
--
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 ...
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...
01/05/2026
January 5 2026, 18:30 (PST) NBCUniversal's Peacock to Be First Streamer to ...
01/04/2026
January 4 2026, 18:00 (PST) DOLBY AND DOUYIN EMPOWER THE NEXT GENERATON OF CREATORS WITH DOLBY VISION
Douyin Users Can Now Create And Share Videos With Stun...
05/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
05/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
05/02/2026
Advanced Systems Group, LLC (ASG), a technology and services provider for media creatives and content owners, announced the appointment of Derek Pezzotti as Sen...
05/02/2026
Taurus Technologies, a Dallas-area professional AV systems integrator, has upgraded its in-house podcast studio with Brightline Lighting's AV/720 low-voltag...
05/02/2026
NBC Universal to Present XXV Olympic Winter Games Feb. 6-22 and Milan Cortina Paralympics March 6-15
NBC Sports to Utilize Grass Valley's Frame Rate Conver...
05/02/2026
Atomos today announced Shogun AV-19, a rack-mountable, 19-inch 4K HDR monitor-recorder-switcher designed for professional live production, broadcast, and video ...
05/02/2026
Vizrt, the leader in live production technology, revolutionizing viewer experience and engagement, today introduces two brand new solutions in partnership with ...
05/02/2026
Appear, a global leader in live production technology, today announced the appointment of Simon Frost in a newly created role as Chief Marketing Officer (CMO). ...
05/02/2026
New York gaffer Noah Chamis, ICLS ( You Deserve Each Other , The Half of It , Project Runway ) practices a mix of technical precision and creative play in his...
05/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
05/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
05/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
05/02/2026
Break out the cake and green sprinkles - GeForce NOW is turning six.
Since launch, members have streamed over 1 billion hours, and the party's just getting...
04/02/2026
The 11th-annual Summit will not only the unprecedented headwinds facing the business, but also the groundbreaking opportunities for the future....
04/02/2026
Just moments before the 2026 Grammy Awards kicked off, members of the event's audio team assembled for a group photo at the base of the stage inside Los Ang...
04/02/2026
At the Vienna Interdisciplinary Symposium on Aortic Repair (VISAR), Riedel Communications' Managed Technology Division delivered a turnkey technical infrast...
04/02/2026
The Mountain West Conference announces a new media rights package featuring CBS ...
04/02/2026
Earlier this week, the NFL announced it would play regular season games in Madrid, Paris, and Mexico City in 2026 as part of a nine-game international schedule,...
04/02/2026
Custom-built carts carry music speakers for Apple Music Super Bowl LX Halftime S...
04/02/2026
In an era of constrained spectrum, two tactics have emerged: work closely with regulatory bodies and utilize engineering chops
The Federal Communications Commi...
04/02/2026
Three examples of how wireless microphones are deployed to bring fans in deep and up close
Microphone manufacturers have myriad ways to put wireless to work fo...
04/02/2026
The mic manufacturer will join other suppliers in the new Rock Nashville production campus
Sennheiser is relocating its U.S. headquarters from its long-time lo...
04/02/2026
Olivia Colman and John Lithgow appear in Jimpa by Sophie Hyde, an official selection of the 2025 Sundance Film Festival. (Courtesy of Sundance Institute | pho...
04/02/2026
Lyrics are one of Spotify's most popular features, giving fans a richer way to experience the music and artists they love. They're viewed hundreds of mi...
04/02/2026
Queer Renegades: SBS Audio's new podcast reclaiming Australia's queer hi...
04/02/2026
The National Film and Video Foundation (NFVF) invites final-year animation students to participate in an exclusive creative showcase at the Annecy International...
04/02/2026
Viper Shield's robust phase of flight-testing production representative hard...
04/02/2026
Pilot To Launch with Super Bowl LX on February 8 and Continue with High Profile Live Events, Entertainment and Sports
Nielsen to Use State of the Art Wearable...
04/02/2026
New control solution applies broadcast robotics workflows to PTZ cameras with third-party integration and upgrade paths
Vinten, a global leader in robotic cam...
04/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
04/02/2026
Katie Vitolins Announced as Vice President of Alumni Products and Services An alumna and former trustee, Vitolins will lead the relaunch of Berklee's alum...
04/02/2026
Wednesday 4 February 2026
Full cast announced for Saturday Night Live UK, comin...
04/02/2026
Wednesday 4 February 2026
Fear of running out of mobile data (FORO) is a real i...
04/02/2026
Rohde & Schwarz powers next generation television in Brazil with DTV technology...
04/02/2026
Back to All News
Netflix Shares Teaser of the Third and Final Season of Knokke Off
Entertainment
04 February 2026
GlobalNetherlands
Link copied to clipboar...
04/02/2026
Back to All News
Netflix Premieres The TikTok Killer on March 6
Entertainment
04 February 2026
GlobalSpain
Link copied to clipboard
Download the pictures
...
04/02/2026
Back to All News
Music Is Having a Golden Moment on Netflix as New and Nostal...
04/02/2026
Fox Corporation Reports Second Quarter Fiscal 2026 Financial Results NEW YORK, NY, February 4, 2026 - Fox Corporation (Nasdaq: FOXA, FOX; FOX or the Compan...
04/02/2026
Lucas P. Arag n Joins FOX Advertising as Senior Vice President, Creative New York, NY - February 4, 2026 - Accomplished Creative Executive Lucas P. Arag n has...
04/02/2026
Following the passing of our friend and colleague Hugh Wallace, and with the full support of his family, RT will proceed with the broadcast of the new series o...
04/02/2026
Editor's note: This post is part of the Nemotron Labs blog series, which exp...
03/02/2026
Tagboard, a modern, interactive graphics system for news, sports, and entertainm...
03/02/2026
Studio Network Solutions (SNS) announces the launch of Trio, a new S3-compatible cloud storage service fully integrated with EVO for media backup, archival, and...
03/02/2026
50 Production Trucks at center of 160 U.S.-based productions...