The South African Cultural Observatory An overview of the impact of the South African Cultural Observatory on the Arts & Culture Sector

Purpose of Presentation To present the impact that the South African Cultural Observatory (SACO) has had on the arts and culture sector.

Establishment of SACO In 2011, DAC began a process of repositioning the arts, culture and heritage sectors as core players in government’s programme of action for social cohesion, creation of sustainable jobs and ensuring social and economic development. This shift in direction led i.a. to the formulation of the Mzansi Golden Economy Strategy (MGE) which identified the arts, culture and heritage sector as the ‘new gold’. This process interacted with international trends to refining the collection and analysis of statistics on the cultural and creative economy.

What is SACO? The South African Cultural Observatory (SACO) is a national research arm of the Department of Arts & Culture (DAC), established in 2015, with the purpose of developing and supporting the collection and analysis of evidence, influencing policy, sharing insights and building intellectual capacity across the arts, culture and heritage sector. SACO does this by working across the breadth of the cultural domains, including the arts, heritage, tourism, museums, libraries and archives and creative industries. SACO is not a public entity or business enterprise as defined in the Public Finance Management Act – it is a DAC Project hosted by Nelson Mandela University as per the SLA signed on the 22nd September 2015. The project is in its third quarter of its third and final year and concludes within NMU on 31st March 2018.

Institutional Origins The SACO is headquartered in Nelson Mandela Bay – hosted by Nelson Mandela University on behalf of the Department of Arts and Culture, in Partnership with Rhodes University and the University of Fort Hare – but operates nationally analyzing the CCIs and ACH sectors.

Aims and Objectives of SACO PRIMARY OBJECTIVE “To advance applied research in the field of cultural and creative statistics and economic data, and information systems.” SECONDARY OBJECTIVES To support existing or developing information networks by enhancing collaborative research projects between multidisciplinary teams. To provide support to the sector by becoming a holistic repository, collector and developer of knowledge, information and evidence concerning the content, structure and dynamics of the sector with a view to contributing to employment and sustainable development.

Expected Outcomes of SACO To Champion Evidence: To be South Africa’s primary source of cultural economic statistics and key indicators to assess the value of the sector and track changes over time. To Influence Policy: To analyse trends to inform future policy and resource allocation decisions; and measure the performance of the sector to allow global comparability. To Share Insight: To provide accessible knowledge and information; play a catalytic role of new and innovative research projects, and to establish substantive research networks. To Build Capacity: Current and Future Social Capital.

How SACO is achieving these outcomes? The development of a Research Agenda for the Cultural and Creative Industries (CCI’s) of South Africa to focus research efforts and resources that would enhance the development of the CCI’s and advance policy imperatives of the South African Government and its stakeholders.

Research Agenda The Research Agenda aims to: Outline and define ACH and CCI research areas to guide research across the sectors/industries. Define individual research agenda items required to address the research requirements of the industry. Determine the alignment of proposed research agenda items with strategic and policy imperatives. Inspire and guide researchers to pursue important research that is relevant and meaningful to the sector. The Research Agenda will be updated again at the end of the fourth quarter (March 2018) to include any new inputs received through various engagements with the sector.

How SACO is achieving these outcomes? By awarding scholarships and bursaries: SACO is expected to award 12 bursaries over three years and to date, has awarded 14, with a final call for applications currently under way.

SACO Bursary Recipients The bursaries awarded through SACO act as catalyst to stimulate development of creative industry analysts, statisticians, economists and researchers. Successful Bursary applicants are spread over 7 Universities including: Tshwane University of Technology Rhodes University University of Pretoria University of Johannesburg Nelson Mandela University Cape Peninsula University of Technology University of Witwatersrand SACO Year 2 Scholarship Advert – Mail & Guardian Newspaper

SACO Bursary Recipients by Race and Gender Women are leading on scholarships SACO Scholarships are Building Capacity for Transformation

How SACO is achieving these outcomes? By developing a Framework for the Monitoring and Evaluation of Publically Funded Arts, Culture and Heritage. Evaluating the impact of funds allocated as per the Department of Arts and Culture’s Mzanzi Golden Economy Programme though a series of Monitoring and Evaluation Reports.

Monitoring and Evaluation (M & E) Framework A Framework for the Monitoring and Evaluation of Publically Funded Arts, Culture and Heritage (which demonstrates how the value of cultural festivals and events can be measured under 5 different themes) was developed and applied to the following DAC interventions: Royal Heritage Festival Vhembe South African Music Awards Indoni Festival NM Mabote Craft and Development Project Udumo Entertainers Youth Dance Event Macufe Festival Mahika Mahikeng Cape Town Carnival National Arts Festival 5 Themes Audience development and education Human capital and professional capacity building Inclusive economic growth Social cohesion and community development Reflective and engaged citizens By the end of year 3, SACO will deliver a comprehensive evaluation of the Mzansi Golden Economy Programme which will consider all the sub-categories of the funding, including: Festivals and Events; Provincial and National Flagships; Touring Ventures; Public Art and Miscellaneous, as well as make policy recommendations.

