JFO Case Study

JOBURGFILMOFFICEBUSINESSCASE

1.A|Introduction INTRODUCTION The purpose of this business case is to assess the potential of the City to provide a centralised set of services to the film industry in the city. This report also specifically addresses key areas of interest for the City of Johannesburg including: • An assessment of whether there is a need for a Film Office in Johannesburg; • The viability and financial sustainability of such an initiative; a • The type of Film Office and the services it would offer; • If and how this office might contribute to the City’s economy; • The stakeholders who would make use of this facility Ultimately these questions all help the City of Johannesburg to answer the following questions: • Will the proposed project help the City to meet its strategic objectives? • Does the City have sufficient information to take an informed decision about the proposed change and investment required? • Is the proposed change worth the time and cost involved?

A | Business concept Johannesburg is already something of an outlier in theBUSINESS creation of such an initiative – even within South Africa.2.CONCEPT All around the world, City Governments have mobilized and coordinated their resources regarding the film sector through the creation of a dedicated Special Purpose Vehicle. International cities with dedicated Film Offices or Commissions include:The business concept under workforce development Albuquerque Dallas New Orleans Sevillediscussion is a “Film Office” • Marketing (Business Amsterdam Detroit New York St Petersburgfor the City of Johannesburg. Antwerp Durban Orlando StockholmBased on fairly standard service recruitment and retention) Atlanta Glasgow Paris Sydneyofferings from around the world, • Sales and trade missions Auckland Hamburg Phoenix Tokyothe office would essentially • Industry marketing and Barcelona Hong Kong Riga Torontoprovide a central focus and Berlin Honolulu Rio de Janeiro Vancouverthrust for all of the City’s Film promotion Bremen Krakow Rome Veniceand Media support activities. • Brand development and Bruges London Salamanca ViennaThese would include but not be Brussels Los Angeles San Francisco Vilniuslimited to: maintenance Busan Malaga Seoul Warsaw• Strategic planning and • Industry / government liaison Cape Town Melbourne Seattle Chicago Miami analysis services Copenhagen Montreal• Industry production support • Policy and programme• Industry business and development • Industry communications, education and liaison services. • Statistics and reporting.

A | Film in Johannesburg - context of big studio-backed movies and fill gaps where institutional filmed in Gauteng, with the territorialism and silo thinking FILM IN province supplying not only the abounds. For example: with the JOHANNESBURG – locations but also the stories. Department of Trade and Industry, • Soweto TV community is free- the Industrial Development3CONTEXT to-air and also broadcast to Corporation, the Department ofIn a South African context, organizations – the Independent activities including film, TV South African subscribers on Arts and Culture, the NationalJohannesburg is the beating heart Producers Organization, the and documentary production, DSTV channel 251. Soweto Film and Video Foundation andof the national film and television Commercial Producers Organization, commercials, stills photography TV programming 60% local the Gauteng Film Commissionsector. The audio-visual industry the Association for Transformation in and multimedia. content, as per ICASA already operating in the province,in the city encompasses the entire Film & Television, the Crew Agents • The industry generates direct regulations. it might be expected that the Cityrange of creative production Association, the Personal Managers employment of more than 8 500 • Gauteng boasts what is of Johannesburg would be slottingactivities including film, TV (Actors) Association, the Model workers. arguably Africa’s strongest into an already well-oiled machineand documentary production, Agencies Association and others. • It is estimated that more screen culture, offering year- of services and inter-departmentalcommercials, stills photography Johannesburg also offers what is than 70% of the filming and round film festivals. co-operation. Unfortunately this isand multimedia. The province arguably Africa’s strongest screen television industry in South • Gauteng has several not the case.offers support services, equipment, culture, offering year-round film Africa is based in Gauteng, universities, technical training The industry itself is furthersupplies and facilities, casting and festivals. Opportunities for training mainly in Johannesburg. and private tertiary institutions constrained by a number of inter-crew as well as post-production also abound: several universities, • Gauteng accounts for the bulk which offer courses or degrees related issues, namely:companies and pre-production, technical training and private tertiary of TV production in South in film and related media. • Lack of funding / commissionsresearch and development services. institutions offer courses or degrees Africa: seven of the top 10 most • The world-class OR TamboThe city is home to the three largest in film and related media. watched South African TV shows International Airport is Africa’s for new productionsbroadcasters in Africa, including the Joburg is one of the youngest are produced in Gauteng. busiest, and provides the most • Lack of business Skills ofglobal headquarters of the South major cities worldwide, and it’s fast • The province also commands convenient access route forAfrican Broadcasting Corporation. growing: From 2001 to 2011 the 46.5% of the commercials most local and international Industry EntrantsThe province of Gauteng is also city’s population increased by 37%. production market, closely productions. • Lack of access to decision-home to all the leading film sector Home to around 3.8 million people, followed by the Western Cape. • Assessing a basket of cost-of-organizations and departments 49% of Joburg’s population is under • A growing number of living products including food, makers locally and– the Department of Trade & the age of 34 and 42% is under the international productions have transportation, lodging and internationallyIndustry, the Industrial Development age been filmed in Gauteng. Recent entertainment, Johannesburg is • Lack of sales & distributionCorporation, the National Film & of 24. years have seen an explosion 37% cheaper than Los Angeles opportunitiesVideo Foundation and others. • The Gauteng audiovisual and 54% cheaper than New York. • Lack of procurement & fundingThe province is also home to • At an elevation of 1694 metres opportunities beyond the “usualthe leading private sector film industry encompasses a above sea level, Johannesburg suspects” range of creative production offers favourable production • Lack of Audiences / Consumer weather throughout the year. Demand On balance there are 3182 • Treatment of failure sunshine hours annually and • Piracy approximately 8.7 sunlight • Socio-economic challenges hours every day. • Lack of vision of the However, the film industry in opportunities the sector Johannesburg has largely grown presents. INSPITE of the institutional deadlock amongst participating government initiatives. Currently large subsectors function without interaction with any relevant government support. The “institutional thickness” and the significant vertical and horizontal linkages in the city actually means some unique challenges to the City because it needs to enter a space

4. There are a broad and complex RA number of rationales for City TI engagement with the film sector in ON a centralized and formalized way. ALE These include: 4.i FILM INDUSTRY CLUSTERING Since the 1990’s there has been an increased focus on the proactive role that governments can play in creating and supporting clusters in order to stimulate the economic development. Indeed, Professor Michael Porter of the Harvard Business School, the father of modern Cluster economic theory, argues that fostering an innovation- driven, productivity-focused environment for local firms should be the chief purpose of any regional economic development policy. The film sector benefits from a City- driven cluster approach because: • Film & Media industries are typically highly clustered - and those clusters are almost always in major urban areas. • Urban centres are able to offer the quality and depth of the infrastructure, services and labour required, on demand, to make a film or tv show. • Conversely, without that demand, the businesses and individuals providing services, labour and infrastructure cannot be maintained sustainably outside an urban core. • Presence in large cities also allows access to the latest trends and developments in culture generally, as well as to the latest technological developments affecting the media industry. • Cities also offer “institutional thickness” –the overlapping frameworks of support, such as local and regional authorities, innovation and business support agencies, funding and financing agencies, and educational institutions that feed the labour pool, etc. coming to the UK, and Film production is therefore recognized generally as a major contributor to the UK brand (Roesch 2009, 222).

