2013
THE FRENCH RIVIERA IMAGE AND AUDIOVISUAL INDUSTRIES
MOVING YOUR PROJECTS FORWARD
THE FRENCH RIVIERA IMAGE AND AUDIOVISUAL INDUSTRIES CONTEXT
Creative and Cultural Industries (CCIs), design, arts, advertising, images, architecture etc., represent 3.3% of EU-27’s GDP and a total of 3% of the total jobs in the European Union. Europe must continue to invest in these industries as they contribute significantly to economic growth, employment and innovation. The “creative Europe” program will reinforce the competiveness of the cultural and creation sectors.
The French Riviera has a wealth of creativity, and it hosts many world famous professional events, in particular in the image and audiovisual sector: MIP TV, MIP Com, the International Cannes Film Festival, Imagina to name but a few. And every year, thanks to the French Riviera Film Commission and the skills of local industries,
more than 300 film shoots take place in the Alpes Maritimes department, generating €30 million of direct economic benefit, not to mention the impact on tourism. Local public stakeholders also invest in structural projects to boost the audiovisual industry..
Within this context, the main challenge is to develop a clear and attractive image of the French Riviera, and to enhance its attractiveness by setting up a local ecosystem. To help meet this challenge, the French Riviera Chamber of Commerce and Industry has decided to join the Creative Companies in Alpine Space European program – CCAlps. The program aims to create a transnational network of creative companies and SMEs focused on the image and audiovisual industries.
STAKEHOLDERS AND KEY FIGURES OF THIS INDUSTRY
Communication agencies
Education & research
1 400 jobs*
> Technical professionals & manufacturers IT companies
419 companies
Tourism, corporate events
> Contents providers
> Broadcasters & distributors
Key figures
231 M€ Turnover Photographers
exc. VAT.
2012 data
* salaried and non salaried permanent jobs exc. interim & intermittent employment
Support, animation & territory promotion, infrastructure projects The audiovisual and image companies operate in an economic ecosystem that focuses on the heart of the hub (in blue on the diagram above) which are:
• Contents providers, companies that develop and produce video or audio contents for multi-media or channels (movie production, sound recording, music edition, video games and so on). Including:
- France 3 Côte d’Azur, Antibes, co-production. - Machina Films, Nice, post-production, 3D special effects and 3D animation - Ad Astra Films, Cannes, production. - VSP production and DK Motion, Sophia-Antipolis, production and communication.
• Technical professionals and manufacturers that work either in equipment rental/services or in manufacturing and development of media platforms, such as: - Doremi Labs, Sophia-Antipolis, equipment manufacturer, leader of digital audiovisual devices. - Dushow, Saint Jeannet, stage structures, equipment rental. - Groupe TSF, Valbonne, film equipment rental.
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• Broadcasters and distributors who provide a link between the products and the final consumer. For example:
- Cinémas : Pathé Nice, Rosière cinemas in Mouans-Sartoux,… - Dailymotion, Sophia-Antipolis, video streaming and R&D.
Companies with complementary activities (in red on the diagram above), such as:
• Communication agencies, • IT companies and video game companies • Photographers.
This ecosystem also integrates stakeholders in the field of (in beige on the diagram above):
• education and research, • tourism and corporate events, • events organizations and structural equipment (see page 5).
Survey conducted by Sirius - French Riviera Chamber of Commerce & Industry – June 2013
projects
and
THE FRENCH RIVIERA IMAGE AND AUDIOVISUAL INDUSTRIES ACTIVITIES AND SKILLS OF THE COMPANIES IN THIS SECTOR
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66 % of the companies and 76 % of the jobs found in the heart of the industry
Distribution of the companies and SMEs by main activity
Companies
The activity of two thirds of the companies is related to the heart of the industry (in blue on the graph), i.e. the creation of content or supply of technical services and manufacture of equipment or broadcast/distribution of content.
Jobs
184
433
Contents providers
50
Technical professionals and manufacturers
44
Broadcasters & distributors
341
Communication agencies
78
219
IT companies
31 32
Moreover, nearly two thirds of the SMEs report having two activities and more. For example, there is a cross over between the creation of content and technical services or communication.
291
Out of the 1,400 employees working in the hub, 76% work in the heart of the sector. Content creators represent 31% of the jobs for 44% of the SMEs.
