable this season.
Location fatigue: Clients are on the lookout for novel, exciting locations. South Africa appears to have priced itself out of the market, to a point, so other players like Portugal, Thailand, and a few South American regions are preferred.
Politics & economy: SA isn t currently stable, both politically and economically, so clients (particularly newer ones) are choosing safer countries to film in. Plus, with our local recession, prices are up too.
Greedy South African: Some overseas clients believe that SA s succumbed to the greed factor. Production departments are growing and our talent want to earn more for working in remote areas. With less inflation in their home countries than we re familiar here, these clients may struggle to understand our increasing costs.
Bureaucracy: While it may be a lot easier to get a visa and process other admin needed for overseas clients to come to SA, it still isn t ideal; this deters clients from coming to SA. In fact, many jobs are lost annually because an overseas director can t apply for a visa in person.
The future of our industry
The views on the upcoming season are varied, with notable concern coming from experts who market to overseas clients. But it isn t all bad. For instance, South Africa has strengths that many other countries don t, such as:
1. A solid reputation in the production world
2. Hard working crews and quick-thinking solutions
3. Great South African hospitality
Some of the issues affecting our industry are beyond our control. Of the ones we can affect, however, many can be undertaken with some imaginative flexibility and a specific focus on keeping costs down. By working together, we may be able to secure these jobs and turn this downward trend around - for everyone s sake.
Related Articles
-- --
-- --
-- Please enable JavaScript to view the comments powered by Disqus. comments powered by Disqus
Most recent headlines
05/01/2027
Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...
04/08/2026
Dalet, a leading technology and service provider for media-rich organizations, t...
04/07/2026
April 7 2026, 19:00 (PDT) Detective Conan: Fallen Angel of the Highway Opens in...
01/06/2026
January 6 2026, 05:30 (PST) Dolby Sets the New Standard for Premium Entertainment at CES 2026
Throughout the week, Dolby brings to life the latest innovatio...
22/05/2026
Germany's Magenta TV, which will have 44 exclusive FIFA World Cup match broa...
22/05/2026
DAZN, the world's leading sports entertainment platform, has acquired global broadcast rights to the International Federation of American Football's ( I...
22/05/2026
ATHLOS, the all-women's professional track and field league, has announced i...
22/05/2026
The National Academy of Television Arts & Sciences (NATAS) today announced that the 47th Annual Sports Emmy Awards and the 47th Annual News & Documentary Emmy A...
22/05/2026
Wooden Camera today announced the release of new accessories for the Blackmagic URSA Cine Immersive. The new lineup includes a redesigned Top Plate and Side Rai...
22/05/2026
YES Network and OTT Advisors have announced a sixth consecutive season of their streaming partnership, continuing their collaboration on the Gotham app. OTT Adv...
22/05/2026
NESN, New England's premier sports network, will again turn its camera to Fe...
22/05/2026
Dale Pro Audio is hosting an RF over Fiber Livestream Webinar on May 28 from 1-2:30 pm EST. With major sporting events and large-scale productions putting incre...
22/05/2026
Audio-Technica has announced key leadership appointments designed to further strengthen its sales organization and drive continued growth across the Americas. M...
22/05/2026
After nearly four decades shaping the global combat sports landscape, Scott Coker has announced a powerful return as he looks to build a new international mixed...
22/05/2026
Skyline Communications, the company behind the globally deployed DataMiner xOps platform, today announced the launch of xOps Vanguard Runway, a strategic accele...
22/05/2026
For the fully onsite production, 30 cameras - including a SkyCam and Megalodon - will capture the action in Texas
One of the world's biggest rodeo producti...
22/05/2026
Leading Argentina-based sports media company Torneos y Competencias S.A. has modernized its playout operations, implementing a fully redundant, multichannel env...
22/05/2026
As the 2026 Major League Pickleball season kicks off this weekend in Dallas, it ...
22/05/2026
Shure has become a minority investor in Edge Sound Research, a start-up company that is developing new experiential audio technologies that redefine how many au...
22/05/2026
In advance of this year's Sports Emmy Awards, SVG is taking a deep dive into...
22/05/2026
The National Hockey League (NHL) and Amazon Music announced that GRAMMY Award-winning superstar Jelly Roll will provide the official theme song of the 2026 Stan...
22/05/2026
David Pogue will keynote SVV Summer Camp and discuss Apple at 50: How the World...
22/05/2026
In its second year as rightsholder, FOX Sports goes bigger across the board for ...
22/05/2026
Heading into FOX Sports' second Indianapolis 500, Lead Director Mitch Riggin...
22/05/2026
At our 2026 Investor Day, we shared an inside look at the rebuild of our advertising business. This pivot to our own purpose-built platform is already driving s...
22/05/2026
Podcasting on Spotify continues to grow, and so do the ways listeners engage with it. At Investor Day 2026, we shared how we're building the next chapter of...
22/05/2026
Limited-time collections now available
Restoration experts CEDAR Audio have recently launched a new line of Icons plug-ins that make their powerful processo...
22/05/2026
Three new classics join Model Pass line-up
Boss' PX-1 Plugout Pedal offers an innovative approach to guitar pedals, providing users with a hardware stom...
22/05/2026
At its Meitingen site, SGL Carbon has implemented two key projects to further de...
22/05/2026
Statement regarding 2026 National NAIDOC Lifetime Achievement Award for the late...
22/05/2026
Latest data reveals steady distributor rankings, a seasonal shift toward digital...
22/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
22/05/2026
Amagi Media Labs Limited (NSE: AMAGI, BSE: 544679), a cloud-native SaaS platform providing AI-enabled solutions to global media and entertainment companies, tod...
22/05/2026
An nima Post Relies on Cintel to Revive Classic Mexican Films
Brie Clayton May 22, 2026
0 Comments
Film scanner and DaVinci Resolve Studio help manage...
22/05/2026
Boris FX Sapphire Adds Optical Beauty and Hypnotic Textures
Jessie Electa Petrov May 22, 2026
0 Comments
The 2026.5 release introduces advanced defocu...
22/05/2026
Deployment Preserves Trusted Workflows While Enabling a Path to UHD and SMPTE ST 2110
Leading Argentina-based sports media company Torneos y Competencias S.A....
22/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
22/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
22/05/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
22/05/2026
Back to All News
Ex-Husband, Current Husband, One Wild Rescue: Korean Action Co...
22/05/2026
Catch the latest in Irish music live from venues such as Whelan's, R is n Du...
21/05/2026
Game Creek Video Columbia and Celtic, NEP Supershooter 8 will house onsite produ...
21/05/2026
Freshly graduated, this upstart producer, director, and camera operator is already working as an AP on videoboard shows for the Philadelphia Phillies
In the li...
21/05/2026
Media Links has announced a channel partnership with Clearcast Asia, a broadcast...
21/05/2026
SiriusXM and NASCAR have announced a multi-year renewal of their broadcasting agreement. SiriusXM will continue to carry live broadcasts of every NASCAR Cup Ser...
21/05/2026
Audio-Technica held a demonstration event at its Technica House location in New ...
21/05/2026
Ateme has announced that RTL Deutschland has selected Ateme's software-based...
21/05/2026
LiveU has announced that BCC Live deployed the LU900Q intelligent production unit for the first time during the 2026 Memorial Hermann IRONMAN Texas North Americ...
21/05/2026
ATSC has announced that Mark Aitken, President of ONE Media and Senior VP of Advanced Technology at Sinclair Broadcast Group, will receive the 2026 Mark Richer ...
21/05/2026
BBright has published a technical analysis of the Media eXchange Layer (MXL), de...