A | Rationale4.ii GOVERNANCE BENEFITS is not only a valuable tool for the “MEDIA Programme and Media FILM TOURISM IMPACTS – CASE STUDIESDeveloping a business environment interpretation of culture, it is an Literacy” Unit at the Europeanthat is conducive to “film industry” cultural activity in its own right. Commission, Media literacy is Alice in Wonderland (2010)activity has proved desirable to Film therefore offers citizens the an extremely important factor • Antony House in Cornwall, England - visitor numbers increased 400% after the film’s releasemany governments because of opportunity of crafting, shaping and for “active citizenship” in today’s Robin Hood (2010)the economic, social and cultural communicating their own images, information society, “a real key pre-benefits arising from the sector. effectively demystifying cultural and requisite just as literacy was at the • Antony House in Cornwall, England - Sherwood Forest, England received a 5.5% increase inThese benefits include job ethnic differences, and promoting beginning of the twentieth century. visitors per year (500,000) numbers increased 400% after the film’s releasecreation, the stimulation of local integration and unity of people. The It is a fundamental skill not onlysmall businesses, direct foreign film industry therefore can play a for the young generation but also The Twilight Sagainvestment and tourism promotion primary role in building a national for adults (elderly people, parents, • Forks, Washington, USA - Hotel nights have increased by 1000%as well as: identity, and is vital for democracy, teachers and media professionals).”• Improved private sector nation building and citizenship. 4.v TOURISM BENEFITS Fried Green Tomatoes 4.iv KNOWLEDGE ECONOMY The power of film in portraying a • By the early 1990’s, Juliette, GA had dwindled down to a population of 4. investment in non-traditional BENEFITS positive destination image to induce • “Whistle Stop Café” owner Robert Williams estimates that the annual number of visitors to economic sectors; The cultural benefits become even tourism visits to a place has been• Increased attraction of more important given the global clearly shown in various research Juliette, GA is around 100,000. entrepreneurs into the shift from traditional industrial- and (e.g. Tooke & Baker 1996; Iwashita • Not only does the “Whistle Stop Café” still do a booming business after 20+ years, but all of marketplace to provide services agricultural-based economies to a 2006; Kim et al., 2008). As long to the sector; knowledge- and information- based ago as 1998, The Annals of Tourism the shops carry “Fried Green Tomatoes” shirts, cookbooks, hats, food products, movie mem-• Improved public finance, economy. In this environment, Research noted that locations where orabilia, etc through increased cash inflow / “Media literacy” – access to a successful film had been shot tax revenues film and media content, the demonstrated a 54% increase in Lost in Thailand• Improved positioning of comprehension and understanding tourism visits over the following four • Chinese road movie Lost in Thailand (2013) is explicitly cited as the main reason for a 44.4% the country in relation to of how film and media works, the years. competitors ability to interpret media messages, Film London, the UK capital’s screen increase in Chinese visitors to Thailand• Improved business environment and the ability to create media agency, reported that films and • Tourism investment of as much as 29.6 billion Thai baht – ZAR1 billion - into the Thai econo- created that attracts other oneself using communication and television programmes depicting investors production skills - has an outsized the UK are responsible for attracting my in 2013.• Stronger institutions required role to play. Citizens who are media about 1 in 10 overseas tourists, to facilitate productions and literate will be better able to make who spend around £1.8 billion Lord of the Rings / The Hobbit manage the growth informed choices with regard to the a year - and they estimate that • CTourism increased by 400% after the films premiered.• Strong connection to the audiovisual content market. They approximately 28 million visitors visit • International vacations to New Zealand rose 10 per cent from January through April when regions due to highly mobile will be better informed about what Britain each year after viewing the productions using all parts of they want to see and better able to country on the screen. Visit Britain compared to the same period the previous year. the country. evaluate the implications of their even suggests that films could • 8.5% of visitors cited The Hobbit as one reason for coming• Potential to women’s, poverty- choices. They will also be better be influencing the expectations • 13% took part in some kind of hobbit-themed tourism like visiting a film set. related beneficiaries. able to protect themselves and their of up to 40% of the international• Youth development focus. loved ones from harmful, offensive visitors coming to the UK, and Film Deliverance or undesired content and they will production is therefore recognized • Rayburn County, Georgia, USA set up river rafting operations to exploit the newfound inter-4.iii. CULTURAL & SOCIAL be more demanding of the kinds generally as a major contributor toBENEFITS of content that reflect their own the UK brand (Roesch 2009, 222). est in whitewater rafting after the release of “Deliverance.”Beyond the economic benefits, cultures and traditions. • Nantahala Outdoor Center which has rafting expeditions on both the Chattooga and Nan-the Film Industry offers significant According to Aviva Silver, Head ofsocial and cultural benefits. Film tahala rivers, reports income of $15 million per year, with 600 part time employees, and 200,000 annual visitors. Braveheart • Wallace National Monument, Scotland – visitors increased by 52% • Braveheart actually filmed in Ireland.

A | Rationale Impacts R3,069,504 GFC Spend on Projects R696,000,000 The Vampire Diaries 58% of SAFI Production R 28,768,000 • In June, 1,937 visitors from 19 states and six countries came to Covington Falls, GA, the ma- 58% of NFVF Production & Development R420,000,000 70% of SABC R351,849,863 jority here because of “The Vampire Diaries.”Braveheart actually filmed in Ireland. Johannesburg Head Office CPA R1,499,687,367 • The average stay is two nights at local hotels and tourists are staying and shopping and eat- DIRECT Production Expenditure R2,114,559,187 INDIRECT IMPACTS @ 1:1.41 R3,749,218,417 ing at other local businesses as well. INDUCED IMPACTS @ 1:2.5 Safe Haven • “The movie came out on Valentine’s Day, and March blew us out of the water with about JHB Distributor Company Box Office R878,823,203 in 2013 Total television advertising spend R37.6 billion in 2016 3,500 people coming through instead of the usual 350,” she said. Since then, a whopping Online and mobile television advertising R84 million in 2016. 75% increase in visitors. End User Spend on Entertainment products • Prior to the theatrical release of the movie Safe Haven in February, the Southport, North Total End User Spend R100.5 billion in 2016 Carolina’s website received 322 page views. When the movie hit the big screen on Valen- TOTAL PREDICTED DISTRIBUTION IMPACT R139,063,823,203 tine’s Day 2013, those web numbers skyrocketed to 86,981 for the month of February. Over the next four months collectively, that website received more than 250,000 page views (over TOTAL Direct Impacts of Production & Distribution for Johannesburg RR147,925,975,541 77500% increase!) business. Wallander Although in the absence of detailed benefits of even small increases in 46.4% increase in total direct jobs • The municipality of Ystad in Sweden, home of the Wallander series, calculates the value of Economic modelling, we cannot the number of film shoots on the in the sector. Similar assumptions demonstrate the possible impacts local economy and job creation might be made for the Joburg the city’s media coverage in Swedish and English-speaking, web-based press at a total PR of increased film sector growth, the environment. production environment. value of over 96 million SEK (appr €11 million) Cape Film Commission’s 2006/7 The table below suggests that 10% Economic Impact assessment does sector growth would result in a A Dolphin Tale offer insights into the potential • Attendance at the aquarium jumped from about 200,000 before the release of the original Demand for personnel 2006 2007 2008 2009 2010 film to 750,000 last year. 3% industry growth rate • The aquarium increased staff from 45 to more than 200 people in the past two years to han- 2,148 2,210 2,277 2,345 2,415 Crew Numbers 1,347 1,388 1,429 1,472 1,516 dle the jump in tourism. Talent Numbers 5,014 5,164 5,319 5,479 5,643 Other jobs in the economy 8,507 8,762 9,025 9,296 9,575 Bollywood Total Direct Jobs • The first Indian movie shot in Switzerland was Raj Kapoor’s Sangam in 1964 ] 2,146 2,275 2,411 2,556 2,709 • There has been constant growth in outbound numbers – 250% increase in overnights in the 6% industry growth rate 1,347 1,428 1,514 1.604 1,701 Crew Numbers 5,014 5,315 5,633 5,971 6,330 last ten years. Talent Numbers 8,507 9,017 9,558 10,132 10,740 • Each Indian tourist spends an average of 300 Swiss Francs per night in Switzerland Other Jobs in the economy3.vi ECONOMIC IMPACTS total Direct JobsThe economic impacts of the sector in Johannesburg are already considerable (though due to difficulties inactually sourcing information considerably under-reported.) Although the sector is most frequently estimatedto be worth around R3 billion to the Joburg economy, a range of recent research papers suggest a far moresignificant impact.

Demand for personnel 2006 2007 2008 2009 201010% industry growth rate 2,146 2,361 2,597 2,856 3,142 Crew Numbers 1,347 1,482 1,630 1,793 1,972 Talent Numbers 5,014 5,515 6,067 6,673 7,341 Other jobs in the economy 8,507 9,358 10,293 11,323 12,455 Total Direct Jobs THE OPPORTUNITY – AFRICAN4.VIIECONOMY AND THE DIGITAL FUTUREEconomic Growth outpace its Asian counterpart. 20-24 year olds with secondary• Six of the world’s 10 fastest- • Looking even farther ahead, education and 12 million with • that within the next 10 years, DIGITAL OPPORTUNITIES video each day. tertiary education in 2030 another two billion people may • 1.8 Million Words - the value of • 90% -the percentage of growing economies between Standard Chartered forecasts Workforce begin learning English with 2001 and 2010 were in Africa, that Africa’s economy will grow • Between 2000 and 2008, three billion speaking it. one minute of video - equivalent online shoppers who said they according to The Economist at an average annual rate of 7% Africa’s working age population of 3,600 typical web pages. If find video helpful in making• The International Monetary over the next 20 years, slightly (15-64 years) grew from 443 • Internet World Stats: 536.6 million you write an average of one web shopping and buying decisions. Fund says that between 2011 faster than China. million to 550 million; an internet users speak English page an hour, it would take you • 75%- percent of executives who and 2015, African countries will Demographics increase of 25%. 150 days of writing to achieve watch work-related videos on account for 7 of the top 10 spots. • Africa has the youngest • f this trend continues, the • In 2009, the total Anglophone the impact of one minute of business websites at least once• Economic growth accelerated population in the world. continent’s labour force will be Africa population was estimated video. (Forrester Research) a week. (Forbes) across the continent, in 27 of its • The median age of Africa’ 1 billion strong by 2040, making to be 335 million (4.9% of the • 45.4% - the percentage of • 59% - the percentage of senior 30 largest economies. people is 18 – 7 years younger it the largest in the world, world population) an increase of Internet users who view at executives who’d rather watch aContinental GDP than Asia surpassing both China and India 50 percent least one video online over the video than read text. (Forbes)• Real GDP rose by 4.9 percent a • The number of 15-24 year-olds (McKinsey Global Institute, course of a month. (comScore) year from 2000 through 2008, in Africa has risen in the last 2010). • The world average GDP per • 100 Million - the number of more than twice its pace in the decade from 133 million to 172 Markets capita in 2008 was estimated Internet users who watch online 1980s and ’90s. million. By 2020, that figure will • English speakers: Worldwide at about US$9,000, The• Africa’s collective GDP, at $1.6 have reached 246 million. The • English language learning is Anglophone African country trillion in 2008, is now roughly number of young people in predicted to boom to an all- average was US$2,300 equal to Brazil or Russia. Africa will double by 2045. time high with half of the world’s• McKinsey Global Institute (MGI) • There are 70 million more population speaking English by research shows that resources Africans under the age of 14 2015. (oil, minerals etc.) accounted than there were a decade ago. • A British Council study indicates for only about a third of the Education newfound growth • Africa’s youth population is notGrowth Comparisons only growing rapidly, it is also• The simple unweighted average getting better educated. of countries’ growth rates was • Based on current trends, 59% virtually identical in Africa and of 20-24 year olds will have had Asia to 2010. secondary education in 2030,• Over the next five years the compared to 42% today. average African economy will • This will translate into 137 million