64 51
Photographers
>
84%
84% of the total turnover is made by companies from the heart of the industry Distribution of the turnover by main activity (€ million)
of the total turnover is made by companies from the heart of the industry, representing €194 million out of the €231 million generated by the sector.
Technical professionals and equipment manufacturers, thanks to cutting edge technology companies with international recognition, generate more than €100 million turnover (45% of the total amount) despite only representing 12% of the industry’s companies.
39
Technical professionals & manufacturers
104
Broadcasters & distributors
50
Communication agencies
29
In contrast, the content providers, made up of many small structures, generate €39 million with 184 companies and 433 employees.
5
IT companies
3
Photographers
2D image processing: a skill possessed by 22% of the companies
22%
Fields of skills of the companies
15%
14%
13%
Among the skills of the industry’s companies, 2D image processing is the most frequent, followed by advertisement, sound, television, web and film making.
4%
Others
1% Video games
3%
Corporate event
Radio
Film making
Web
TV
Sound
4%
Advertisement
2D image
5%
100
3D image processing is a very specific expertise on the French Riviera because of the presence of Sophia Antipolis.
13% 10%
3D image
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Contents providers
By number of responses, multiple choice questions
companies have trans-media or cross-media skills, in other words, having multiple fields of skills.
Thanks to digital innovation, they develop a number of products on different media platforms. With some ten different skills listed by the companies, the entire chain of the sector is represented and reflected.
Survey conducted by Sirius - French Riviera Chamber of Commerce & Industry – June 2013
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THE LOCAL ECOSYSTEM DISTRIBUTION OF THE COMPANIES BY ECONOMIC AREA The majority of the companies of the hub are located in Nice and Sophia Antipolis
the offers area Nice majority of enterprises and employment. The companies located around Sophia Antipolis, on the other hand, generate important most the turnover because of their technology-based activity.
Carros area
43 269 46 M€
companies employees turnover
Menton area
15 26 3,5 M€
Grasse area
44 89 13 M€
companies employees turnover
Nice area
169 468 62 M€
Cannes area
63 288 74 M€
companies employees turnover
SIZE AND SCOPE OF THE COMPANIES
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63% of the turnover is generated by companies with 10 or more employees
Distribution by number of jobs Companies 1 employee
22%
Activity of the companies by zones
10%
Europe 5%
2 to 4 10% employees 5 to 9
10% employees
2/3
13% of the company activities are international
Turnover
63%
10
5% employees & more
World-wide 8%
France 31 %
17% 63%
of the companies, which generate 10% of the turnover of the sector, are small structures employing just one person. On the other hand, the 5% of companies with more than 10 employees represent 63% of the turnover thanks to driver companies, for example manufacturers and broadcasters, such as cinemas.
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companies employees turnover
Antibes Sophia-Antipolis area
82 companies 255 employees 33 M€ turnover
>
companies employees turnover
more than
50%
Local region 56 %
Number of companies
of the companies do their business in the local region, but 5% do business in Europe and 8% world-wide. For companies whose main activity is content creation, the international scope is greater: 18% against 13% on average.
Survey conducted by Sirius - French Riviera Chamber of Commerce & Industry – June 2013
THE LOCAL ECOSYSTEM LOCAL ACTORS INVOLVED IN THE HUB The image and audiovisual companies are growing within an economic ecosystem with multiple links between local partners, including education and research sectors ; the tourist industry, that benefits from the promotion of the destination provided by audiovisual products and from the economic impact of film shoots; associations; professional unions; and the cities and local authorities that support and work with the companies. FILM COMMISSION: members of the French Riviera Film Commission (refer to box).
EDUCATION/RESEARCH: schools, universities and research centers; for example: ESRA, which offers training for careers in the audiovisual and film industry; INRIA, where a research team is working on 3D geometric modelling ; Nice Sophia Antipolis University with its Video Game Master’s degree.
