Research Article: 2019 Vol: 18 Issue: 1
Mohammad Benny Alexandri, Universitas Padjadjaran
Erna Maulina, Universitas Padjadjaran
Arianis Chan, Universitas Padjadjaran
R.Widya Setiabudi Sumadinata, Universitas Padjadjaran
The contribution of performing arts is 0.26% of all creative economic contributions in Indonesia’s GDP. Performing arts are divided into three categories: dance, theater and music, all moving in traditional spaces, commercial and artistic experimentations (which are varied and freely categorized into modern or contemporary “terms” or “genres”). Traditional performing arts became one of the categories inherent in the culture and values of the noble values in society. The method used in this paper was descriptive research method. Data collection techniques used is literature studies by looking for reference theory relevance with cases or problems found. Analysis using SWOT analysis method is by looking at the strengths, weaknesses, opportunities and threats. This study also analyzes from the external environment then it discuss about the internal environment of the industry by using Business Model Canvas. Recommendation from the study are: after knowing the problems and the circumstances, we recommend for the government by building a center of art that will become the center of community activities and art groups to exercise and perform staging. In addition, other impacts are aimed at making people who are also consumers, easy to gain access to traditional performing arts. Enhancing community closeness with traditional performing arts and increasing the importance of traditional performing arts part of social life. In addition, with the improvement of technology that can encourage the creative industry, especially in the performing arts sector, business actors in this sector should be able to utilize technology wisely and pack it more interesting without removing the cultural values that characterize the creative industry.
Traditional Performing Arts, Creative Business, Performing Arts, Indonesia.
The Indonesian Creative Economy Agency (BEKRAF) has set 16 sub-sectors in creative industry, among them are game development and application, architecture, interior design, visual communication design, product design, fashion, film, photography, craft, culinary, music, publishing, performing arts, fine arts, and television and radio.
From Figure 1, Indonesia creative economic statistics data in 2016 states that since 2010 to 2015, creative economy GDP amount increased by an average of 10.14% each year, from IDR 525.96 trillion to IDR 852.24 trillion. This value contributes to the national economy ranging from 7.38% to 7.66%, which is dominated by three subsectors, culinary (41.4%), fashion (18.01%), and craft (15.4%).
Figure 1: Contribution Of Gdp Subsector Of Creative Economy In 2016 (Indonesian Creative Economy Agency, 2016)
Indonesian creative industry has been one of the most successful and promising industries since 2002. The average GDP contribution from the Indonesian creative industry during 2002- 2015 was 3.6% of the total National GDP with a value of IDR 104.6 trillion. The export value of creative industry reached IDR. 81.4 trillion and contributed 9.13% to the total value of the national exports with employment reaching 5.4 million workers (Indonesian Ministry of Trade, 2015).
Although in general creative industry experienced a positive growth, the development of creative industry in the craft sub-sector, which in the economic classification belongs to the MSME category, is still unstable and vulnerable to bankruptcy. When viewed from the scope of creative economy in the craft sub-sector, the increase in achievement tends to rely on the quality of Human Resources (HR), because the main capital needed is a creative and tough workforce, combining creativity, expertise and individual talent. This is in accordance with the definition stated by the Department of Culture, Media and Sports (DCMS) which explains that creative industry are activities emerging from creativity, skills and talents of individuals who have the potential to realize prosperity and employment through the creation and exploitation of intellectual wealth (UNCTAD, 2008; Gibbons, 2011; Harun et al., 2018).
The performing arts are one of 16 creative economic subsectors identified by the Ministry of Tourism and the Creative Economy that are potentially developed. Creative industry has a role in improving the economy in a country, especially in Indonesia. The creative industry is closely related to the human creativity that humans perceive as the driving force of the economy.
The development of the creative economy's GDP growth and posture is shown in Table 1 below. GDP posture shows that there are three biggest contributing sub-sectors: culinary, fashion and craft with a total contribution of around 7.6%.