4.VIIIA | Rationale 4 seeks to translate the country’sA COORDINATED POLICY comparative advantage fromEFFORT TO TACKLE LINKAGES mineral resources into a nationalCHALLENGES & NEEDS competitive advantage. In the film A City response to the film sector seeks to place the national economy sector, a beneficiation strategy can Challenges and needs addressed by a concerted, centralized film effort include: has direct linkages to a number on a production-led growth be conceptualised to take Joburg’s of national and provincial growth trajectory in order to tackle the regional advantages such as raw• The promotion of Johannesburg tourism opportunities through policies, including, but not limited to: country’s developmental challenges talent and locations and convert as a diverse, cost-effective, quality exposure on film; 4.i NATIONAL DEVELOPMENT of unemployment, inequality and them via value-added processes location for inbound productions, • Careers information, advice and PLAN poverty. The New Growth Path into more compelling offerings using a variety of tools; guidance is available for new The National Development Plan sets a target of five million new for the local, regional and global entrants to the industry and (NDP) aims to eliminate poverty jobs by 2020 and identifies six key market. As such, it also enhances• The coordination and leadership those already working, as well and reduce inequality by 2030. sectors that must drive growth and the quantity and quality of exports, of a range of public sector as for companies; According to the plan, South job-creation. A particular focus is promotes the creation of decent stakeholders; • Ensure that industry participants Africa can realise these goals to ensure greater local processing employment and the diversification have the necessary business by drawing on the energies of of South Africa’s abundant natural of the economy, including the green• Private-public alliances with and management skills to make its people, growing an inclusive resources. economy. a range of private sector the most of their creative and economy, building capabilities, Processing or “Beneficiation” 4.iii GAUTENG EMPLOYMENT stakeholders technical expertise; enhancing the capacity of the state, entails the transformation of a GROWTH AND DEVELOPMENT • Ensure that historically and promoting leadership and raw product to a higher value STRATEGY (GEGDS)• Clear rules, regulations disadvantaged individuals have partnerships throughout society. In product, which can either be GEGDS provides Joburg with and standards concerning access to the industry, and that order to achieve higher employment consumed locally or exported. The a strategic framework for production in Johannesburg, the industry is actively making and economic growth the NDP term is used interchangeably with accelerated and shared economic including City contacts, by-laws the most of potential talents notes the necessity of investment “value-addition”. Downstream growth through catalytic and and environmental legislation; available; in competitive infrastructure value-addition involves a range developmental interventions. It • Support the staff at the COJ and lowering the cost of doing of activities including large-scale functions within an equitable spatial• Local marketing to to provide improved levels of businesses through improving capital or labour-intensive activities development architecture - putting government, business, support to the sector; efficiencies in transport and such as machinery and equipment people first, particularly the poor communities and other • Accurate and up to date logistics. These mechanisms are also manufacture. Side stream refers to and vulnerable, and building stakeholders on the potential/ intelligence on the film applicable to film and media. infrastructure (e.g. power, logistics sustainable communities, livelihoods importance of the film industry industry’s workforce to help plan 4.ii NEW GROWTH PATH – etc.), research and development, and living environments. The to Johannesburg’s economy. future skills, talent and company BENEFICIATION STRATEGY human resource development strategy is aligned to the Millennium development support. The South African Government and inputs such as capital goods, Development Goals (MDGs),• Information on labour and developmental economic policy consumables and services. the New Growth Path (NGP), the services available from known as “The New Growth Path” In the Mining Sector for instance, National Development Plan (NDP), people and businesses in the government’s beneficiation as well as various other national Johannesburg, particularly strategy provides a framework that policies and strategies. It identifies HDI companies; fice strategic goals, all of which have a direct bearing on economic• Promotion of Johannesburg development and all of which are aligned to film sector growth. They are: • Transforming the provincial economy through improved efficiency (economic dimension); • Sustainable employment creation (economic dimension); • Increasing economic equity and ownership (equality dimension); • Investing in people (social dimension); and • Sustainable communities and social cohesion (social dimension).

A | Rationale4.IVINDUSTRIAL POLICY ACTION PLAN IPAP lays out policies that are critical to strengthening economic growth and productivity. The film hub is aligned in the following: • Industrial financing to real economy sectors; • Leveraging public and private procurement; • Competition and regulation policies that lower costs for productive investments and poor and working class households; • Skills and innovation policies aligned to sector priorities; • Deploying these policies both in general and to more ambitious sector strategies • Interventions to stimulate growth in key sectors and value chains • Interventions that support regional economic development and integration in Africa

A | Key outcomes and success criteria 5.i ECONOMIC OUTCOMES Developmental Outcomes / Benefits • Connecting the regions / Outcomes / Benefits of a include: provinces with the national film KEY appropriate city support for the film • Provision of invaluable resources & television industry. OUTCOMES sector include: AND • Improved competitiveness of to aspiring and developing • Creating vibrant alternative SUCCESS filmmakers. local procurement opportunities CRITERIA the Johannesburg offering • Improving Access for self- within government and the • Increased numbers of starting young filmmakers to the local business community. Centralised, formalised and tools of filmmaking. coordinated City of Johannesburg production / production days • Reducing the cost of production for • Creating a safe environment support for the film industry occurring in Joburg young filmmakers, and containing for experimentation would generate a number of • Increased demand for locally the need for film funding. with filmmaking, and specific outcomes. available services and products • Promoting responsible significantly limiting the leading to the establishment filmmaking practices damage currently caused of new businesses or the by encouraging by failure. expansion of existing businesses professionalism throughout the to meet the need. production process. • Tackling some of the social • Increased numbers of Joburg • Working towards elimination issues that constraint film residents working as crew crew of filmmaker reliance on industry growth. • Up-skilling of local labour to production funding as meet raised demand the “living wage” and • Increasing the success and rates • Increased international increased focus on audiences of return of other funding and awareness of what and rights exploitation. development programmes by Johannesburg has to offer • Reducing local / provincial ensuring a stream of talent with Increased tourism to the city government risk by creating skills and experience. Specific, quantifiable measurements a level playing field for for the economic elements include: all filmmakers regardless of • Supporting transformation • The number of Professional wealth or connections. of the film industry by Filmmakers registered with • Reducing the risk of national eliminating existing barriers the city film funding by providing of wealth/funds, the need for • The number of production an informal platform pre-existing networks and lack companies on the database through which filmmakers can of access to equipment and • The number of films / products demonstrate their skills, talent opportunities. in development, production, experience and commitment. post etc. • Increasing the development • Providing the city with an • The number of local crew in the of sustainable, professional appropriate, efficient and database Media Companies. measurable framework • The number of Service & • Improving the Business Skills of with which to support local film Support companies available in Filmmakers sector development. the database • Creating more opportunities • The percentage of Joburg crew for filmmakers to interact more Specific, quantifiable measurements hired on each production successfully with Broadcasters include: • The number of trainees / and Commissioning editors, • The number of Filmmakers learners attending courses in particularly when anticipating the city the new demands arising from registered with the organization • The number of hotel rooms DTT roll-out; • The number of films / products booked to accommodate • Increasing opportunities for producers the distribution of local films in development, production, The total budgets spent on through the promotion and post etc. production in Joburg annually support of local audiences. • The number of commissions made 5.ii DEVELOPMENTAL OUTCOMES • Improving the flow of available through the initiative. revenues back to filmmakers • The number of trainees / learners by decreasing the cost attending centre courses of production and improving • The number of Joburg productions reach to local audiences. entering festivals annually • The number of screenings hosted • The number of Joburg audience members on the database

ELEMENTS THAT MAY INFLUENCE5.IIISUCCESSNo government has ever, anywhere World Class Film City. itself, and the ability to execute at ain the world, been able to build an Further elements that may influence city-wide level.industry based on its own resources, success of the City’s venture include: (c) Financial Commitment: The filmand in the complex and often a) Division of Roles: taking a hard, initiative will require on-going financialoverlapping jurisdictions of South pragmatic and cost-conscious view support from the City of JohannesburgAfrica therefore, it is vital that the of what the city should do itself to itself. For a start, membership of thecity carve out it’s own niche, and support the industry and what the Association of Film Commissionerssupport interventions that have a city should make sure is done by International require that memberstriple purpose, namely: other organizations. provide fee-free services to the film• They drive the creation of b) Institutional Cooperation: the industry. Additionally, many of the degree of cooperation and support tools that international commissions NEW opportunities (rather than such an initiative may expect from use to raise funds – Website listings, merely share existing ones) other departments in the city itself. Trade Publications, Festivals and• They transform the sector To this end this report strongly Events – are already being run by the generally, by creating platforms recommends that the office sit private sector in Johannesburg, and for HDI businesses to create within the Mayor’s Executive Office, the City cannot go into competition networks and partnerships providing it both with the “moral with the very industry it aims to along the vertical and horizontal authority” of the Mayor’s office support. Therefore long term, the City value chain. will need to commit monies annually• They assist in the marketing towards the mission. of Johannesburg as an African

