1. Strategic Plan for the Promotion of Professional Services Exports in Barbados – Production Services for the Entertainment Industry Sunil Sinha Technical Director Emerging Market Economics December 2006

2. Overview Market can be divided into:  Film Production: Worldwide expenditure grew by 30% from 2001 to 2005, hitting US$7.3 billion  Music: Global market worth nearly US$103 billion, physical recordings largest segment at US$31.4 billion  Events Staging: Live music performances part of music figure, worth US$14.4 billion

3. Market Sectors Film Production  Covers filming and production and post- production; latter includes adding animation, computer graphics and special effects Music  Production-related services include physical recordings, live performances, music publishing, ring tone revenues, digital recordings Events Staging  Music concerts (particularly those featuring Bajan music), cultural shows involving theatre, dance and music, performed domestically and abroad

4. International Trends Film Production  Production outside US exhibiting sharp growth (135% from 2001-2005), worth US$3.8 billion compared with US$3.38 billion in America  Canada has absorbed much of US market because of attractive filming locations, skilled labour, lower costs and attractive incentives  Overseas production location can result in savings of 10-15% Music  Producing music requires quality studios but is primarily influenced by reputation of individual producers  Digital music small but growing Events Staging  Growth in live music performances driven by large festivals in Europe and North America

5. Local Capability  Domestic market for shows, music, scale of Cropover means high quality services exist  In addition to artist management, have ability to produce music and videos; some quality studios  Ability to independently produce and sell music, ring tones  Nature of industry means that individual firms lack cohesiveness  Lack of marketing expertise/resources within firms

6. Target Markets Film Production  US market is largest opportunity, but competition from large scale investments in low-cost destinations is high Music  Artists within region, soca/calypso extra regional artists, music and video production Events Staging  Cultural tourism from US/UK, 15% annual growth; baby boomers

7. Market Positioning  Profile for Bajan music rising due to success of Rihanna, Rupee  Ability to produce unique Bajan sound and to present creatively for mainstream markets  Existing cultural shows, music styles, consumers due to Cropover; could lead to production opportunities  Main competitor is Jamaica with US$40 million exports  Unable to compete against high tech film studios/cities

8. Marketing Activities – Brand Awareness Objective: Increase awareness of services among potential customers, brand and promote Barbados as centre for entertainment  Advertisements: For events/shows need to be continually placed in-flight, airport, hotels  Tourism Website: Should highlight specific production facilities/services on offer, brand Barbados as a centre for creative production services  Foreign Advertising: Limited, directed at potential clients for music production; need to increase exposure of local producers through media coverage

9. Marketing Activities – Direct Marketing Objective: Increase consumption of entertainment and related production services  Fam. Trips: For US producers  Marketing Trips Abroad: Identifying target customers and undertaking missions abroad

10. Marketing Activities – Enabling Environment Objective: Address local factors constraining growth  Business Support: Providers need assistance with marketing and improving business models  Incentives: Access to finance an identified constraint, need to specific incentives for entertainment providers to facilitate marketing  Local Partnerships: Need to forged partnerships between different service providers to improve and expand the product offering, could also be used to more effectively lobby government  Skills: Improve availability of training in new techniques/applications, industry to lead

11. Thank you