The local ecosystem
Communes de Cians-Var
Saint-Martin-Vésubie
FILM AND RECORDING STUDIOS: including the mythical studios» recently «Victorine renamed «Les Studios Riviera». EVENTS AND PROFESSIONAL TRADE SHOWS: Cannes International Film Festival, Explorimage in Nice, Méditerranea in Antibes and so on, ... EQUIPMENT PROJECTS: Bastide Rouge and the “Movie City” in Cannes. BROADCASTERS are mainly cinemas but also radio stations, TV channels and web TV. CREATIVE VALLEY, in partnership with Méditerrannée Technologies, brings together the digital expertise of Sophia Antipolis, the industrial know-how of Grasse and the event creativity of Cannes (refer to box) around the topic of the creative economy.
Menton
Nice
Grasse
Cannes
Antibes
FOCUS
The French Riviera Film Commission was created thirteen years ago at the initiative of the French Riviera Chamber of Commerce and Industry. Its goals are to promote the French Riviera and to welcome and provide help for film shoots in partnership with its 16 members (refer to the map). In 2012, 305 projects were completed on the French Riviera , representing 1,621 days of filming, including 12 feature films such as Möbius (Eric Rochand), Grace of Monaco (Olivier Dahan) and L’épreuve d’une vie (Niels Tavernier) generating an injection of almost €30 million for the Alpes Maritimes.
The Creative valley project aims to foster a spirit of innovation through creativity and use by adopting digital technology projects and involving arts and culture in the innovation process. It hopes to boost existing creative activities and to develop them with the help of a unifying and collaborative project. The main challenges are to enhance the visibility and attractiveness of the French Riviera and to stimulate the development of new markets in the field of use and digital technologies. The “Pôle Azur Provence” organizations located in Sophia Antipolis and Cannes benefit from a very strong identity and have an industrial and research force. This strength impacts many sectors and hubs and offer multiple inter-hub projects that will create jobs for tomorrow, particularly through its ‘uses’ approach.
CRT Côte d’Azur is the organism in charge of the promotion of tourism in the French Riviera. It works closely with all tourist industry players in the context of a territorial marketing approach designed to benefit the whole of the French Riviera. The importance of tourism on the French Riviera: €5 billion, 75, 000 jobs and more than 11 billion tourists per year. As part of its strategy, communication and promotional campaigns aimed at foreign tourism providers on the theme of “film tourism” are planned in 2013 and 2014 in partnership with the French Riviera Film Commission and the French Riviera Chamber of Commerce and Industry .
3D Consumer
The 3D Consumer association was created in Sophia Antipolis in February 2012. It brings together a consortium of companies representing the French excellence in 3D imagery (stereoscopy) and 3D sound. The aim is to create a French 3D stereoscopic technology sector focusing on development with a world-wide scope.
Survey conducted by Sirius - French Riviera Chamber of Commerce & Industry – June 2013
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COMPANIES’ NEEDS AND EXPECTATIONS
COMPANIES’ NEEDS
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An easier access to the markets
The needs of the companies
74% Acces to the markets
73% Fundings
Nearly three quarters of the companies surveyed expressed a need for an easier access to the markets: the main problem for more than half of the companies is business development, while for a small minority the difficulty is international development. Around three quarters of the companies also claim that they are facing financial difficulties: both in terms of funding projects and productions, as well as funding the company itself.
18% Jobs
By number of jobs, multiple choice question
> Among the 30% of companies that expressed a need for premises, just under half were looking primarily for shared space, such as business incubators, or coworking spaces, followed by office space and warehouses for their equipment. Most of these companies are content providers and technical providers looking for working premises in general and shared space in particular.
A quarter of the companies would like to have local financial services adapted to the functioning of the companies of the hub. Employment needs seem to be less of a priority.
Need for working premises Working premises researched
41%
Offices
26%
Warehouses
17%
Shooting studios
16%
Recording studios
3% 43%
Others Co-working spaces
By number of responses, multiple choice question
>
High networking expectations Expectations of the companies
66%
Business relationships development
Collaborative expectations
40%
Take part in tradeshows/ promotional campaigns
32%
Workshops/conferences 16%
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By number of responses, multiple choice question
More events and services Companies’ main expectations are the development of business relationships and opportunities to work together. One third of the companies expressed a wish to take part in trade shows / promotional campaigns. Finally, 16% of the companies expect the sector to offer workshops and conferences.
