The socio-economic impact of the Klein Karoo National Arts Festival (KKNK) (original) (raw)

Abstract

Events and festivals are hosted with the expectation that they hold many benefits for the host communities. These benefits include employment, income generation, and increasing tourist numbers, thereby improving the quality of life of the host community. However, little is known about the socio-economic impact of arts festivals, especially in the South African context. Hence, the purpose of this article was to determine the socio-economic impact of the Klein Karoo National Arts Festival (KKNK) on the community of Oudtshoorn. This festival is the largest arts festival, both in terms of visitor numbers as well as income generation, in South Africa. In order to achieve the goal of the research, three surveys were conducted: firstly, a community survey; secondly, a business survey; and, finally, a visitor survey. The results indicate that the KKNK contributes significantly to the economy and community of Oudtshoorn. From a social point of view, however, the respondents indicated that th...

Figures (9)

The Klein Karoo National Arts Festival (abbreviated as KKNK) is an annual arts festival held over eight days during the March/April school holiday in Oudtshoorn, South Africa (Cruywagen, 2002:190). Since the festival’s inception in 1995, it has grown into the largest arts festival in terms of productions, income generation, and visitor numbers in South Africa. When the concept for this festival was conceived, two main purposes were identified: to create an event where Afrikaans-speaking people of all races could enjoy the culture and languages of post-apartheid South Africa, and, secondly, to attract money and tourists to Oudtshoorn (see the map in FIGURE 1) so as to create an economic boost to the community (Kitshoff, 2004b:237). The latter provides the rationale for this research. The festival includes visual and performing arts such as cabaret, music theatre, classical music, jazz and popular music, bringing more than 250 productions to stage and including more than 1000 artists (Slabbert, Saayman, Saayman & Viviers, 2007:7; Oudtshoorn Municipality, 2005/2006:10).   FIGURE 1: Oudtshoorn in the Western Cape, home of the KKNK  cabaret, music theatre, classical music, jazz and popular music, bringing more than 250  Arts festivals, according to Van der Merwe (2008:23), can be defined as “pub  ic celebrations of  local arts, traditions, and cultures; combining various forms of visual and performing arts,  including painting, fine arts, crafts, drama, film, and all music genres”. T  hese celebrations  would however not take place without a host community. Getz (1997; as quoted by Quinn,  2006:304), states: “if there were no host community, there could be no festiva  ” This statement  stresses the importance of the role of communities in sustaining events. This is highlighted by  Kitshoff (2004a:74) and Allen, O’Toole, Harris, and McDonnell (2008:132), w  ho indicated that  members of the community all have different needs, attitudes, and aspirations, which have an influence on the sustainability of an event. Gursoy and Kendall (2006:608), Macleod (2001) and  Fauzi and Buchary (2002) add that the community would only support the e  vent or increased

The Klein Karoo National Arts Festival (abbreviated as KKNK) is an annual arts festival held over eight days during the March/April school holiday in Oudtshoorn, South Africa (Cruywagen, 2002:190). Since the festival’s inception in 1995, it has grown into the largest arts festival in terms of productions, income generation, and visitor numbers in South Africa. When the concept for this festival was conceived, two main purposes were identified: to create an event where Afrikaans-speaking people of all races could enjoy the culture and languages of post-apartheid South Africa, and, secondly, to attract money and tourists to Oudtshoorn (see the map in FIGURE 1) so as to create an economic boost to the community (Kitshoff, 2004b:237). The latter provides the rationale for this research. The festival includes visual and performing arts such as cabaret, music theatre, classical music, jazz and popular music, bringing more than 250 productions to stage and including more than 1000 artists (Slabbert, Saayman, Saayman & Viviers, 2007:7; Oudtshoorn Municipality, 2005/2006:10). FIGURE 1: Oudtshoorn in the Western Cape, home of the KKNK cabaret, music theatre, classical music, jazz and popular music, bringing more than 250 Arts festivals, according to Van der Merwe (2008:23), can be defined as “pub ic celebrations of local arts, traditions, and cultures; combining various forms of visual and performing arts, including painting, fine arts, crafts, drama, film, and all music genres”. T hese celebrations would however not take place without a host community. Getz (1997; as quoted by Quinn, 2006:304), states: “if there were no host community, there could be no festiva ” This statement stresses the importance of the role of communities in sustaining events. This is highlighted by Kitshoff (2004a:74) and Allen, O’Toole, Harris, and McDonnell (2008:132), w ho indicated that members of the community all have different needs, attitudes, and aspirations, which have an influence on the sustainability of an event. Gursoy and Kendall (2006:608), Macleod (2001) and Fauzi and Buchary (2002) add that the community would only support the e vent or increased