6.A | Optionsandcostimplications 6.IV VIRTUAL OFFICE An interesting departure from the above requirements is the fact that many of them can in fact be delivered virtually, without the need for an extensive infrastructure or staffing component. 6.V DO NOTHING A final alternative is for the city to do nothing, and simply let the status quo continue. This is an opportunity cost, since without the city’s leadership, the industry will be unlikely to grow significantlyOPTIONS ANDCOST IMPLICATIONSWhen considering a central, new structures. • Acting as an interface betweencoordinated response for the film 6.ii CULTURAL / the industry, its representativeindustry, the City has five options, DEVELOPMENTAL FOCUS bodies and the government.with differing cost implications. Film sector cultural development6.i ECONOMIC FOCUS activities include the funding • Promoting film activity in theThe first option is a pure productions, market participation, country’s regions and ensureEconomic Development focus improving skills training and that national and regionalon the job creation, stimulation education about the moving image, bodies work in concert toof local business, skills share, extending and improving access to contribute towards the nationaltourism growth, and sustainable film culture and film heritage, and film industry’s goals anddevelopment with a low-to- supporting innovative film-making. objectives.negligible environmental impact.Economic-based activities would 6.iii DUAL CULTURAL • Promoting and encouraging usetypically help maximise inward AND ECONOMIC of digital technologyinvestment, create a level Silos of culture and economy are usefulplaying field for filmmakers in concepts, but there is always a range • Helping to ensure an adequateterms of access and legislation, of overarching issues.These include: supply of skills and new talentand attract more private financeinto the sector in order to • Providing leadership and This crossover reflects the “broadcatalyse the emergence of guidance for the industry. ecology” of the film business today, where the economic and cultural benefits of the sector are increasingly closely intertwined.

7. In light of the above, the SEEK CHAMPIONSHIP BY 1.vi) CREATE INFORMATION PROGRAMME STAFF recommended option for the City EXECUTIVE MAYOR. DATABASES ON LOCAL SERVICES 2.ii SEEK FURTHER BUY-INRECOMMENDED of Johannesburg is to proceed 1.ii) APPOINT PROJECT & SKILLS - ADD INFORMATION TO AND CREATE REGULAR FILMOPTION along a cautious and somewhat COORDINATOR & DATA WEBSITE PARTNERSHIP MEETINGS conservative track, taking into CAPTUROR. IDENTIFY & CONFIRM 1.vii) CREATE ADDITIONAL BEGIN PLANNING account the complex stakeholder CORE TEAM OF ALLIES WITHIN MARKETING MATERIALS AND COMMISSIONING HUB and government environment, and CITY STRUCTURES INTRODUCE BEGIN ROLLING OUT AWARENESS 2.iii ROLL OUT PHYSICAL the finite resources available at CONCEPT AND SEEK BUY IN ON CAMPAIGN IN PRINT AND ONLINE MARKETING VIA EVENTS this time. INITIATIVE DEFINE “BRAND” (at MEDIA PROGRAMME. RESPOND It is recommended that the City this point, an initiative or campaign PHASE 2: TO ENQUIRIES. SERVICE implement its film-forward services rather than an office) MANIFEST OFFERING - BEGIN PRODUCTIONS.DEVELOP in several phases, as follows: CREATING A PHYSICAL OFFICE FILM TOURISM RESPONSES AS PHASE 1: 1.iii) INITIATE “FILM FRIENDLY” Projects benefitting from a staff REQUIRED VIRTUAL PREPARATION PROGRAMME, SET SERVICE component, but not necessarily 2.iv LAUNCH DEVELOPMENTL LEVEL AGREEMENTS AMONGST requiring a permanent physical PROGRAMMES TRAINING & 1.i) DEFINE THE “AFRICA’S PARTICIPATING DEPARTMENTS space for delivery BURSARY FUNDING LAUNCH WORLD-CLASS FILM CITY” 1.iv) PURCHASE CUSTOMISED 2.i OPEN PHYSICAL DESK WITHIN REEL JOBURG AUDIENCE CONCEPT AND IT’S GENERAL WEB-BASED FILM PERMIT SYSTEM THE MAYOR’S OFFICE. HIRE DEVELOPMENT PROJECT CREATE GOALS. (INTERNAL) 1.v) CREATE LOCATIONS WEBSITE FILM INCENTIVES PROGRAMME

A | Measures of success OMFESAUSCUCREESSSWe will be able to determine the success of the film office when: Johannesburg’s economy and those already working, as well assist historically disadvantaged • Johannesburg is recognized future, and are supportive of as for companies; individuals to access industry film sector initiatives such as the • Industry entrants and existing opportunities; as a diverse, cost-effective, Joburg Film Festival participants are exposed to • The Film Office staff provide quality location for inbound • Information on labour and a regular array of skills and support to the sector that is productions and local films; services offered by people and business training, allowing appreciated and acknowledged; • The Film Office coordinates businesses in Johannesburg, them to make the most of their • There is annual / bi-annual a wide range of public sector particularly HDI companies is creative and technical potential; intelligence on the film stakeholders and has created available in an accurate, digitally • Joburg Tourism has partnered to industry’s workforce to help plan alliances with a range of private published format; influence and capitalize on the future skills, talent and company sector stakeholders • Careers information, advice and representation of Joburg on film; development support. • Clear rules, regulations guidance is available for new • Dedicated programmes exist and standards concerning entrants to the industry and to support transformation and production in Johannesburg are in place including City contacts, by-laws and environmental legislation; • Permissions to film in the City are straight-forward and digital;8 .• Government,business, communities and other stakeholders locally are aware of the potential/importance of the film industry to

A | Risk ACTIVITY RISK RANK MITIGATION OBJECTIVESR9I. SK Project The main risk is MEDIUM Begin engaging with Performance, Quality, that the legal legal practitioners Time, Cost, stakeholder requirements to immediately to ensure Reporting & Satisfaction establish the Film that our processes are Office become adapted at time of entangled in writing to the correct unforeseen local legal needs. bureaucratic Manage expectations requirements through regular communication with A further risk is MEDIUM stakeholders that the funds for project delivery are not made available or cannot be sourced from elsewhere, limiting the Office’s viability. Business The main HIGH Immediate and Stakeholder Buy-in and business risk lies resolute focus on Support in any degree implementation and of failure to activation supported implement the by communication of Film Office this to stakeholders to industry expectations• Physical Risk refers to threats time and for the right duration, Additional MEDIUM Include training of to the health and well being of the burden of bureaucratic business risk staff within the action film industry participants. This processes, the promptness and lies in the failure includes City staff as well as responsiveness from public and of the Office talent and crew in the industry. private sector stakeholders etc. to significantly • Legal Risk includes the complex change the• Financial Risk concerns both the legal environment of the film dynamic of film costs of shooting / incidental office with respect to a whole production in costs of travel, subsistence slate of laws and policies South Africa etc in the city, as well as the such as labour, immigration, costs / return on investment of environmental protection, child The final risk HIGH Ensure regular delivering key programmes in and animal protection etc. lies in the failure lobbying of city line with government norms. • Psychosocial Risk involves public of the office to partners and other or private loss of self-esteem or the secure buy-in stakeholders• Time Risk includes elements esteem of others e.g. producers to its processes, of time to produce content in or other scouts, of choosing one resulting in the Joburg. In the film industry, location over another. slow delivery of “Time is Money” and time services. risks include the availability of key locations at the right

A | Risk 10.ACTIVITY RISK RANK MITIGATION OBJECTIVESSafety Film Crews and MEDIUM film office staff Ensure development and Zero accident rate, work long hours at communication of guidelines. minimal lost days, irregular times. Ensure travel is only booked project delivery focus through reputable agencies, car hire companies, hotels etc. Other safety risks Ensure that quality control CO 10.i BUDGET include building measurements/ aspects The film initiative will require access for members are built into building on-going financial support from of the public to maintenance routines. the City of Johannesburg itself. Film office premises Insurance to be Membership of the Association of including events. Film Commissioners International require that members organizationsTechnical A significant risk HIGH Ensure that quality Performance, Reliability, provide fee-free services to the film is the failure of control measurements/ Functionality, industry. Additionally, many of the technology – aspects are built into Delivery tools that international commissions film equipment, supplier contracts, and software, clawback provisions STSuse to raise funds – Website listings, computers - to are activated to ensure support the work supplier delivery and of the Film Office support.Security Expensive HIGH Good planning mitigates Minimal lost days, equipment exposure of staff to minimal lost equipment, expose staff security issues. project delivery focus and workers to potential Trade Publications, Festivals and Events – are already being run by the threat. Expensive private sector in Johannesburg, and the City cannot go into competition equipment with the very industry it aims to support. Therefore long term, the City will available for hire need to commit monies annually towards the mission and/or in public areas is at risk. Information Security is tackled under technical risks.