51% of the companies would like to create links with public bodies or cities, mainly to get access to public funding. For 37% of these companies, the links to favor are with tourism and accommodation, in order to facilitate film shoots and the promotion of the destination. More than a third of the companies also wished to create links with schools, universities and research centers to find the right skills and to be as near as possible to technological advances. 35% of the companies would like to create a link with communication and marketing agencies in particular to ensure their promotion. Generally isolated, the companies want to be part of a network 71% of the companies claim they are not part of a network and 73% would like to integrate a network dedicated to the image and audiovisual industry. Those encouraging results show clearly the need to organize the image and audiovisual industry on the French Riviera. In addition, 85% of the companies are in favor of the creation of a website promoting the sector; this site is now on line: www.filmcotedazur.com.
Survey conducted by Sirius - French Riviera Chamber of Commerce & Industry – June 2013
COMPANIES’ NEEDS AND EXPECTATIONS
SUGGESTIONS FOR ACTION With regard to the needs and expectations expressed by the companies surveyed, the French Riviera Chamber of Commerce and Industry and its partners are offering a specific programme of support with actions, creation and reactivity: créa©tion.
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> > > > >
International scope and access to the markets
Thus, an exchange programme with companies from other CCALPS project European territories will enable them to develop their international and European influence and participate in a network of creative businesses conducive to their development. A meeting between the French Riviera, Italian and Swiss producers to develop international co-productions is already scheduled for 11 October, 2013, under the leadership of the South branch of the MEDIA programme in order to promote European co-productions. The website www.filmcotedazur.com meanwhile promotes the French Riviera and companies in the sector to international decision makers in relay with the promotional programme of the French Riviera Film Commission, present at the Cannes Film Festival, the Festival of La Rochelle, the " Location Ile de France " MIP TV and so on. The promotion on markets and trade fairs of the companies and the expertise present on the French Riviera is being studied. Networking, and collaboration between companies
A dedicated collaborative platform: www.cinebiz.fr and a schedule of meetings facilitate networking and collaboration between companies. Funding
Identified as one of the main expectations of the companies, the topic of the funding of creative projects will be raised in several workshops. These workshops will also discuss public funding and new forms of funding (crowd funding, business angels etc). Career support and transmedia
The French Riviera Chamber of Commerce and Industry is already in partnership with PRIMI Cluster: this collaboration will allow companies to have access to local support and to vocational training. Work premises needs
All the needs expressed by the companies will be transmitted to the partners of the French Riviera Chamber of Commerce and Industry, in particular within the framework of OZEA - the observatory of activity zones and spaces. Cross fertilization with the tourist industry
The development of specific action plans to develop the links between tourism and the image and audiovisual industry is made using an approach called “cine friendly destination”. This approach aims to highlight the French Riviera destination through audiovisual products and “film” themes, as well as to attract film shoots by increasing the awareness of tourist industry professionals to the specific needs of film crew. The collaboration between the French Riviera Chamber of Commerce and Industry and the CRT Côte d’Azur has already enabled the promotion of the destination via www.filmtravellercotedazur.com.
METHODOLOGY The aim of the survey, begun in November 2012, was to establish the key-figures of the sector and the expectations and needs of its companies. The first step was to identify the sector’s companies working in the Alpes-Maritimes (with the exception of Monaco) using French activity sector codes.
A list of some 1000 companies was filtered to retain only companies of the sector. The activities of communication agencies, IT companies as well as the photographers were scrutinized carefully to determine their inclusion in the list. The survey was carried out between December 2012 and February 2013. Two hundred responses, relating to 2012 data, were returned. A focus group with professionals representing the varied aspects of the hub provided additional qualitative results.
Survey conducted by Sirius - French Riviera Chamber of Commerce & Industry – June 2013
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A publication of the French Riviera Chamber of Commerce and Industry
Economic Observatory Sirius-CCI Jean-François MICHEL Email : jean-françois.michel@cote-azur.cci.fr Tél. : 04 93 13 75 35 Communication Department Audrey SCOFFIE Email : audrey.scoffie@cote-azur.cci.fr Tél. : 04 93 13 74 08
20, boulevard carabacel-CS 11259 06005 Nice Cedex 1 T. 0 800 422 222 (free call from a land line) F. 04 93 13 73 23
The economic activity
of the French Riviera on video!
www.cote-azur.cci.fr/economie06 www.filmcotedazur.com www.cinebiz.fr