Key M & E Report Findings In the six live events tracked in 2016, MGE funding = R25,3m / total organiser spending. Total organiser spending at the six events was R129,3m. Combined economic impact on their host economies = R364,63m. The total number of attendees ranged from 3 500 (Mahika Mahikeng) to more than 25 000 (MACUFE). Excluding free events, the highest number of tickets sold was at the National Arts Festival (nearly 150 000), and the lowest was Indoni (815). Cultural events can play a role in providing opportunities for intercultural interaction and building social cohesion. There is a positive relationship between cultural participation and individual welfare in terms of overall quality of life, as well as thinking about the value of one’s cultural heritage. The six live events on which the Framework was tested were: The SA Music Awards, the National Arts Festival, the Indoni Youth Empowerment Festival, MACUFE, the Royal Heritage Festival, and Mahika Mahikeng.

How SACO is achieving these outcomes? Through a range of Cultural Diplomacy and International Engagement Activities including attending of international conferences and engagements with other international cultural observatories in Argentina, USA, Italy, Ireland, United Kingdom, France, China, Spain and Mozambique, SACO has established relationships internationally to encourage the sharing of information and best practice. Additional engagements have enabled SACO to establish a number of international research networks and partnerships and associated projects.

How SACO is achieving these outcomes? SACO delivers its’ own National Conference every year and the first and second conference attracted academics from countries including Zimbabwe, Botswana, USA, Zambia, Ukraine, Canada, France, Argentina, United Kingdom, Poland, Jamaica, Uganda, Cote d’Ivoire, and Kenya. (SACO expects an even larger international participation at the 2018 SACO National Conference on the 7th and 8th March 2018).

How SACO is achieving these outcomes? By engaging directly with the Arts, Culture and Heritage (ACH) sector, cultural and creative industry (CCI) practitioners and stakeholders; academics and researchers; interested parties from local, provincial and national government; arts managers, administrators, organisations, and fundraisers and funders; event and festival organisers and relevant stakeholders from civil society through a series of 18 National Domain Workshops and 8 Capacity Building Workshops. Workshops are held in every province and reach out to remote and previously disadvantaged areas by making use of multi-purpose arts centres in townships wherever possible. These workshops allow SACO to share research with the sector and most importantly, incorporate their priorities into the Research Agenda, obtain, record and report their feedback, hear their challenges and into the work undertaken by SACO. Winston Churchill Theatre, Pietermaritzburg (right) Mdanstane Arts Centre, East London (right)

How SACO is achieving these outcomes? By effectively disseminating information via: The SACO website, which has had over 105 000 page views since its’ establishment, over 76 000 of these are unique views and over 42 000 users have returned. Social Media: On Facebook, SACO reaches on average between 30 000 and 50 000 people on a monthly basis; of which there are an average of 10 000 engaged fans, i.e. people who actively view, share, comment, like or review our content by visiting the page. On twitter, SACO has an average reach / impressions of 7 000 people per month. Media and Public Relations Activity: In the first 2 quarters of year 3 (1 April 2017- 30 September 2017): A total AVE of over R7 million was generated, 167 media hits were attained and reach of over 37 million people having the potential to see SACO coverage through the media activities. SACO received print media received 28 units, broadcast media received 13 units and online media received 101 units. The thought leaderships generated were placed in class 1, tier 1 print media such as City Press and Business Day reaching a decision-making audience and influencing and reaching many people across sectors. SACO monthly newsletter: Distributed to the SACO database of over 10 000 people per month and available via the SACO website.

SACO is making news headlines… City Press (Second Edition), Business and Tenders, Sunday 3rd September 2017, Page 5 (Below) Daily Dispatch (First Edition), Wednesday 5th July 2017, Page 5 (Left) Business Day (Late Final), Life, Monday 5th June 2017, Page 5 (Right)

Business Day (Late Final), In-Depth, Tuesday 18th July 2017, Page 4 (Below) Sunday Independent (First Edition), Dispatches Sunday 16th July 2017, Page 19 (Above)

How SACO is achieving these outcomes? Delivering Research Reports (using mapping and statistical data) as well as Publication Reports (related to the Research Agenda).

SACO Research Outputs and Findings

Publication Reports SACO delivers a number of Publication Reports (related to items outlined on the research agenda. To date, SACO has delivered 8 Publication Reports, which once consulted with and approved by DAC, are made available via the SACO website The Satellite Position Paper The role of the CCI’s in Regenerating Urban and Rural Economies Economy of the Imagination Regional Cultural Policy with a Rural Focus South Africa: Culture and the National Interest – Discussion Document Cultural Seasons Framework Input Output Model for CCI Policy Mechanisms for Cultural Diplomacy SACO has also commissioned and will deliver the following reports by the end of the third year: Emerging Trends within the CCI Sector Rethinking Culture Intellectual Property (the report will include: Policy framework for protecting and expanding IP, the economic and social implications of local content and best practice for managing IP within the context of the development world.)