IMPACTS BUDGETSalaries R 8,790,000.00Administration R 3,638,000.00Key Programme Management R 1,660,000.00Key Programme FundsCentre of Excellence R 16,100,000.00Marketing R 1,121,881.00Film Tourism Incentives R 4,200,000.00 R 3,300,000.00 R 38,809,881.0010.ii FUNDING OPTIONS Technology (ICT) Grant Support JOBURGA range of additional options do Others Funding / Finance streams FILMexist for additional programme and for investigation include: OFFICEinfrastructure funding including 10.ii.ii MANUFACTURING MAYORAL10.ii.iINCUBATION SUPPORT COMPETITIVENESS REPORTPROGRAMME ENHANCEMENT PROGRAMMEThe objective of the ISP is 10.ii.iii PRODUCTION INCENTIVEto encourage private sector GRANTSpartnerships with Government 10.ii.iv PRODUCT PROCESSto support incubators in order DEVELOPMENT SCHEMEto develop SMMEs and nurture 10.ii.v TRANSFORMATION ANDthem into sustainable enterprises ENTREPRENEURSHIP SCHEMEthat can provide employment and 10.ii.vi GRO-E YOUTH SCHEMEcontribute to economic growth. The 10.vii GRO-E SCHEMEintention of the programme is toprovide funding for incubators thatover time can generate revenuethrough the provision of servicesand initiatives that can be self-sustainable.The following costs are eligiblefor support:• Business development services (e.g. business advisory services, coaching and mentoring, training, facilitation of funding, production efficiency and improvement, quality and standards acquisition)• Market access• Machinery, equipment and tools• Infrastructure linked to incubator (buildings, furniture)• Feasibility studies for establishing and expanding incubators• Product or service development• Information and Communication

A | Joburg film office mayoral report television programmes, advertising The city is home to the three largest Association, the Personal Managers commercials, stills photography, broadcasters in Africa, including the (Actors) Association, the ModelSTRATEGIC corporate and business-to-business global headquarters of the South Agencies Association and others.THRUST video and digital media production African Broadcasting Corporation. Johannesburg also offers what is including computer games. The province of Gauteng is also arguably Africa’s strongest screen The audiovisual industry in the home to all the leading film sector culture, offering year-round film Johannesburg encompasses the organizations and departments festivals. Opportunities for training entire range of creative production – the Department of Trade & also abound: several universities, activities including film, TV Industry, the Industrial Development technical training and private and documentary production, Corporation, the National Film & tertiary institutions offer courses or commercials, stills photography Video Foundation and others. The degrees in film and related media. and multimedia. The province province is also home to the leading The economic impacts of the sector offers support services, equipment, private sector film organizations are considerable. supplies and facilities, casting and – the Independent Producers crew as well as post-production Organization, the Commercial companies and pre-production, Producers Organization, the research and development services. Association for Transformation in Film & Television, the Crew Agents1. Economic growth and job include: The Film Office aligns with a range MPACTS REPORTED EARNINGS creation. • Provision of resources of policies and strategies including GFC Spend on Projects R3,069,504 the National Development Plan, 58% of SAFI Production R 696,000,0002. OBJECTIVE and access to the tools of the New Growth Path (Beneficiation 58% of NFVF Production & Development R 28,768,0003. The Film Office was launched filmmaking, reducing the c Strategy), the Gauteng Employment 70% of SABC R420,000,000 ost of production for Growth And Development Strategy, DIRECT Production Expenditure R1,499,687,367 in June 2016 with the following young filmmakers. the Industrial Policy Action Plan and INDIRECT IMPACTS @ 1:1.41 R 2,114,559,187 objectives: • Encouraging Millennium Development Goals. INDUCED IMPACTS @ 1:2.5 R3,749,218,4172.i ECONOMIC OBJECTIVES professionalism throughout the JHB Distributor Company Box Office R878,823,203 in 2013Economic Objectives include: production process. 3. SUMMARY Total television advertising spend R37.6 billion in 2016• Improved competitiveness of • Increasing the development of 3.i Purpose of Report Online and mobile television advertising R84 million in 2016. Johannesburg sustainable, professional Media This report outlines the Business End User Spend on Entertainment products• Increased numbers of Companies and improving the Case behind the establishment of Total End User Spend R100.5 billion in 2016 production / production days in Business Skills of Filmmakers the City of Joburg’s new film office. TOTAL PREDICTED DISTRIBUTION IMPACT R139,063,823,203 the city. • Creating more opportunities The purpose of this report includes: TOTAL Direct Impacts of Production & R147,925,975,541• Increased demand for locally for filmmakers to interact • Explanation of the need for such Distribution for Johannesburg business. available services and products with Broadcasters and leading to the establishment Commissioning editors, a Film Office in Johannesburg; The Joburg Film Office emerges development, sustainable job provides focus for all of the City’s of new businesses or the particularly when anticipating • The viability and financial from strategic research which creation and production growth in Film and Media support activities expansion of existing businesses the new demands arising from identified that the Film and Media a targeted and realistic way that including: to meet needs. DTT roll-out; sustainability the office; industry in the City would benefit reached across the City’s various• Increased numbers of Joburg • Increasing opportunities for • The services the Film Office from a holistic “cluster” approach, departments. residents working as crew the distribution of local films allowing issues of transformation, The Joburg Film Office essentially• Up-skilling of local labour to through the promotion and offers; skills development, audience meet raised demand support of local audiences. • Explanation of how the Joburg• Increased international • Supporting transformation awareness of what of the film industry by film office will contribute to the Johannesburg has to offer eliminating existing barriers City’s economy.• Increased tourism to the city of wealth/funds, the need for 3.ii Industry Summary2.ii DEVELOPMENTAL pre-existing networks and lack “Film industry” is an umbrellaOBJECTIVES of access to equipment and term that is used to describeDevelopmental / Social Objectives opportunities. a range of activities that drive • Providing the city with an and support the creation and appropriate, efficient and distribution of entertainment measurable framework media content - for feature films, with which to support local film sector development.

AUDIENCE DEVELOPMENT LOCATION MARKETING INTERGOVERMENT ALIGNMENT POLICY• Suppoerting the • Maintain list of photographic • Policy & implementation 4 .IMPLICATIONS development of a screen references on website alignment culture • Support location marketing • Facilitating Joburg industry• Increasing access to film for local communities platforms engagement with province• Facilitating development • Attendance of Markets & & national and restoration of filming • Local implementation arm houses /locations relevant festivals • Inter-government • Support Exec products selling cooperation and joint funded initiatives Joburg • Reel Joburg Film Project - webisodesPRODUCTION INCENTIVE INDUSTRY INTELLIGENCE• COJ Cash rebate (subject to • Resource databases • Market information/ approval)• City Marketing support intelligence• Facilitate Production • Monitoring & Evaluation discounts• Lobbying for competitive national incentivesINDUSTRY ALLIANCE FILM FRIENDLY PROGRAMME The Film industry is impacted by to economic development and • Develop filmmaking education• Industry Advisory Board • One-stop & Online all parts of government operation objectives and skills training, including• Ensure accountability – not only via cultural policy but • Develop a policy position scriptwriting and content Permitting Process education policy, technology, focused on building the film development for filmmakers. and responsive of JFO • Citizen–FilmAwarenessCampaigns Intellectual Property, labour, the business• Industry collaborations • Business - production rights of Children, environmental • Formalise, harmonise and • Develop a comprehensive film• Networking management, water usage, co-ordinate government’s film culture education programme,• Information & Trend discount programme immigration, direct foreign sector activities connecting schools and • Property Owners/JPC – investment, tourism development, • Develop a comprehensive audiences to films sharing local and international trade, enabling environment for Limited/targeted location access transport, Health and Safety and film industry development • Develop markets & market FILM HUB & COMMISSIONING • Tourism Packages for Production international promotion of the specifically including funding access opportunities • SMME incubation & Help • Safety & Security of the city city’s image, other policies will mechanisms also need to adjust to film sector • Develop a comprehensive • Brand Johannesburg locally and desk and Sets requirements. agenda for improving internationally as a film centre • Business support services Policy Recommendations production & distribution, of note & coordinate foreign • Free and low-cost tools, TRAINING, DEVELOPMENT therefore include: focusing on skills & education, investment opportunities & TRANSFORMATION • Rationalise policies to enable legislation and best practice equipment, education, • Screen writing festival & • Develop comprehensive • Ensure all sector development resources, guidance and film production to contribute business education and skills activities are technology- opportunities/business workshops training offerings for producers integrated linkages • Executive producer • Use Private Public Partnerships training initiatives to stimulate activity • Digitisation and animation skills dev • Industry Internship programme • Initiatives with MICSETA/ SAQA/RPL • Industry Facilitated training

A | Legal & constitutional implicationsLCIMEOGPNLASILTCIA&TTUITOINOSNAL 6 .Thedegreeofcooperationand support the Film Office expects from other departments in the FINANCIAL city itself has implications in IMPLICATIONS terms of service delivery and line department reporting. There is also The film office initiative will require Trade Publications, Festivals and a clear division of roles between on-going financial support from Events – are already being run by stakeholders at National, Provincial the City of Johannesburg itself. the private sector in Johannesburg, and city level. To this end, this Membership to the Association of and the City cannot go into report strongly recommends that Film Commissioners International competition with the very industry the office sit within the Mayor’s requires that member organizations it aims to support. Therefore, in Executive Office, providing it both provide fee-free services to the film the long term, the City will need to with the “moral authority” of the industry. Additionally, many of the commit monies annually towards the Mayor’s office itself, and the ability tools that international commissions mission. use to raise funds – Website listings,5.toexecuteatacity-widelevel. MPACTS REPORTED EARNINGS Salaries R 8,790,000.00 Administration R 3,638,000.00 Key Programme Management R 1,660,000.00 Key Programme Funds R 16,100,000.00 Centre of Excellence R 1,121,881.00 R 4,200,000.00 Marketing Film Tourism Incentives R 3,300,000.00 R 38,809,881.00 A range of additional IDC/DTI options exist for additional programme and infrastructure funding including: • Incubation Support Programme. • Manufacturing Competitiveness Enhancement Programme • Production Incentive Grants • Product Process Development Scheme • Transformation And Entrepreneurship Scheme • Gro-E Youth Scheme • Gro-E Scheme

