data appendix - back to the future: why cinema in africa will live or die in movie theaters
DESCRIPTION
Data Appendix to Presentation on cinemas, theatrical distribution and the economics of film in Africa. Summary: Cinemas are a critical element in the emergence of a successful and commercially viable film industry in Africa. Delivered at the 66th Cannes Film Festival, 2013TRANSCRIPT
Dayo Ogunyemi!
Back to the Future:!Why Cinema in Africa Will Live or Die in Movie
Theaters!Data Appendix
May 19th, 2013!66th Cannes Film Festival!
Cannes, France!
WHY CINEMAS?
We believe movie theaters are the most effective, piracy resistant channel for getting filmmakers paid to make films
At this stage of Africa’s development, it’s right because: Economics – returns to filmmakers, marketing budgets, returns to investors
Online platforms will have huge impact – but for mass market/wananchi, think of the cost of and access to three things - bandwidth, access devices (tablets, smartphones) and electricity
Community based
Necessary for the evolution of industry – you need some marketing heft which is equivalent to release on 40 or more screens to make a film commercially successful. The South African experience proves this.
Challenges – raising capital, obtaining land
Opportunities – using cinemas for ancillary purposes raising social awareness, civic engagement, teaching, community-building. Delivering social and commercial services – basic health, pharmacies, financial inclusion through retail associated with the real estate platform.
1 CINEMART: THE PIER PLATFORM
APPENDIX - INCOME DISTRIBUTION IN KENYA
Kenya’s base of the pyramid (BOP) consumer demographics constitute 75% of the population, including lower middle- to working class people living in urban, peri-urban and rural areas, and covering Socio-Economic Classifications (SEC) C2 to E, with annual household incomes under $10,000.
2 CINEMART: THE PIER PLATFORM
SEC CLASS - D
SEC CLASS - E
A&B
SEC CLASS – C-2
SEC CLASS – C-1
SEC CLASSES – A & B
% of Population
5%
9%
19%
32%
35%
Source: Synovate/KARF Data
CINEMART: THE PIER PLATFORM
SEC CLASS - D
SEC CLASS - E
C2
C1
A&B
SEC CLASS – C-2
SEC CLASS – C-1
SEC CLASSES – A & B
Annual Income
>N5m ($33,000)
N2m-N5m ($13-33k)
N600k-N2m ($4-13k)
Steady Income <600k ($4k)
Irregular Income
% of Population
1%
4%
9%
60%
25%
APPENDIX - INCOME DISTRIBUTION IN NIGERIA
3
APPENDIX - INCOME DISTRIBUTION IN SA
4 CINEMART: THE PIER PLATFORM
KENYA vs NICE - POPULATION
Source: McKinsey Global Institute
KENYA vs NICE - GDP
Source: McKinsey Global Institute
KENYA vs NICE – HOUSEHOLDS OVER $70k
Source: McKinsey Global Institute
KENYA vs NICE – HOUSEHOLDS BTW $7.5k & $20k
Source: McKinsey Global Institute
SOUTH AFRICA vs PARIS - POPULATION
Source: McKinsey Global Institute
SOUTH AFRICA vs PARIS - GDP
Source: McKinsey Global Institute
NIGERIA vs LILLE - POPULATION
Source: McKinsey Global Institute
NIGERIA vs LILLE - GDP
Source: McKinsey Global Institute