Research Reports SACO delivers a number of research reports (using mapping and statistical data) and to date, has delivered 13 Research Reports, which once consulted with and approved by DAC, are made available via the SACO website Measuring Cultural Employment in South Africa: A comparison between the UNESCO Guidelines and the South African Standard Occupational and Industrial Classification Code Transformation and job creation in the cultural and creative industries in South Africa Cultural Employment in SA using LFS Data Social Cohesion Statistical Framework Cultural and Creative Industry (CCI) Product Index Regional Development of the Cultural and Creative Industries in South Africa: A case study of the Sarah Baartman District Statistical Framework Forecasting Model Performance & Celebration Mapping Study Visual Arts & Crafts Mapping Study Design and Creative Services Mapping Study By the end of the third year (31 March 2018), SACO will deliver a Macro-Mapping Study, in a series of six research reports, of which two have already been completed, including: Cultural and Creative Industry Employment Report (using LSF data) International Trade & Cultural Goods Shifting Ownership and Transformation Provinces, location and clusters Macro-economic Report Summation Report

Key SACO Research Findings One of the most valuable recent pieces of research is the research report which looks at Employment in the Cultural and Creative Industries (CCI’s) in South Africa, which showcases the current status (as of 2015). 2015, cultural occupations made up 2.52% of all employment in SA (3rd largest source of employment) Including non-cultural “support” occupations, the CCIs employed 4.2% of all those who had a job in 2015. All together, the “Cultural Economy” accounts for an estimated 6.72% of all employment in South Africa. The Visual Arts and Crafts Domain (C) makes up 52% of CCI occupations in South Africa. The next largest Domains are Books, Information and Press and Design and Creative Services (19% of CCI employment each). Most cultural employment is found in Gauteng (31.5% of all cultural jobs); KwaZulu-Natal (15.5%) and the Western Cape (15.1%). Using Location Quotients, cultural clusters in the Visual Arts and Crafts Domain were identified in Limpopo, KwaZulu-Natal and the Eastern Cape.

Key SACO Research Findings Another valuable recent piece of research is the research report which looks at South Africa’s Trade in Cultural goods and Services with a Focus on Cultural Trade with BRICS Partners. The Visual Arts and Crafts domain is an important contributor to cultural goods export growth. There is a positive trade balance in the Cultural and Natural Heritage domain. South Africa has extremely high cultural goods trade imbalances with China and India (with imports much greater than exports). Visual Arts and Crafts, Books and Press, and Cultural and Natural Heritage are the most important export domains for cultural trade with Brazil. Cultural and Natural Heritage and Visual Arts and Crafts are the most important export domains for China. Visual Arts and Crafts, and Performance and Celebration are important export domains for India. South African exports in Audio-visual services have been growing since 2014. An important priority is the improvement of data collection for CCI trade in both goods and services.

South African Festivals Economic Impact Calculator (SAFEIC) The South African Festivals Economic Impact Calculator (SAFEIC) is a free online tool developed by SACO, specifically for cultural festival and event organisers so they can track the economic impact of their events. The SAFEIC is designed to be used to estimate the economic impact of a festival on a host economy. It has been carefully, and conservatively, designed so as to produce results that are as reliable and valid as possible for a wide range of events – provided the data that is inputted is as accurate as possible.

Socio-economic Assessment of the 2017 White Paper on Arts, Culture and Heritage SACO is currently conducting an independent Socioeconomic Assessment of the 2017 White Paper on Arts, Culture, and Heritage at the request of the Department of Arts & Culture

Challenges and the way forward… CHALLENGES EXPERIENCED Initial delays in contracting but project team & DAC addressed all backlogs within year 1. Establishment of research infrastructure created a lag which was addressed in year 1 of operations. Some existing datasets did not meet quality & research criteria requiring SACO to clean and develop new datasets. WAY FORWARD Complete Mapping Studies by March 2018 (Transformation, Macro-Economic & Provincial Perspective). Conclude all deliverables as per agreement with DAC. Host National Conference in March 2017. Complete Three-year review in March 2017.

T: +27 41 504 4930 E: info@southafricanculturalobservatory.co.za www.southafricanculturalobservatory.co.za @SACulturalObservatory https://www.linkedin.com/company-beta/10581051/ @SACulturalObs T: +27 41 504 4930 E: info@southafricanculturalobservatory.co.za 21-23 Donkin Street, Central, Port Elizabeth, 6000, Eastern Cape, South Africa