COMMUNICATIONS 8.7.IMPLICATIONS The success of the venture is dependent on sustained and on-going coordination with partners and stakeholders within Johannesburg, Gauteng, South Africa and internationally. Joburg Film Office communications will include:• A sustained networking effort • Ensuring that all residents DEPARTMENTS The film industry affects a range and educational institutions and with potential customers to understand the value of the CONSULTED of key government stakeholders. other players. build the trust necessary to production industry and Those consulted in the • SAASP encourage filming. maintain a “film friendly”, establishment of the Film Office • ATFT can-do attitude – notably with include: • AFDA• Accurate information, communities affected by filming, • Arts & Culture • Atlas Studios maintained and available in but also amongst government • Parks & Recreation • Sasani Studios a distributable format, can departments at national, state • Cleansing, Street Cleaning • Joburg Studios swiftly and efficiently be and municipal levels • Education • SABC shared between partners and • Electricity • PMA stakeholders. • Ensure departments are • Environmental Affairs • The Refinery briefed and familiar with the • Health • The Film Industry Fund• It also relies on the film sector expectations of the action via • Investment Promotion • CPA agreeing to adopt any rules significant intra-governmental • Police Service • Indigenous Film and regulations created, and communication. • Public Works Distribution cooperating in order to build a • Safety & Security • UJ strong, sustainable industry. • Sport & Recreation • Ster Kinekor • Tourism • SASFED • Roads & Traffic • IPO Further industry stakeholders were • Wits consulted including representatives • Animation SA of the following studios, associations

A | Communication implications 9. COMMUNICATIONS The Joburg Film Office pursues a IMPLICATIONS DUAL CULTURAL AND ECONOMIC mandate. The centralized nature of the organization further allows for management of overarching issues including: • Providing leadership and guidance for the industry. • Acting as an interface between the industry, its representative bodies and the government. • Promoting film activity in the country’s regions and ensure that national and regional bodies work in concert to contribute towards the national film industry’s goals and objectives. • Promoting and encouraging use of digital technology • Helping to ensure an adequate supply of skills and new talent

JOBURG FILM Joburg Film Office is an established Charles Gallacher – CPA of the protection offerings.OFFICE entity that is set up to enable a Delon Bakker The meeting asked the office to beINDUSTRY film friendly city coordinating the Ntokozo Mthombeni – GTA radical in its marketing campaignENGAGEMENT municipal services and at times Ziyanda Mngomezulu – etv specially to respond to the private services toward the smooth Tumi Langa – JFF opportunity of image adjusting to30 August 2016 – Craighall, Randburg running of production in the City for Lebone Maema – JFF make the city seem safer, efficient, local and international companies Lumka Dlomo – Joburg Tourism responsive and networked. across the camera industries. Verrelli Triegaardt TOURISM The film office was established Marc Schwinges – SASFED It has been proven time and on a number of assumptions with Phumi – Diamondhill time again that Film has a direct the objective of a film city that is Mashokane Mahlo - Yepmedia influence on tourism such that efficient and responsive and based JMPD the term “film tourism” has been on these assumptions that business The key outcomes of the session categorised and capitalise upon by case set up 9 strategic pillars of were these following points for municipalities around the world. The operation that it believed it could consideration: meeting called for the city to work serve the industry. 1. The JFO should be clear on its in coordination with the tourism These pillars being: office to build specific film tourism 1. Audience Development mandate such that it can be programmes and actual tours of 2. Film Friendliness precisely articulated international films and of local films. 3. Training, Development & 2. Government calls for alignment SALES & DISTRIBUTION – so the JFO should ensure International & Local Transformation consistency with National Those involved in Sales and 4. Film Hub & Commissioning and provincial strategies and distribution called for the City to 5. Industry Intelligence imperatives however, still create initiate a complementary incentive 6. Production Incentives unique selling propositions to programme that benefits local 7. Industry Alliance set is apart from other cities and production and international 8. Intergovernmental Alignment remain competitive. production. 9. Location Marketing 3. The JFO should pace itself and Another call was made to support In order for the city to know how not be all things to all people films made in the city, to travel to true these pillars are in line with the in the initial growth phase international markets either the requirements of the industry, it was focusing on key strategic areas producer/s or for the city to invest necessary to conduct engagement such as coordinated permitting, in a portfolio of films that can travel meetings. The meeting hosted by film friendliness, locations and be mad available on online Olive-Explore was held on August management and promotion platforms. 30th in Craighall Johannesburg and and market intelligence, making EXHIBITION sought to receive feedback on its efforts to fully understand its The exhibition contributors to the intended strategy to understand market and customers. value chain were honest enough the realities and or complexities 4. The office should be efficiently to say that there are not enough of the film industry. The industry resources to respond to the screens in high density areas of the engagement pulled together some market needs city and that the content does not municipal offices and industry 5. Audience development should always have local content, however organisations listed here under: rather be looked at as market this latter point is also an outcome Kgomotso Nkele - SASFED penetration of content of the local theatrical releases. Nick Cloete – Animation Association 6. The JFO should implement The meeting called for the city to of South Africa meaningful transformational embark on: Tracey Williams – The Refinery programmes and policies that • Content development Bobby Amm – CPASA filter through every aspect of its Themba Sibeko – Ziya Consolidated strategic pillars. programmes Holdings Other topics of concern, discussion • Audience capacitation Mamokuena Makhema – WGSA and suggestion were: Glen Bosman – CPA PROMOTION AND MARKETING initiatives that address audience Eileen Sandrock – Sasani Studios The global market have concerns on development Bongi Selane – IPO the reportedly high crime statistics. Ster Kinekor made a commitment Mayenzeke Baza – ATFT The City will need to create strong to assist the city in both these areas Pascal Schmitz – ATFT safety programmes and offerings because they are already working on Francois Smit – AFDA to ease the uncertainty of inbound making inroads in the townships and Professor Nyasha Mboti – UJ filmmakers who feel insecure and are looking at how best they can Brent Quinn – AFDA so in collaboration with the Joburg market local films in their cinemas. Eddie Mbalo – Studio JHB tourism office is to build counter As part of this area of growth, the Motheo Matsau – Ster Kinekor campaigns and build in the certainty meeting emphasised that the city Marius Meyer – PMA

A | Joburg film office industry engagement marketing and promotion of given an opportunity to review training and how it intended the city. and comment before they are closing the gap from trainingshould build into its framework, The producers reminded the JFO to allow filmmaker access even if • The post production rebate to written in? and entering the market placemarketing support programmes. that a film office is not a unique limited to a few sets a year. be marketed more widely. The TRANSFORMATION of if that was one of JFOFACILITIES & PRODUCTION entity and it should look to best A coordinated approach to post production side needs Transformation is too important mandates.Johannesburg is the lead in facilities practice but find a set of USPs that permitting and how will the to be part of the outbound an issue to be clubbed under • The sale of scripts externally,across the value chain. Although respond to Joburg filming citizens. city differentiate Documentary promotional drives. Training and development were the can the JFO create networkingCape Town is famous for its sound Looking back in to the city and the permitting from feature film • Call for more facilities views of the meeting in generally programmes to facilitate scriptstage, Johannesburg is recognised country’s history in film production permitting? This process of • Training programmes for who asked that there be a clear trade? Is there an opportunityfor having more available. The to make improvements, guarding permitting is described as “genre post-production. distinction and a blatant attempt for a Pan African City to Cityadvantage includes the broadcast against irrelevance through listening permitting” LEGILATIONS AND POLITICAL to include transformation into all interaction e.g. a festival orblock of DSTV, SABC and e.TV with and frequently engaging with the Support for the industry bodies. WILLINGNESS strategic pillars with additional otherwise?offices for international TV stations industry at large. The various bodies are subscription • To capitalise on the he planned programmes and initiative • An idea that was presented wastaking up residence such as CNBC Identifying champions and dependent and generally opportunities that exist in that implement transformational a possible screenwriting festivalin Sandton and the newly formed advocators to further its cause. operate with sparse supplies. An the Knowledge economy, it objectives. and/or a Film Hub ideas whichKwese TV housed in Randburg. In the growth phase of the city intervention that could support is beneficial that the JFO sits One such intervention would has already been suggested toThe meeting raised the need office, the implementation of their operations would be to host in-between the two entities of be to ensure that a database of the JFO through this strategythough for an additional studio incentives is key; the city need to annual or bi-annual meetings and Economic Development and Black, Female and youth in film development process. The factin Gauteng with the idea of a be clear of the level and type of networking sessions outside of Arts & Culture practitioners be developed and that that they have been raised inpossible expansion beyond facilities incentives and how this or these existing platforms such as festivals. • With the political changes, any funding and incentives have a this platform, entrenches theto include a theme park as with incentives would drive the industry. POST-PRODUCTION should we be concerned? Is clause that restricts access unless need for such interventions.Universal or Paramount Studios Citizen engagement programmes Johannesburg has a number of local the government stable? Is members of the list are contacted These would respond to youthFACILITATION that education and inform on the postproduction facilities which area there political alignment? These and employed in the production development in the sector butThe producers collectively raised short term inconvenience of physical beneficial factor such that the DTI questions were responded to value chain. also benefit those already activethe following: production verses the long term rebate programme has included in the meeting. The CEO was ACTORS to deepen their knowledge.The film office must be efficiently positive impacts. post-production as an opportunity able to address these issues Performance was not discussed • Are there any specific youthresourced such that it can operate Locations management across for rebates. immediately with affirmations at length. The only item that was development and market accessacross, Stills photography, Long public and private properties. An Those in post-production aired the that there is political stability presented was the need for actor programmes that the city isand short form film across genres, intervention has to be employed following views: with the change in municipal regulations to be implemented for preparing or proposing andanimation, commercials production with private property owners of • Post production facilities leadership and there is the city. what are they?and corporate videos and television. landmark buildings and public continued political willingness EDUCATION & FUNDING • The institutions of higher spaces such as shopping centres need to be publicised in the to support the growth of the • If production funding were to be learning have extended an open film industry and to have made available, what would that invitation to the JFO to visit to instituted the film office. be? The meeting was adamant get to know what is currently • The group raised issues with the to point out that the greatest being offered. NFVF and the GFC not being needs are development funding AUDIENCE present as their participation for films. The term “Audience Development” speaks to the alignment of • If development programmes was shunned by the attendees as local provincial and national should come about, these they felt it was a limiting construct. cooperation to which the JFO should be strategic and in They proposed the JFO rephrase responded that they are in line with the business of a to be “Market Penetration” as discussion and collaboration film production efficiency i.e. a broader intervention. Market with both entities on the training for unit managers, penetration should include operations of the office. locations fixers, line producers, • Strategies on the route to • As with all government and production managers for market of local content entities and programmes, instance. • Building rituals in audience each requires political will and • Establish a council of higher participation a champion within political education- Alumni interaction • Audience studies using a and administrative channels with the community. scientific approach. There to funnel and lobby for more is a science to audience resources and attention. Film SCREENWRITING: development is a high impact contributor • The writer’s Guild expressed • Theatres vs new ways to to both micro and macro interact with film content. What economies with a value chain the need to increase training in exhibition solutions exist in that touches on many if not all scriptwriting asking the JFO if the city? of government imperatives. it could participate in localised • Film festivals, how will the city • What by-laws would be put in promote to its citizens place and would the industry be • Development and training for youth participation

