LEVERAGING ON ENTERTAIMENT TO PROJECT AFRICA’S IMAGE: THE CASE OF FILM Theme: Smart Investments > Good Returns >

KENYA FILM COMMISSION Theme: Smart Investments > Good Returns > WHO ARE WE AND WHAT IS OUR OBJECTIVE? “KFC is a state corporation whose overriding objective is to enhance economic and social well-being of Kenya and its people through building of a self- sustaining and vibrant local film industry in Kenya.”

A BILLBOARD IN AN AFRICAN AIRPORT Theme: Smart Investments > Good Returns > HOLLYWOOD HAS MADE BILLIONS OUT OF AFRICA’S WILDLIFE!!! Big ? What has Africa made out of it?

WHY FILMS Theme: Smart Investments > Good Returns > Why Invest in Films an award-winning filmmaker -James Jaeger in his article “ A Radical, Up-side View ” “ A movie is the best investment one can make for the up-side potential vs. the risk. They're better than real estate, blue chip stocks, gold, silver, precious stones, income-producing rental properties, treasuries, international currencies... better than anything, with the possible exception of investing in your own education and spiritual enlightenment.

1.POVERTY 2.UNEMPLOYMENT 3.ETC Investing in film industry will generate millions of dollars and create millions of jobs…and change these images that in many cases result from realities in Africa. IMAGES OF AFRICA Theme: Smart Investments > Good Returns >

Global Trends in Film Earnings Films generate income from several revenue streams including public exhibition in theatres, home video, television broadcast rights and merchandising.theatreshome videotelevisionbroadcastmerchandising Theatrical box office earnings are the primary metric for trade publications in assessing the success of a film, mostly due to the availability of the data compared to sales figures for home video and broadcast rights.box office FILM EARNINGS Theme: Smart Investments > Good Returns >

Global Trends in Film Earnings Worldwide gross Year 1 Avatar $2,782,275, Avatar 2 Titanic $2,185,372, Titanic 3 Marvel's The Avengers $1,457,760, Marvel's The Avengers 4 Harry Potter & Deathly Hallows-2 $1,328,111, Harry Potter & Deathly Hallows-2 5 Transformers: Dark of the Moon $1,123,746, Transformers: Dark of the Moon FILM EARNINGS Theme: Smart Investments > Good Returns >

Global Trends in Film Earnings 6The Lord of the Rings: The Return of the King $1,119,929, The Lord of the Rings: The Return of the King 7 Pirates of the Caribbean: Dead Man's Chest $1,066,179, Pirates of the Caribbean: Dead Man's Chest 8 Toy Story 3 $1,063,171, Toy Story 3 9 Pirates of the Caribbean: On Stranger Tides $1,043,871, Pirates of the Caribbean: On Stranger Tides 10 Star Wars Episode I: The Phantom Menace $1,027,044,671999Star Wars Episode I: The Phantom Menace FILM EARNINGS Theme: Smart Investments > Good Returns >

Top 5 High Budget Films 1.Pirates of Caribbean USD 300 million 2.Tangled (Disney)USD 260 million 3.Spider Man 3USD 258 million 4.Harry PorterUSD 250 million 5.AvatarUSD 237 million PRODUCTION BUDGETS FOR FILMS Theme: Smart Investments > Good Returns >

Return on Investment Performance on a Few selected films in the recent years Feature FilmInvestment Returns on Investment % of returns on Investment HALLOWEEN$320,000$75,000, RETURN OF THE SECACUS 7 $60,000$2,500, BENJI$550,000$45,000, NIGHT OF THE LIVING DEAD $114,000$40,000, GRIZZLY$700,000$31,000, DAWN OF THE DEAD$700,000$55,000, BLAIR WITCH PROJECT$5,000$150,000,0003,000,000 MY BIG FAT GREEK WEDDING $1,500,000$200,000,

Where are we in Africa? Nigeria 2010/2011 Annual revenue for Nollywood is estimated to be around $590m. (Kshs 47.2 billion) On average, nearly 600 films are produced annually, each selling nearly 50,000 copies. In 2011, around 2000 movies were produced in Nigeria, averaging roughly 40 Films a week. Average shooting time is10 days and costing between $10,000 and $15,000. The film sector in Nigeria is the country’s second-largest employer after agriculture, providing jobs for nearly 1million Nigerians. FILM IN NEGERIA Theme: Smart Investments > Good Returns >

Where are we in Africa? South Africa According to the 2009 economic impact assessment study commissioned by the Cape Film Commission The South African film industry had a direct annual turnover of more than R2.65-billion The industry contributed an indirect annual turnover of more thanR3.5-billion to the country's gross domestic product (GDP). FILM IN SOUTH AFRICA Theme: Smart Investments > Good Returns >

The total value- added (GDP at basic prices) of the film industry in 2009/2010 amounted to Kshs.71,806.3million, equivalent to 3.6% of the total GDP of Kshs.2,080,003 million. Among the film industry, the direct contribution to the Kenyan economy amounted to Kshs.1,925.3million (0.093%), while the indirect contribution was Kshs.53,143.6 million (2.56%). “Economic contribution of film and motion picture industry in Kenya, KFC, 2011” KENYA

KENYA The industry also employed 4,103 people on permanent basis in The total wage earnings in the industry was 2,955.6 million in 2009/2010. The total number of establishments in the industry were 411 in The international impact of the industry in Western countries especially, can be assessed by the increase in the issuance of special permits for film and documentary producers, which was 3180 in 2011.

INVESTMENT OPPORTUNITIES. Film Production ranging from.... Full length feature films Short feature films Animated films and television drama Documentary films TV drama Reality shows FILM GENRES Theme: Smart Investments > Good Returns >

Film and Country Branding Films convert audiences into brand ambassadors/tourists Destination images greatly influence perceptions & choices Films provide knowledge of key aspects of country Country promotion is very well done through film – the case of US. Films play a key role in promoting investment.

Film and Country Branding The following films have presented huge exposure for Kenya Out of Africa First Grader Nairobi Half life (recently screened in 48 theatres across the US) …And many others

Film and Country Branding: Selected cases The New Zealand tourism board looked at the lords of the rings film in terms of promotional price and worked out what the exposure would have cost in commercial equivalent. Estimated the exposure at US$ 41Million

Film and Country Branding: Selected cases Film Location Impact Brave heart Wallace, Scotland 300% Increase visitors after release Dances with Wolves Kansas 25% increase compared 7% previous year The Lord of the rings New Zealand 10% increase per year Mission Impossible 2 Sydney 200% increase in 2000 Little Woman Orchard 65% increase after release Saving private Ryan France 40% increase in American tourists Pride and Prejudice Cheshire, UK 150% increase in visitors Miami Vice Miami 150% increase in German tourists Captain Corelli's Greece 50% increase over 3 years Troy Turkey 73% increase in tourism

Film images last long in people’s mind. Film characters become “real” to viewers. Images in films are powerful (people shed tears) Films also pick real images (Hollywood signage) AFRICA can tell her story through FILM. PASSING MESSAGES THROUGH FILM Theme: Smart Investments > Good Returns >