Measuring the impact of the COVID-19 Crisis on the Cultural and Creative Industries in South Africa
One year on
This report presents the results of a follow-up survey and key stakeholder interviews one year on from the first study. In addition to asking about short-term survival strategies, CCI freelancers and firm owners were also asked about their longer-term p
In all countries, the cultural and creative industries (CCIs) have been negatively affected by the COVID-19 pandemic. Using results from and online survey (326 responses), key stakeholder interviews, and macroeconomic modelling, this report investigates the medium-term impact of the lockdown on South Africa’s CCIs. The survey included responses from freelancers (49%), employers (51%), formal (64%) and informal (36%) businesses.
Only 19% of respondents said they could continue with 60% or more of their normal business activities in 2020, which improved to 36% in 2021. While business continuity improved for all domains (defined using the UNESCO Framework, 2009), recovery was slower for domains with high levels of informality, freelancers, and those who operated in a mostly face-to-face mode. As found in the 2020 study, the most vulnerable domains were Performance and Celebration, Audio-Visual and Interactive Media, and Visual
Arts and Crafts. Technical and support workers were one of the most negatively impacted.
Key stakeholders noted that impacts were more severe for emerging (early-career) creatives who do not yet have a track-record, strong industry networks, or an established following. Sectors relying on tourism, such as crafts and commercial museums, were also very negatively affected. A much greater proportion of respondents to the 2021 survey (64%) than the 2020 survey (35%) reported moving their business activities online. However, key stakeholders commented that few had managed to monetise online content very effectively, and that online demand was constrained by poorer households not having access to data and devices needed to access content. Still, 66% of respondents said they would continue to develop their online activities when the pandemic had passed.
Other common adaptation strategies included using the time to upskill (47%) and working from home (44%). More than a third of respondents had to rely on using up their reserves or savings (37%) or on support from family and friends (33%). Strategies used by employers included ending short-term employment contracts (39%), closing their
offices (41%) and cancelling contracts with suppliers (47%).
45% of respondents had applied for public funds, and 15% had applied for private sector support. Of those who applied for public funding 37% reported being successful, with a further 25% awaiting the outcome at the time of the survey. Knowledge about government support was lower for early-career creatives and those operating informally.
A third of respondents expected their turnover to have recovered by the end of 2021 or sooner at the time of the survey (June 2021). By December 2022, 74% expected their turnover to have recovered to pre-COVID levels.
Macroeconomic modelling estimated that the CCI’s direct contribution to South African gross domestic product (GDP) fell from R84.3 billion in 2019, to R42.2 billion in 2020 i.e., a drop of 50%. While there has been some slow recovery in 2021, which is expected to continue, the contribution of the CCIs to South Africa’s GDP in 2021 is forecast to be R46.9 billion – still 44% less than in 2019.