JOBURG XFILMSTRATEGY The Joburg Film Office was launched in 2016, following strategic research and sector consultation which identified that the Film and Media industry in the City would benefit from a holistic “cluster” approach by government that would reach across the City’s various departments to allow complex issues of transformation, skills development, audience development, sustainable job creation and economic growth in a targeted and realistic way Against the backdrop of the largest film production hub in the South Africa, the JFO’s central objective is therefore to harmonise and co-ordinate the City’s supportive interventions for the film industry, and to create of an enabling environment for sector growth and transformation. This would include centralised administrative facilitation of permits and locations access, supporting filmmaking education and skills training, developing a comprehensive film culture and audience development programme, and branding Johannesburg as a film centre of note, both locally and internationally.

A | Joburg film strategyEXECUTIVESUMMARYThe Johannesburg Film Industry several challenges that constrain by all stakeholders (eg. Full timeis the beating heart of the South the film sector growth in the City, employment versus FreelanceAfrican film and video sector; it is namely: work). Furthermore, it is difficult toconnected internationally like no INSTITUTIONAL COORDINATION quantify the intangible “soft power”other, it is responsible for a majority Joburg is blessed with significant of the industry and influence on theof the production of all kinds of “institutional thickness”. However, Joburg brand.content, it is the home of all the stakeholders in both private and KNOWLEDGE ECONOMYnation’s major broadcasters, cinema public sectors have not traditionally There is a global shift to achains, distribution companies and worked well together strategically knowledge- and information-basedindustry organizations. Existing or operationally, resulting in raised economy. Unlike physical goods,research suggests that this business expectations, gaps in delivery and information is not destroyed inis already worth around R8 billion a services, and general frustration. consumption but rather can beyear in economic impact. There is great opportunity to enjoyed again and again. ThisJohannesburg also offers what is formalize partnerships to grow the requires new ground rules: forarguably Africa’s strongest screen foundation of the film and media example, traditional “products”culture, offering year-round film sectors in Johannesburg. decline in value the more they arefestivals including the Joburg SECTOR INFORMATION used, whereas the value of an ideaFilm Festival which aims to be the Data collection and statistics increases to the degree that it cancountries biggest. Opportunities gathering in the film sector is be shared with and used by others.for training also abound: several on on-going challenge. There Shifting culture to recognize theuniversities, technical training and is the challenge of translating current scope of this unconventionalprivate tertiary institutions offer existing data into measures and economy and its growth potentialcourses or degrees in film and metrics that can be understood is critical to learning how to bestrelated media. support it in Johannesburg.However, the research identified

A | Joburg film strategyACCESS and film festivals to reach AUDIENCE DEVELOPMENT LOCATION MARKETING INTERGOVERMENT ALIGNMENTFilm industry participants are Johannesburg audiences. • Suppoerting the • Maintain list of photographic • Policy & implementationconstrained by their limited access TRANSFORMATIONto a wide range of elements that Transformation, both economic development of a screen references on website alignmentare vital for film sector participation. and social, remains a fundamental culture • Support location marketing • Facilitating Joburg industryThis includes access to funding / and overarching issue throughout • Increasing access to film forcommissioning opportunities for Johannesburg, and the Film Office local communities platforms engagement with provincenew productions, to production can leverage opportunities and • Facilitating development • Attendance of Markets & & nationaland business skills, equipment, networks to support development and restoration of filming • Local implementation armand decision-makers locally of an ever more inclusive film sector. houses /locations relevant festivals • Inter-governmentand internationally. There exists With this in mind, this strategic • Support Exec products selling cooperation and jointunlimited opportunity to bridge plan therefore provides short- and funded initiativesaccess points for filmmakers. long-term goalsthat are the first Joburg steps towards providing support • Reel Joburg FilmAUDIENCES (CUSTOMERS) to the sector in addressing theseThe key to industrial and cultural challenges. This document serves as Project - webisodessuccess of the film industry rests a guide for the JFO on how best toon the ability to connect films with support Film Sector Development in PRODUCTION INCENTIVE INDUSTRY INTELLIGENCEaudiences – at the cinema, and on Joburg, and to leverage resources, • COJ Cash rebate (subject to • Resource databasesevery conceivable digital device partnerships and networks to create • Market information/ranging from tablet computers and jobs, build skills and enhance approval)smartphones. There are several Joburg’s brand. • City Marketing support intelligenceopportunities for the City of • Facilitate Production • Monitoring & EvaluationJohannesburg to assist filmmakers discounts • Lobbying for competitive national incentivesSTRATEGIC INDUSTRY ALLIANCE FILM FRIENDLY PROGRAMMEOVERVIEW • Industry Advisory Board • One-stop & Online • Ensure accountability Permitting Process and responsive of JFO • Citizen–FilmAwarenessCampaigns • Industry collaborations • Business - production • Networking • Information & Trend discount programme • Property Owners/JPC – sharing Limited/targeted location access FILM HUB & COMMISSIONING • Tourism Packages for Production • SMME incubation & Help • Safety & Security of the city desk and Sets • Business support services • Free and low-cost tools, TRAINING, DEVELOPMENT & TRANSFORMATION equipment, education, • Screen writing festival & resources, guidance and opportunities/business workshops linkages • Executive producer training initiatives • Digitisation and animation skills dev • Industry Internship programme • Initiatives with MICSETA/ SAQA/RPL • Industry Facilitated training

TRANFORMATION 22.INDUSTRY Transformation is implied and INTELLIGENCE expected throughout all of JFO programmes. However, the Capturing and measuring sector imperative to drive real and data is a vital step in the effort to meaningful economic change understand who the City is working means that Transformation demands with, what their needs are, what a dedicated focus from the JFO. City interventions are successful and All of the following JFO strategies what should be improved. have an empowerment and It is notoriously difficult to gather transformational thrust, however, and collate statistics or data from specific and deliberate additional the film industry. Yet without elements to support this agenda accurate, quantifiable information, include: the City cannot effectively plan interventions for sector support. STRATEGIES aptAJoonrcodhcpvaurfionridlanpmeteeedsfrleylbbysuycteroitvgvhlaaleeallsucuJtatdiFotnieOegrneawdcalleacilstshlea.ariivdnicotehrsdeer office in being more efficient to • BBEEE Policy: spells out pTRroAvNidSeFsOerRvMiceAsTtIoOfNilm sector the specific transformational Tstraakneshfoorlmdeartsio. n, both economic objectives of the JFO and the aaSnnTddRAosoTvcEeirGaalIr,EcrheSimngaiinsssuaefuthnrdoaumgheontuatl tools that are used to deliver it. •Jconoa ef nhtawanpDirlneanooeecvnnrtvlkvegeeuesersendarlbtotigooimnuapefgrlsogSDu“ort,epFerpaaacaptpiintannnooodbscirrrnalttoutgSushdfsteneiepaJvsikovtr:eFioeebeoivflhlsumifoilodrmaapglenOdmwrFsdesfeeiifrdlicmnasce,tnteosd”r. asc•JptjsJ•lp•Woootuoho alegnbaipabbrttpngusthhlpuunlicDetattaDMDp,si-enehhhdtorronntectrbheaeggnteeeeohoreobddnrsoutevvtg,’rsinsdeansrspkswmeeirfhaFesciliicbuoceoibndtdrlluiinnoaisootooonpcfalrmgrgeo.pmrddonsatpprpdssdtirmTiorpktrsinehnoaeuctseraMaihfaSilogedaloinnincintlnllpiseeopcso.mBssesdfadpJlpdarcrtferrrplasoFtdiieotifdra,sEknnevhnnanoorOvo/ncvetdevgxoaegcdsirjhtkicdtadeprrtdthjitioDeleauoulwicsIeiieEeaeunanntgcsnmfdtennamrossansstgteceHJivthtdeshietrodsirneptoeektalsDoiarntohtslytgsebolhuiinhtttuwoomgIiehsweptucattnrtsprcheooogeehertpptbeterfmgen-ueeiiemaorterchcrcrvrarmswscecrarscieaeieeenrtttitngnestcie:ssadnytdttshk,not.oeg,aitetnnds • BBEEE Requirements: the specific inclusion of BBEEE throughout the community and requirements on all JFO transformational achievement. programmes, especially those which require CoJ financial support, will contribute to upliftment and increased access to the sector. • Language Policy: ensures that residents from all Joburg communities can access JFO programmes and documentation in the predominant languages used in the Province. • Information Management and Brokerage: identifies, monitors and measures the growth of HDI activity in the sector.

