Competition from amateur photographers hinders industry growth
Melbourne, Australia (PRWEB) April 18, 2013
The Professional Photographic Services industry has recently weathered the twin storms of subdued economic growth and a long-term downturn in demand. According to IBISWorld industry analyst Andy Brennan, “the long-term demand for professional photography has been eroded by the widespread adoption of digital camera technology by consumers and amateur photographers.” Manufacturers have continued to add user-friendly features to digital SLR cameras and market them to hobby photographers, while the number of photography short courses and online tutorials has grown substantially. All these factors have resulted in a pronounced dip in industry revenue, which is estimated to contract by an annualised 2.1% over the five years through 2012-13 to total $821 million. This includes a decline of 0.3% during 2012-13.
In addition to the long-term influence of camera technology, the demand for industry services is affected by the trends in the general economy and the capacity of households and businesses to purchase photography services. “The subdued economic environment of the past five years has led many households and businesses to undertake their own photographic assignments, which would have been the realm of professionals,” says Brennan.
Small and non-employing operators, many of whom work part-time to supplement income from another job, overwhelmingly dominate the Professional Photographic Services industry. Industry players tend to focus operations on specific geographic or demographic areas, such as child portraiture in a certain shopping centre, or in niche areas, such as wedding photography for a particular religious or ethnic community. The industry currently comprises an estimated 5,920 enterprises employing just fewer than 10,000 people.
The industry's hardest years appear to be in the past, with a more stable period on the horizon. The industry still plays a vital role in some areas of the economy, so any dramatic decline is not likely. Photographers who wish to remain profitable will focus on areas where they can differentiate themselves from amateur photographers, such as through employing superior shooting and image editing skills, or through providing services such as school portraits or wedding photography.
For more information, visit IBISWorld’s Professional Photographic Services report in Australia industry page.
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IBISWorld industry Report Key Topics
Operators in this industry offer photographic services including portrait, street, studio and special events photography. Videography for household use and special events is also included industry (motion picture filming and video production are included in IBISWorld report J5511 Motion Picture and Video Production in Australia).
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Technology & Systems
Regulation & Policy
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