FIGURE 2: Inputs, processes and outputs to event hosting

FIGURE 2: Inputs, processes and outputs to event hosting

Source: Adapted from Saayman & Saayman, 2004-633  TABLE 1: System of equations for estimating local economic impact

Source: Adapted from Saayman & Saayman, 2004-633 TABLE 1: System of equations for estimating local economic impact

Source: Vander Merwe, 2008

Source: Vander Merwe, 2008

TABLE 2: Impact on personal lives of respondents and on the Oudtshoorn community  TABLE 2 presents the results of the impact of the festival on the lives of individuals in the community and on the community in general. The concept “happily” indicates an overall positive mindset toward the festival. More than 50% of the respondents feel that the festival has a positive influence on their personal lives and on the community. The results, however, show a more positive perception with regard to the effect of the festival on the community of Oudtshoorn than on their personal lives.  TABLE 3: Specific impacts

TABLE 2: Impact on personal lives of respondents and on the Oudtshoorn community TABLE 2 presents the results of the impact of the festival on the lives of individuals in the community and on the community in general. The concept “happily” indicates an overall positive mindset toward the festival. More than 50% of the respondents feel that the festival has a positive influence on their personal lives and on the community. The results, however, show a more positive perception with regard to the effect of the festival on the community of Oudtshoorn than on their personal lives. TABLE 3: Specific impacts

TABLE 3 indicates that 78% of the respondents see the fact that more tourists visit Oudtshoorn throughout the year as an advantage. Other social impacts indicated include increased opportunities to meet new people (74%), entertainment opportunities (63%), and the number of people in the area (67.7%). Some factors of an economic nature measured during the community survey indicate that 62% of the respondents think that the festival creates job opportunities. Sixty four percent indicated that property value has increased, 67.7% think the festival provides opportunities for businesses and 68% think the turnover of local businesses shows a positive impact because of the KKNK. These indications are in correlation with what many authors said when they stated that one of a festival’s positive impacts is that it facilitates  the flow of money into the region (Auld & McArthur, 2003:192; Heilbrun & Gray, 2001:357; Getz, 1997:51; Saayman, 2001:84; Yeoman, et al., 2004:33).

TABLE 3 indicates that 78% of the respondents see the fact that more tourists visit Oudtshoorn throughout the year as an advantage. Other social impacts indicated include increased opportunities to meet new people (74%), entertainment opportunities (63%), and the number of people in the area (67.7%). Some factors of an economic nature measured during the community survey indicate that 62% of the respondents think that the festival creates job opportunities. Sixty four percent indicated that property value has increased, 67.7% think the festival provides opportunities for businesses and 68% think the turnover of local businesses shows a positive impact because of the KKNK. These indications are in correlation with what many authors said when they stated that one of a festival’s positive impacts is that it facilitates the flow of money into the region (Auld & McArthur, 2003:192; Heilbrun & Gray, 2001:357; Getz, 1997:51; Saayman, 2001:84; Yeoman, et al., 2004:33).

