
--
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 ...
09/10/2026
September 10 2026, 06:00 (PDT) Dolby Expands Dolby OptiView Platform with New Capabilities at IBC 2026
New Sports Intelligence helps providers better unders...
07/10/2026
Dalet, a leading technology and service provider for media-rich organizations, today announced the latest Long-Term Supported (LTS) release of Dalet Flex. Build...
15/09/2026
OWC Announces Acquisition of OpenDrives, Expanding Software-Defined Video and Ri...
15/09/2026
Podcast The Vertical Buzz Shot with Blackmagic Pocket Cinema Camera 6K Pro
Brie Clayton September 14, 2026
0 Comments
Production team builds premium p...
15/09/2026
Grass Valley Launches AVORA at IBC2026
Brie Clayton September 14, 2026
0 Comments
New standalone solution gives production teams everything they need ...
15/09/2026
Brandon Woody Joins Berklee Student Ensemble for Signature Series Concert The acclaimed trumpeter, composer, and bandleader will lead a Berklee student ensemb...
15/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
15/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
15/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
15/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
15/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
15/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
15/09/2026
Applications open for Future Leaders Delegation to BitSummit 2027 15 September 2026
Applications are open for Screen Australia's annual Future Leaders Dele...
14/09/2026
Lil Baby's Dead Fresh kicks off ESPN's Week 1 Monday Night Football, ...
14/09/2026
With Super Bowl LXI waiting in Los Angeles, ESPN will use the regular season to ...
14/09/2026
By Bailey Pennick
One of the most exciting things about the Sundance Film Festival is having a front-row seat for the bright future of independent filmmaking. ...
14/09/2026
Three new models introduced
Sony have just announced the launch of three new pairs of headphones that span their premium, mid-range and entry-level line-ups...
14/09/2026
New flagship Thunderbolt units aimed at pro studios
Audient's latest announcement sees the company introduce three new high-end audio interfaces designe...
14/09/2026
Cobalt Digital IBC Stand 8.F90 // Journalists: Click to visit Cobalt
Highlights...
14/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
14/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
14/09/2026
Bitmovin, a leading provider of video streaming solutions, has announced that Australia's largest media company, Nine Entertainment (Nine), has deployed Bit...
14/09/2026
Creativepool Annual 2026 Winners Announced
Brie Clayton September 13, 2026
0 Comments
The creative industry's Most' awards celebrates another...
14/09/2026
Monday 14 September 2026
Award-winning network Sky Mobile to Offer iPhone Duo, ...
14/09/2026
Apple's latest software updates introduce Siri AI, a more intelligent, knowl...
14/09/2026
WTA Awards Tier 4 to Agility Beyond Space Subic Bay and Cikarang sites...
14/09/2026
As local models become more capable, AI agents can handle more work directly on a PC while keeping sensitive information on the device.
Portable Computer is a ...
14/09/2026
RT in association with the BBC today released first look image from the second series of The Walsh Sisters, inspired by the novels of international best-sellin...
13/09/2026
Offers eight audio and CV outputs via USB
Elektron's latest launch offers a convenient way for users to integrate hardware instruments, effects and mixe...
13/09/2026
Pixel Academy Announces Autumn Courses
Brie Clayton September 13, 2026
0 Comments
The ACT Entertainment tvONE and Green Hippo Pixel Academy has releas...
13/09/2026
2Vision Powers Dawid Podsiad o's Obrotowy Tour with Blackmagic Design
Brie Clayton September 13, 2026
0 Comments
Touring multicamera workflow buil...
13/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
13/09/2026
Luxembourg, September 13, 2026 - SES today announced the successful launch of its eleventh, twelfth and thirteenth O3b mPOWER satellites, further expanding its ...
13/09/2026
Sunday 13 September 2026
Sky releases trailer for Crystal Lake, an A24 produced...
12/09/2026
J. Alphonse Nicholson, Danielle Brooks, Walter Thompson-Hernandez, and Bodhi Dell attend the premiere of If I Go Will They Miss Me at the Library Center Theat...
12/09/2026
Latest Obsolete Devices pedal announced
Great Eastern FX Co. have just launched the latest pedal in their Obsolete Devices series, a range of effects pedals...
12/09/2026
September 11, 2026
BUDAPEST & SEATTLE, 10 September 2026 - Qumulo and Colorfron...
12/09/2026
Calrec expands its IP ecosystem with new Type RT console and Apex M6 Modular I/O Platform at IBC 2026 Type RT is the centrepiece of Calrec's news at IBC 202...
12/09/2026
At IBC 2026, Calrec has unveiled Type RT, a new 6, 12 and 18-motorised fader console range that condenses everything a broadcast audio desk needs into a compact...
12/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
12/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
12/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
12/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
12/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
12/09/2026
WUPPERTAL, Germany Sept. 11, 2026 From July 6 to Aug. 23, 2026, Paris hosted the Esports World Cup (EWC), a seven-week live production spanning eight stages...
12/09/2026
Riedel Communications today announced that Mediacom has purchased and deployed Easy5G , Riedel's Private 5G solution, for live broadcast coverage of La Vuel...
12/09/2026
AMP VISUAL TV is continuing the evolution of its production infrastructure with further investments in Riedel technology across its OB fleet and fixed productio...
12/09/2026
Riedel Communications today announced that Touring Video, a premier entertainment mobile production service company, continues to expand its production workflow...
12/09/2026
Atomos (7.B19) today announced new third-party accessories for Sumo PRO-19 and Shinobi 7 II, developed by SHAPE and SmallRig to give production teams more ways ...