3.A | Joburgfilmstrategy 4. COMMUNICATIONS IMPLICATIONSINDUSTRY Intergovernment alignment – a departments to ensure “filmALLIANCES best ways to help the industry in “whole of government approach” friendliness” and appropriate a transparent way. - allows the Joburg Film Office service delivery levels. This Development of Industry Alliances • Ensure Accountability and to work strategically with City includes creation of a Film JOC allows the Joburg Film Office to Responsiveness of JFO: craft Government stakeholders for to meet weekly. understand the needs of sector detailed Corporate Governance optimized and streamlined service stakeholders and build programmes regulations that allow for on- efficiencies. • Facilitating Joburg industry of support that have buy-in from, going monitoring of delivery. The film industry frequently engagement with Provincial and collaboration with, the industry. • Industry Collaborations: create demands inputs and support and National: providing a voice The film industry comprises of fast jointly-owned and -funded from a wide range of government for the City of Johannesburg moving and dynamic private sector projects in all areas of sector departments, including traffic, and the City’s film sector in businesses as well as a freelance development and training police, street cleaning, parks discussions and planning with crew base whose time is money. • Networking: support the and bathing. Development of national and provincial partners. Coordinated industry alliances aid development of stronger consistent service levels across the office to understand sector horizontal and vertical linkages key departments so that the film • Local Implementing Arm: needs more thoroughly, and amongst firms and crew in the industry has a central point of delivering on the film-specific to develop more targeted and sector, particularly connecting access is therefore vital. initiatives, projects and services effective programmes HDI crew to HoDs STRATEGIES offered by the city. STRATEGIES: • Information and Trend Sharing: • Policy & Implementation • Industry Advisory Board: enhance reporting to provide • Intergovernment Cooperation both public and private Alignment: working with City and Joint Funded Initiatives: to ensure that sector is fully stakeholders with relevant data – partnering with other participatory in advising the and material related to the government stakeholders Joburg Film Office on the very film sector on sector development and marketing where required.

5.A | Joburgfilmstrategy Creating a truly “film friendly” COMMUNICATIONS environment is imperative for the IMPLICATIONS long term success and sustainability of the film industry in Joburg. “Film Friendliness” involves taking proactive measures to ensure that film companies can work effectively in the city, and that filming is welcomed and encouraged by communities, businesses, government and other stakeholders. STRATEGIES: • One Stop Shop and Online Permitting Process: implement and oversee an online permit process that creates a one stop shop for industry to access City locations and services. • Citizens Film Awareness Campaigns: drive cooperation of affected communities through local marketing of film sector benefits • Business – Production discount programme: develop private “incentives” and other cost cutting initiatives that support and attract production. • Property Owners/JPC – limited / targeted locations access: work with key locations, private and public, to ensure availability to productions. • Tourism Packages for Production: develop discounts and incentives to support cost- control, and build programmes to expose tourism product through exposure on film. • Safety and Security of City and Sets: create Security Policies and protocols that link film shoots to security / Metro Policy support and communications plans that allow the city to promptly deal with security issues.

6. RODUCTION LMOACRAKTEIOTNINGPromoting locations – and facilitating INCENTIVES filming on them – is a central Production Incentives are tools used • City Marketing Support – grant responsibility of Film offices. Joburg by Film Offices globally to influence funding to assist films that shoot in has a glorious complexity of locations and reduce the costs of production the city to promote themselves to – from modern cityscapes to gritty on location, and thus make the audiences in the city. townships,from leafy suburbs, to destination more attractive to mines and industrial areas. The close customers. The Joburg Film Office will • Facilitate Production discounts – proximity of locations to the city centre supplement national incentives. work with support sectors such as make Joburg a prime competitor for • CoJ Cash Rebate (subject to Tourism to negotiate competitive filming-on-location work. discounts for the industry. approval) – a cash rebate based STRATEGIES on actual QSAPE spend in the City • Lobbying for competitive national of Johannesburg, subject to terms incentives – support national • Maintain a list of photographic and conditions. efforts to refine and improve references on website: ensure the DTI incentive programme to remain internationally competitive. 7.filmmakerscanquicklyand easily find reference images that inspire them to find out more about filming in Joburg • Support location marketing platforms – identify and evaluate a range of marketing options from trade magazines to membership organizations to promotional videos. • Attend Markets and Festivals - identify and evaluate participation in domestic and international film festivals and trade shows to ensure maximum exposure at efficient costs • Support Executive producers selling Joburg: Explore partnerships that promote Joburg’sfilm industry. (for example, prominent billboards of locations that have been the site of a well-known productions) • Reel Film Joburg – webisodes project: support development of web series in which “Joburg” is a key character. Partner with Joburg Tourism to identify whether tourism visits were inspired by the project.

AUDIENCE 9.TRAINING AND8.DEVELOPMENT DEVELOPMENTThe key to the success and film festivals and public Film industry participants are • Executive Producer Training: locations directories that allowsustainability of any film industry screenings, in particular those constrained from participating fully supports in the skills required local talent to be paired withrests on the connection films with which seek to unlock the potential in the industry due to low levels of to develop finance, produce, available production positions.audiences via a variety of platforms. of the black/African/HDI market. production and business skills. JFO market and exploit film and tv Enhance the growth of theseThe City of Johannesburg has several Skills Training support is focussed properties. directories through promotionalopportunities to assist filmmakers and • Reel Film Joburg – webisodes via three channels, namely Support efforts by the JFO.film festivals to reach Johannesburg project: support development for Industry Entrants (eg beginners), • Digitisation and Animation • Initiatives with MICT SETA/audiences – and in return to facilitate of web series in which “Joburg” Support for existing Industry Skills Development: Create SAQA / RPL: partner withJohannesburg residents to experience is a key character, which will be Participants including graduates private/public partnerships with agencies to expand offeringsfilms that reflect their own lives, streets of interest to Joburg residents. (eg professional development those interestedin growing delivered to local crew.and experiences. programmes) and Support for animation and digital media, • Industry Facilitated Training: • Film Tourism: partner with Business Skill development (eg. and foster the economic growth Encourage productionSTRATEGIES filmmakers and Joburg Tourism the management skills required to of this sector. companies to participate in film to build Film Tourism product succeed in the sector.) crew advancement efforts that• Support the Development of on relevant projects that may STRATEGIES • Internship Programme: create a focus on and include on-the-job a Screen Culture – identify, attract film tourists. Digitize • Screenwriting Festival and talent bank of sector employers training and mentorships. evaluate and implement those locations that have been who can provide internship and interventions that can contribute featured in film production on a Workshops: supports the apprenticeship opportunities for to a vibrant, year-round screen mobile application that can be development of a festival that individuals interested in pursuing culture in the city (eg. Festivals, used for tourism purposes develops local script skills and a film or other creative industry special screenings, publications, the business of scriptwriting, career, including skilled trades social media platforms.) • Facilitating Development and creates projects with and Restoration of Filming Joburg as key “character.” • Career Development and• Increase Access to Film for Locations – support industry Advancement: Create Careers Local Communities – support initiatives to support Advisory guidance for the communities negatively industry. Maintain efficient and impacted by filmmaking. accurate production, crew and

10.FILM HUB ANDCOMMISSIONINGEven with skills and talent, the through the Hub, the JFO offersindustry may remain closed to filmmakers a range of affordableaspiring participants due to lack low-cost tools, equipment,of access to vital “goods and education, resources, guidance.services” such as commissioning • Commissioning audio visualopportunities for new productions, from Hub participants:horizontal and vertical linkages leverage the buying powerto industry partners, suppliers and the growing audio visualor clients, access to production communication needs of the Cityand business skills, equipment, by commissioning Hub Participantsand decision-makers locally and to create business video productinternationally. using the Hubs tools.STRATEGIES • Maintain a user-friendly website• The Film Hub: a physical where individuals interested in the film industry can identify gateway to, and base for, the local partners and organizations training and developmental and discover career information activities of the JFO. It provides and opportunities on how to get a range of solutions for existing involved and aspiring film makers and film businesses.• SMME Incubation and Helpdesks: creating a nurturing environment to maintain the longevity of HDI participants in the film sector.• Free and Low Cost Tools, Education, Resources, guidance, opportunities, Business Links: