Industry Analysis & Industry Trends
Professional photographers are suffering from the triple threat of a declining industry, the malaise of the wider UK economy and a drastically changing technological environment that threatens to make much of their work redundant. The past five years has shown a consolidation in the revolution in camera technology that took place earlier in the 2000s, as professionals and amateurs alike adopted digital format cameras and photo manipulation technology. Although this has decreased costs for industry operators substantially, it has also allowed many amateur photographers to compete directly with the industry. The perception has emerged within parts of the marketplace that anyone can produce professional-quality photographs, reducing the value attributed to professional photography... purchase to read more
Industry Report - Industry Investment Chapter
The industry has a moderate level of capital intensity as suggested by a labour to capital ratio of 4.9:1. That is, for every £1.00 of capital expenditure, another £4.90 is spent on wages. Photography is labour intensive, requiring significant time by the professional to plan, shoot and edit photographs. The work also involves a fair degree of interaction with the client, adding to labour time. However the number of photographers needed to carry out an assignment is generally low, as evidenced by the number of successful sole operators. This factor demonstrates that wage costs can be effectively minimised, as long as staff have adequate equipment. Labour costs have remained a steady 22%-23% of revenue over the last five years... purchase to read more