TABLE 4: Visitor expenditure  Source: Authors’ own calculations

TABLE 4: Visitor expenditure Source: Authors’ own calculations

TABLE 5: Average leakages per business sector  The effect of a smaller multiplier is indicated along with the higher multiplier of 2007 in TABLE 6 to give a more conservative prediction of the total economic impact that accrues to Oudtshoorn due to the festival. TABLE 6 gives a summary of all the above calculations and indicates the  total direct and indirect expenditure. This table does, however, exclude all expenses carried by the local authorities or residents in preparation for the festival.  TABLE 5 indicates leakages per business sector and the average leakage is calculated as 63.43%. This leakage percentage was used to calculate the multiplier of 1.58 (TABLE 6). This multiplier is higher than the multipliers indicated by Saayman and Saayman (2004) for the festival of 2003 (when it was 1.43); thus it should be seen as a best-case scenario. The increase in the multiplier size could be ascribed to the fact that, in 2007, a larger percentage of the stall owners were locals, or that visitors spent more in 2007 or that the leakages might have decreased (Slabbert,  et al., 2007:40). The implementation of this multiplier (equation 6), represented by symbol , brings the total economic impact (TS) of the festival on Oudtshoorn to R62.5 million.  to give a more conservative prediction of the total economic impact that accrues to Oudtshoorn

TABLE 5: Average leakages per business sector The effect of a smaller multiplier is indicated along with the higher multiplier of 2007 in TABLE 6 to give a more conservative prediction of the total economic impact that accrues to Oudtshoorn due to the festival. TABLE 6 gives a summary of all the above calculations and indicates the total direct and indirect expenditure. This table does, however, exclude all expenses carried by the local authorities or residents in preparation for the festival. TABLE 5 indicates leakages per business sector and the average leakage is calculated as 63.43%. This leakage percentage was used to calculate the multiplier of 1.58 (TABLE 6). This multiplier is higher than the multipliers indicated by Saayman and Saayman (2004) for the festival of 2003 (when it was 1.43); thus it should be seen as a best-case scenario. The increase in the multiplier size could be ascribed to the fact that, in 2007, a larger percentage of the stall owners were locals, or that visitors spent more in 2007 or that the leakages might have decreased (Slabbert, et al., 2007:40). The implementation of this multiplier (equation 6), represented by symbol , brings the total economic impact (TS) of the festival on Oudtshoorn to R62.5 million. to give a more conservative prediction of the total economic impact that accrues to Oudtshoorn

TABLE 6: Total economic impact  Source: Authors’ own calculations  Thirdly, to increase the socio-economic benefits of the festival, the organisers should focus on meeting more of the stakeholders’ needs, as was indicated by Allen, et al. (2008). This is especially true in the case of the local community that hosts the event, and sponsors of additional funding for the event. Research by Saayman and Saayman (2004) showed that the event sponsors spend has a significant influence on the magnitude of the economic impact. In fact, their research indicated that arts festivals in South Africa cannot survive without such sponsorships. Added to this, Van der Merwe (2008) showed that almost all stakeholders do some form of marketing or advertising for the event (see FIGURE 2). In order to address this, stakeholders should be represented in the planning and management committee of the festival. The latter is regarded by Streuders (2008) as vital for community participation. Therefore, it would be advisable to determine the needs, perceptions, and expectations of different stakeholders with regard to their role and function in the event.

TABLE 6: Total economic impact Source: Authors’ own calculations Thirdly, to increase the socio-economic benefits of the festival, the organisers should focus on meeting more of the stakeholders’ needs, as was indicated by Allen, et al. (2008). This is especially true in the case of the local community that hosts the event, and sponsors of additional funding for the event. Research by Saayman and Saayman (2004) showed that the event sponsors spend has a significant influence on the magnitude of the economic impact. In fact, their research indicated that arts festivals in South Africa cannot survive without such sponsorships. Added to this, Van der Merwe (2008) showed that almost all stakeholders do some form of marketing or advertising for the event (see FIGURE 2). In order to address this, stakeholders should be represented in the planning and management committee of the festival. The latter is regarded by Streuders (2008) as vital for community participation. Therefore, it would be advisable to determine the needs, perceptions, and expectations of different stakeholders with regard to their role and function in the event.

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