Analysis of the creative industry:

Brisbane case history

Di Roncalli Elisabetta

The Brisbane’s creative industries 2003 report

1. Defining the CI

2. Describing the CI:

Industry dimension

3. Measuring the CI Social- economic impacts

1. Defining the Creative Industry

“…those industries which have their origin in individual

creativity, skill and talent (1) and which have a potential for

wealth and job creation through the generation and exploitation

of intellectual property (2)”

The Department for Culture, Media & Sport- UK

Australian classification of CIs

Divisions Sub-sectors ClassesHeritage Museums, Library,

Environmental HeritageArt Museums, Nature

Parks, Libraries

Arts Literature and Print Media, Music

Composition, Design

Book Publishing, Literature Retailing,

Drama, Record companies

Sport and Physical Recreation

--- ----

Other Culture and Leisure

--- Booking Agencies, Event Management

Source: Australian Bureau of Statistics (ABS) applied in BRISBANE’S CREATIVE INDUSTRIES 2003 �report

European classification of CIs

Divisions Sectors Sub-sectors

Cultural sector

Visual arts, performing arts, heritage, Video Games

Sculpture, theatre, Museums, Magazine and

Press

Creative sector Design, Architecture, Advertising

Graphic design, Copywriting

Source: KEA report

Cultural or/end creative industry?

The creative sector is more market driven and able to creare higher economic value than the cultural one, but most of it is due to the multiplier effect of the cultural sector on the creative one.

There are not profitable sectors and not -profitable ones: both are part of the same creative ecosystem (Howkins, 2010).

Cultural sectorCreative sector

Source: Le industrie culturali e creative e l’Italia, Pier Luigi Sacco, il Sole 24 ore

Observations

Statistical categorisations are often too broad;

A considerable amount of cultural activity takes place in establishments whose primary classification is not cultural and therefore not recorded within existing classifications.

It is difficult to make comparisons among countries.

Depending on the classification, there will be a different impact of CI on the GDP different evaluation for investments

Example

In 2011, according to a research run by UnionCamere e Fondazione Symbola:

- If CI is made of traditional sectors the contribution of CI to the PIL is 5,4%

- If CI is made of traditional sectors + new sectors (such as research in social science field or cultural tourism) the weight rises to 15%.

Source: Le industrie culturali e creative e l’Italia, Pier Luigi Sacco, il Sole 24 ore

2. Describing CIs in Brisbane: the framework

Specialization

Links Infrastructure

Factor inputs

Markets

Book Publishing

Software services

Libraries Creative writing

International markets

e.g. Literature and Print Media (Sub-sector)

e.g. Performing Arts

Specialization

Links Infrastructure

Factor inputs

Markets

Drama Hotels and Restaurant

s

Theatre Choreography, costume

design

Local

Source: Creative Industries Research & Applications Centre

… so what?

Creative industries within Brisbane:

Are multifaceted;

Have a complex set of links;

Are primarily local and national driven, with international markets limited to only Music Composition and Publishing, Broadcasting, Electronic Media and Film, and some Literature and Print Media.

Source: BRISBANE’S CREATIVE INDUSTRIES 2003 report�

3. Measuring the CI Quantifiable socio-economic impact of CI

Method: cross-sectional study, across time (5 years) and space (7 cities)

Government Funding for

CI

Employment Value added to GDP

Source of Income

N° of people employed in the CI

- absolute value in each sector and in each city;

- % of people employed in the CI (over the total employment) in each city;

- absolute value in Brisbane in 1996 and in 2001

- % of growth from 1996 to 2001 of employed in each capital

Income

- Median individual weekly income in each city in 1996 and in 2001

3.1. Employment

Source: Australian Bureau of Statistics (ABS) applied in BRISBANE’S CREATIVE INDUSTRIES 2003 �report

Sub-sector Total Income

($m)

Total Expenses

($m)

EBITDA EBIT Value added

Performing Arts

--- --- --- --- ---

Comments: which are the most strategic sectors?

Value added to GDP for each sub-sector in Australia

3.2. Value added to GDP

Source: Australian Bureau of Statistics (ABS) applied in BRISBANE’S CREATIVE INDUSTRIES 2003 �report

Amount of funding of each sector by each level of government

Comments: Are sub-sectors able to attract funds? Which one has the priority? Why? How are funds distributed across sub-sectors?

3.3. Government funding of CI

Print Media

Performing Arts

Visual Arts

TOTAL

Total State --- --- --- ---

Commonwealth

--- --- --- ---

Local --- --- --- ---

Source: BRISBANE’S CREATIVE INDUSTRIES 2003 report�

Source of I Period 1 Period 2 Δ%

Rental of DVD’s

-- -- + %

Sale of DVD’s -- -- - %

Sources of I for Australian film and video distribution

Comments:- Why did they change over the period? Are reasons

endogenous or esogenous? - Are there new opportunity of income?

3.3. Source of Income

Source: Australian Bureau of Statistics (ABS) applied in BRISBANE’S CREATIVE INDUSTRIES 2003 �report

Industry overview

Strenghts

- Highly talented individuals;

- High levels of innovation;

- Strong government support for the sector;

- Competitive prices for creative output;

- Cultural values of diversity and enthusiasm.

Weaknesses

- Small demand in the local market;

- Lack of critical mass;

- Weaknesses in some skills (such as script-writing, business and marketing);

- Lack of an entrepreneurial culture;

- Failure to network and collaborate;

- Remoteness from major markets;

- Limited access to capital.

Source: BRISBANE’S CREATIVE INDUSTRIES 2003 report