
--
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 ...
06/09/2026
June 9 2026, 23:00 (PDT) Dolby and MagentaTV Bring Fans Closer to the FIFA Worl...
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...
22/06/2026
Expanded integrations give advertisers access to distinct contextual signals acr...
22/06/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
22/06/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
22/06/2026
Xilica today announced the release of Dynamic Voice Lift, a new feature in Xilica Designer v4.12 that brings adaptive speech reinforcement to large meeting spac...
22/06/2026
The next era of AI will not be defined by compute alone. Its growth will be dete...
22/06/2026
Mission, Vision and Veritas - new Los Alamos National Laboratory (LANL) supercom...
22/06/2026
At the ISC conference running in Hamburg this week, NVIDIA is introducing new so...
22/06/2026
For the past two years, the U.S. National Science Foundation's National Arti...
22/06/2026
JUPITER, Europe's first exascale supercomputer at Germany's Forschungszentrum J lich, runs on NVIDIA Grace Hopper Superchips and NVIDIA Quantum-X800 Inf...
21/06/2026
To call the 2026 FIFA World Cup a big undertaking would be a big understatement....
21/06/2026
New series now live on Udemy
Regular SOS contributor and Cubase workshop columnist John Walden has just released a new Cubase video course that is now avail...
21/06/2026
Hot tubs sit at about 38 to 40 degrees Celsius, warm enough that most people can only soak for about 15 minutes. NVIDIA's newest AI servers can run their co...
21/06/2026
Sunday 21 June 2026
Sky announces immersive documentary series The Wargame
The Wargame first looks
ZIP (2MB)
Sky today confirms the commission of The Wargam...
20/06/2026
New add-on creates doubles & vocal stacks
IK Multimedia's latest ReSing add-on kits the innovative software out with the ability to automatically genera...
20/06/2026
What exactly is Apogee Control V3?
Control V3 is a new mixer application that controls Apogee interfaces. The new hit feature is that V3 finally allows for...
19/06/2026
Split compound eases operational challenges at Shinnecock Hills Golf Club...
19/06/2026
North Carolina, Oklahoma meet in the best-of-three Finals as ESPN leans into spe...
19/06/2026
Company launch comprehensive mix-comparison tool
The Him DSP are a plug-in company founded by The Him, an EDM DJ and producer who has amassed over half a bi...
19/06/2026
Major Sampler upgrades introduced
The latest version of Bitwig's DAW software has just entered public beta testing, and is available now for all users w...
19/06/2026
Four times the power of their predecessors
Akai Pro have just introduced upgraded versions of two of their popular standalone MPC systems, kitting them out ...
19/06/2026
Data from May shows seasonal outdoor trends triggers lower viewing
Warsaw, Pola...
19/06/2026
Buttons is best control system in the rAVe Best of Infocomm Awards 2026...
19/06/2026
Mavis Studio Makes iPad Production More Powerful
Brie Clayton June 19, 2026
0 Comments
InfoComm update brings new NDI Preview, PTZ control, USB audio ...
19/06/2026
Immersive Studio Metaverse Stage Tackles Post with Blackmagic Design
Brie Clayton June 19, 2026
0 Comments
New narrative projects rely on DaVinci Reso...
19/06/2026
How to Run the Original 1993 After Effects
Graham Quince June 19, 2026
0 Comments
How to the original After Effects v1 in an emulator, and you don'...
19/06/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
19/06/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
19/06/2026
SMPTE , the home of media professionals, technologists and engineers, has announced that its entire Standards catalog is now freely available to the global medi...
19/06/2026
nsign, the digital signage SaaS platform built around its core principle of Simplify Complexity, has announced a partnership with BrightSign , expanding the dep...
19/06/2026
Visual Productions announces the availability of its new RdmRelay2 at InfoComm 2026 (ACT Entertainment, Booth N6813). A networked, four-channel DMX relay, it is...
19/06/2026
Adobe Unveils Major Expansion of Creative Agent Across Firefly and Creative Clou...
19/06/2026
Immersive Studio Metaverse Stage Innovates Storytelling with URSA Cine Immersive
Brie Clayton June 18, 2026
0 Comments
Two new narrative short films c...
19/06/2026
Friday 19 June 2026
How to watch the 2026/27 Premier League season on Sky Sports
Which matches are Sky Sports showing on the 2026/27 Premier League opening we...
19/06/2026
Catch up on the latest developments across Baselight and Daylight v7, Nara and FilmLight API Wednesday 8 July, 5pm onwards
Firehouse: DCTV, 87 Lafayette St, Ne...
19/06/2026
Lab studies explain how new cancer drug works as it enters patient testing Immunologists at Scripps Research show how a new, experimental drug revives immune ce...
18/06/2026
Ratings Roundup is a rundown of recent rating news and is derived from press rel...
18/06/2026
PTZOptics has unveiled new Visual Reasoning demonstrations at InfoComm 2026 (Boo...
18/06/2026
IBC2026 will take place at the RAI Amsterdam from September 11-14, bringing toge...
18/06/2026
InfoComm 2026 held its first-ever Media Day on June 17, providing journalists an...
18/06/2026
FOR-A America has announced a Trade Agreements Act (TAA)-compliant LED display solution combining Alfalite's Litepix LED displays and Brompton Technology...
18/06/2026
In-venue and creative video staffers at the professional and collegiate level have one major thing in common: the intensity and attention to detail ramps up dur...
18/06/2026
The International Federation of American Football (IFAF) and TMRW Sports have an...
18/06/2026
AJA Video Systems has unveiled Io Xpand, a Thunderbolt 5-enabled PCIe expansion ...
18/06/2026
ESPN has announced its coverage plans for the 30th anniversary of the WNBA's...
18/06/2026
FOX Sports' Big Noon Kickoff will broadcast live from Wembley Stadium in Lon...
18/06/2026
InfoComm 2026 opened on Wednesday at the Las Vegas Convention Center, bringing t...