Table 1 Indonesia's Creative Conomy Growth |
|||||||
SUBSECTOR | 2011 | 2012 | 2013 | 2014 | 2015 | 2016* | 2017* |
ARCHITECTURE | 8.93 | 6.68 | 6.07 | 6.91 | 6.62 | 5.73 | 5.73 |
INTERIOR DESIGN | 7.66 | 7.40 | 6.51 | 5.00 | 6.09 | 4.87 | 4.87 |
VISUAL COMMUNICATION DESIGN | 5.71 | 4.98 | 2.71 | 9.06 | 10.28 | 10.51 | 6.06 |
PRODUCT DESIGN | 0.96 | 2.76 | 1.94 | 2.85 | 2.03 | 2.78 | 2.09 |
FILM, ANIMATION AND VIDEO | 8.36 | 4.89 | 3.34 | 5.31 | 6.68 | 4.83 | 5.54 |
PHOTOGRAPHY | 4.97 | 2.95 | 1.65 | 4.71 | 6.13 | 5.31 | 4.94 |
KRIYA | 5.56 | 2.67 | 2.85 | 3.65 | 4.51 | 3.51 | 4.00 |
CULINARY | 4.64 | 5.51 | 5.19 | 5.04 | 3.94 | 4.30 | 4.83 |
MUSIC | 7.18 | 8.36 | 5.02 | 7.47 | 7.26 | 6.84 | 6.61 |
FASHION | 9.45 | 5.79 | 7.99 | 4.08 | 2.80 | 1.52 | 6.03 |
APPLICATION AND GAME DEVELOPER | 6.22 | 5.69 | 4.47 | 5.85 | 5.04 | 4.79 | 5.73 |
PUBLISHING | 3.45 | 5.53 | 5.11 | 3.98 | 4.89 | 4.99 | 3.36 |
ADVERTISING | 8.42 | 4.19 | 3.93 | 9.74 | 6.36 | 6.96 | 11.46 |
TELEVISION AND RADIO | 13.44 | 14.31 | 11.32 | 11.67 | 8.38 | 8.00 | 11.37 |
PERFORMING ARTS | 7.32 | 9.34 | 6.01 | 7.55 | 6.03 | 5.94 | 6.84 |
ART | 6.59 | 5.79 | 4.29 | 2.40 | 5.69 | 3.40 | 4.96 |
GDP | 6.80 | 6.05 | 4.90 | 5.95 | 5.80 | 6.10 | 6.16 |
In line with the national economic slowdown, creative economic growth also slowed down from 6.80% in 2011, 6.05% in 2012, 4.90% in 2013, and 5.95% in 2014 and in 2015 only grew 5.80%. In 2017 predicted to be 6.16%, this growth trend is shown in above Table 1.
Nowadays in the era of globalization and the rapid development of technology and information, it poses a positive and negative impact on several lines of human life and encourages business actors to compete in attracting consumers by offering products that match their diverse needs.
However, the development of the era which is synonymous with the shift from the traditional culture of society to modern influences the public attention to the existence of performing arts. Because of the culture created in society is a global culture that tends to refer to western culture.
Traditional performing art undergoes a decline when viewed from the product life cycle; this is due to low public interest in making business players or new players not interested in participating in the business. This will have the potential for traditional performing arts to enter the phase of abandonment that is the phase of product loss from the market.
Moreover, for the younger generation, between traditional performing arts and music concerts, will tend to choose music concerts even though if the ticket price is 2 times than the traditional performing arts tickets.
In addition, the current low public interest in general becomes an influencing factor. From these problems it can be concluded that there is a gap between the government's expectations of performing arts involving traditional performing arts, as the commercial subsector with the losses faced by traditional performing arts actors because of the low demand for their products that threaten the sustainability of the business.
Objectives of this study are:
1. How art traditional industries condition in Indonesia.
2. What Strategies for Art industries in Indonesia.
Definition of Creative Industry which is currently widely used by parties engaged in creative industries, the definition of creative industries based on UK DCMS Task force 1998 (Nurjanah, 2013). “Creative Industries as those industries which have their origin in individual creativity, skill & talent, and which have a potential for wealth and job creation through the generation and exploitation of intellectual property and content”.
Based on the above definition, the creative industry is an industry derived from one's creativity, skills and talents. The creative industry is able to bring potential economic value to job creation.
The same thing is also expressed by the Ministry of Trade of Indonesia; Kurniawan (2016) stated that the creative industry is an industry derived from the utilization of creativity, skills and individual talents to create a benefit that gives a positive impact for the creation of jobs in the surrounding environment.
Dewandaru, & Purnamaningsih (2016) stated that there are 16 creative industry subsectors, they are: culinary, architecture, music, interior design, visual communication design, fashion, film, product design, animation and video, photography, apps and game developers, advertising, publishing, performing arts, as well as television and radio, fine arts (Presidential Regulation No. 72 of 2014).
One of the sub-sectors of creative industry development is the performing arts. The institution that deals with the management of art and culture is the Department of Culture and Tourism, so it is emphasized to apply the principles of creative industry in each of its programs that have been created and defined.
Soedarsono (2003) in Ivan Robert Bernadus Kaunang & Mareike performing arts when viewed from the political, social and economic perspectives in the current art development the performance art itself is more influenced by political, social and economic (non-external factors art).
Performing art is not as popular as other industries. Social network is one of most important strategy for this industry. Janakova (2018) said about social network: Caring for customers is an important activity in companies and information about customers and their experience are of everyday interest. The presented recommendation is based on integration of four activities:
1. Recording of needed information about contacts and leads.
2. Linking to specified social networks to share information.
3. Integration of other applications for better orientation.
4. Finally sharing special places such as chatter.
The benefit is focused on better social network implementation in CRM applications, and increased interest in social networks in the realized analyses and top lists.
Scope of Performing Arts Development
Three categories are included in the performing arts in the context of creative industries such as dance, theater, and music which are categorized into modern and contemporary genres. The performing arts in its development limit the scope to the types of performances: Traditional dance, new creations, modern, contemporary.
1. Traditional, modern, transitional, contemporary-experimental, commercial, non-commercial theater.
2. Popular, contemporary music (experimentation); traditional, world music, Western classics (contemporary and non-contemporary).
3. Cross discipline, for example: wayang, sendratari (traditional dance), oral literature, musical poetry.
The presentation of performing arts in the context of a creative economy is an art that is staged to be enjoyed or consumed as an art product, not as an art service.
If the performing arts as an art service for example such as non-artist performers, TV show, wedding singer, or home band. Also in the performing arts need to be understood by the art connoisseur that the type of performing arts performed as part of the process of social ritual, custom, and religious open into the scope of the creative industry of performing arts.
Value Chain of Industry Performing Arts Subsector Creative Process
The process of creation is the process of creating a work of art in the form of performances that involve:
1. Conceptualization of ideas, is a process that involves the power of creativity and thinking power to create ideas in which this idea is an early concept in the work of art performances that output in the form of draft script or musical score, visual ideas, and choreographic ideas (for the art of dance). The main activity in this process is research and development. The person who created this idea is called the artist. Artists included in this category are choreographers, directors, playwrights, composers, and songwriters.
2. The process of exploration, interpretation, and finalization as a whole, from the ideas that have been created then the artists need to review the expand and explore and solve it so that the idea of the performance art work can produce a design.
Managers can stand into their own entities, such as:
1. Marketing agencies or promoters that are still missing in Indonesia. The promoter may also serve as a tour producer, when the staging is performed outside the city or country.
2. Production house. Others are affiliated with or become producer representatives, for example as artist manager, group manager or company manager.
Main activity in commercialization process In the process of commercialization, marketing is the main activity, as well as other business activities of performing arts, there is a marketing process in the form of promotional activities, publications, Public Relations (PR) and advertisers that can be intended to attract interest.
Perceived quality also become one of most important for art industries. Falahat et al. (2018) perceive quality and brand association is a strong determinant of perceived quality and willingness to order.
Distribution Process Once the idea is created, the production process runs smoothly, and other activities can be realized then the last stage in the creative industry value chain is the distribution processes, which are the delivery process or the performance of performing arts.
Main activity in presentation process is:
1. Venue management: front of house, audience management, facility management.
2. Stage management.
3. Show management: box office, public relations, promotion and marketing, audience outreach.
4. Tour or festival management.
The main performer in this process is the presenter. Presenters are usually in the form of venues (special curated showrooms) or programs (festivals) that facilitate meetings between artists and viewers through creative, educational and performing programs. In some cases, the presenter may also be a cooperator, working with other presenters on his network. The main function of the presenter is to choose programs and productions that can not only satisfy the audience (audiences) from the artistic side, but also realistically financially.
Financial assistance for art industries: Ogbari et al. (2018) financial assistance has significant impact on the performance of SMEs; these supports are inadequate and characterized by stringent, unrealistic bureaucratic details. Based on these findings, the study recommended that facilitating access to adequate funding are highly effective in enhancing performance.
In addition, the presenter also has the task of contracting each viewer group, renting the place (if the presenter does not own the venue), promoting the event to be performed and finishing the financial administration with the producer.
The presenters are:
1. Individual or group, example: executive director, sponsor, or owner (owner).
2. Commercial presenters, for example: nonpublic gig buildings, commercial spaces like cafes, clubs, restaurants and more.
3. Noncommercial presenters, for example: government-subsidized cultural centers (public performing buildings including Taman Budaya), community cultural centers, museums, student organizations, libraries, community centers.
4. Venue: Building-based Company, a venue that serves as a home base (an exercise or rehearsal and show) for an art group. All of the group's administrative and artistic activities are conducted in one roof. And Venue for rent (venue for rent).
5. A multi-function arts center that provides art facilities including showrooms, cinemas, galleries, and food or beverage outlets and does not produce a show, such as large performance venues, versatile facilities (commercial and non-commercial), performance facilities owned by schools, auditoriums, and other public facilities.
Tours and festivals, showcasing performing arts for a period of time (e.g. 1-2 weeks), either in the same location or multiple different locations. Tours and festivals can act as producers and/or presenters, and rely heavily on the availability of venues in the aforementioned.
The method used is descriptive research method. Data collection techniques used is literature studies by looking for reference theory relevant with cases or problems found.
Literature studies can be obtained from various sources, journals, books, articles, papers, previous research, library studies related to the Creative Industry, especially the Performing Art Subsector. Analysis using SWOT analysis method is by looking at the strengths, weaknesses, opportunities and threats. This study also analyzes from the external environment then it discuss about the internal environment of the industry by using Business Model Canvas.
Analysis of the external environment, the environment of the traditional performing arts industry. In a business many factors that affect especially the factors that cannot be controlled by business actors or also called as external factors. We need to know related to the external environment that can provide an impact for a business. In the context of traditional performing arts there are several external environments that affect the business continuity are:
External Environment
Social and culture
The cultural shift from traditional to modern society influences the public's attention to the existence of traditional performing arts. Because the culture created in society is a global culture that tends to refer to western culture. The shift in these values poses a threat to the traditional performing arts industry. So it is not uncommon there are people who do not know the art of traditional performances.
Technology and information
The development of technology and information became one of the factors causing the social and cultural shift as described in the previous point. In addition, performing arts business actors are required to compensate for developments with appropriate beneficiaries. However, things that hamper are some things such as the value that is maintained potentially biased due to the entry of technological elements and then business actors have limitations on the use of technology and information such as minimal promotional media.
Politics
The role of government in maintaining the existence of traditional arts is one of the key to solving this problem. We believe that aid in the form of funding is not a solution but assistance in other aspects that become obstacles for business actors becomes more effective than just the aid in the form of funds used consumptively. Assistance in the form of promotion, development of business actors in managing the business, increase the appearance and quality of the delivered value becomes a problem that cannot be solved independently by business actors.
International
Visits of foreign tourists to Indonesia are increasing every year it becomes an opportunity for traditional performing arts to gain market share of foreign tourists.
Industrial Environment
Consumer
The desire of consumers to be things that needs to be accommodated, because it will affect the demand for traditional performing arts. The current condition of low demand for traditional performing arts is very influential. In addition, consumers only gathered at several points such as tourism culture area such as: Bali, Yogyakarta, and other areas that become national tourist destinations. In contrast to the performing arts in other areas that is not a national tourist destination.
Labor
The availability of manpower that is focused on the performing arts industry is still low because of the tendency of workers to choose to work in factories or offices due to clarity of salary or income and labor protection. The traditional art industry has not been able to provide protection for the welfare of the workforce due to unfavorable conditions.
Analysis of the Internal Environment
After we analyze from the external environment then we discuss about the internal environment of the industry by using Business Model Canvas:
Key partners
The government, the community art group became the main partner in traditional performing arts because the government acts as a supportive regulator and community art group as an actor in the delivery of the traditional performing arts value chain. Regeneration in community arts groups is an obstacle to business continuity and a shift in cultural values in the performing arts.
Key activities
The process of creation and production is an activity undertaken before the value of performing arts is offered to the consumer. The process of creation from conceptual start up ideas to production processes such as drills and choreographic drafting. Ideas are ideas that cannot be judged permanently by the amount of material value so there is a chance that the ideas produced can be of very high value and can be very low depending on the quality of ideas that will be presented to consumers.
Key resources
Labor is one of the main resources because the form of the product being offered is not in the form of a physical product but an art product that can be enjoyed without possession. Skilled and dedicated labor in this sector is still low.
Value proposition
The value of the offered product becomes the core of the value proposition. The development of ideas and values to be conveyed through show media becomes the press point. Often the value conveyed is judged irrelevant to the present circumstances especially with regard to myths but the value of life conveyed often illustrates the current state.
In this aspect, business actors often do not pay attention to how they maintain relationships with their customers. So consumers in the sustainability of traditional performing arts become short-term, this becomes important even though they are still fairly traditional management and not yet organized.
Channels
Traditional performing art marketing still uses a way that has not maximized information technology. But back again tailored to the consumer segmentation. For the performing arts of the upper middle scale that staging in the building sometimes still not distributed marketing information evenly.
Customer segments
The segmentation of consumer performing arts is divided into 2 i.e., domestic and foreign consumers. Domestic consumers are the closest consumers who sometimes still cannot be reached while foreign consumers become the mainstay consumers but foreign consumers are only in some national tourism areas such as Bali, Yogyakarta and other areas.
Cost structure
Costs incurred in 1 show are player's wage, rental fee, completion fee and some other things.
Revenue streams
Traditional performing arts are from entrance fees or from third party managers such as amusement parks and others.
Based on Table 2 above, we can be seeing the SWOT analysis of the Indonesia performing arts. The strength of the performing arts in Indonesia is the value delivered from the idea that can be very valuable because the art of the show itself starts from an idea and can created that continues and more interesting again.
Table 2 Swot Analysis |
||
Opportunities | Threats | |
1. Increased Tourist arrivals | 1. Social and cultural shifts | |
2. Utilization of information technology for promotion | 2. Disclosure of information and technological developments | |
3. Government assistance to increase profits | 3. Low consumer interest | |
Strengths | Strengths-Opportunities (SO) | Strengths-Threats (ST) |
1. The value delivered is born from an idea that can be of great value. | 1. The value that is the result of the idea to be conveyed should be packaged well and interesting in order to captivate the interest of foreign tourists in addition to the use of technology for media campaigns. | 1. Cultural and social shifts are able to reduce the negative impact of it by packaging the concept of traditional performing arts by adjusting to the current state without having to change the value of the value to be conveyed. |
2. The breadth of product products should not be rigid or static. | ||
2. What is changed or customized is the way it is delivered. |
||
3. It aims to increase consumer interest. |
||
Weakness | Weakness-Opportunities (WO) | Weakness -Threats (WT) |
1. Traditional management. | 1. Government assistance in empowerment is one way to increase and anticipate the weaknesses of the sector. | 1. Ineffective and efficient management becomes a gap that is able to make a deterioration of this sector coupled with low demand and socio-cultural shifts. |
2. Further losses to be faced due to business travelers can not anticipate business conditions that result in the loss of this business sector. | ||
2.Regeneration in show business. | ||
3.Expenses incompatible with revenues. | ||
Aspects to be considered in sustainable business management, welfare protection for the workforce of traditional performing arts. |
While the weakness of Indonesia's first performing arts is there are still a traditional management that has not been using the maximum technology system as in the case of media campaigns because business actors have limitations on the use of technology and information.
1. Regeneration in the performing arts business when artists are now little due to low public interest to engage in the business. The latter is a disproportionate expenditure of income which for a show requires a cost and the income is not worth the expenditure due to the low interest of society to see the performing arts.
2. Opportunity in performing arts in Indonesia is an increase in foreign tourist visits which Indonesia has tourist destinations that already include overseas and worldwide so that many tourist destinations that slips in the performing arts events such as those in Bali.
3. The use of information technology for promotion which many technologies can make a comprehensive promotion.
4. Government assistance to increase profits due to increased tourism levels that cause increased state revenues so that the government supporting activities of performing arts that attract tourists during a visit Indonesia.
5. Protection of the welfare of the workforce in traditional performing arts.
6. Treats in performing arts in Indonesia is a social and cultural shift in which contemporary society prefers westernized and foreign cultures that assume the outer culture is modern and modern, so that the original culture of Indonesia is underestimated.
7. The Disclosure of information and technological developments in which the performing arts can be copied and experienced video piracy.
Based on previous research, the results of the analysis are:
1. The government is an advanced condition for the Art Industry. Government assistance in the form of money and facilities (Peter et al., 2018).
2. The government must protect art from piracy.
3. Brands become supporting arts, it is necessary to have a more serious handling of art brands to increase the presence of tourists. This has been done a lot in Bali (Mohammad Falahat et al., 2018).
4. The quality of art is also an important factor that must be improved. Quality standards that come from art institutions from abroad need to be considered (Mohammad Falahat et al., 2018).
5. Marketing carried out with information technology must be a concern for the performer of the art (Janakova, 2018).
1. The contribution of performing arts is 0.26% of all creative economic contributions.
2. Performing arts are divided into three categories: dance, theater and music, all moving in traditional spaces, commercial and artistic experimentations (which are varied and freely categorized into modern or contemporary “terms” or “genres”).
3. Traditional performing arts became one of the categories inherent with the culture and values of the noble values in society. But today traditional performing arts are experiencing a decline in the life cycle of their products.
4. This is due to socio-cultural shifts and the development of information technology that encourages business actors to anticipate these conditions even though business actors are still dealing with internal problems such as business management that has not been effective and efficient. Demands for the protection of welfare for performing arts workers and others.
5. Nevertheless they are still working with the development of ideas and values in order to increase consumer interest and improved management to reduce the threat to the business.
1. After knowing the problems and the circumstances we recommend for the government by building a center of art that will become the center of community activities and art groups to exercise and perform staging.
2. In addition, other impacts are aimed at making people who are also consumers, easy to gain access to traditional performing arts. Enhancing community closeness with traditional performing arts and increasing the importance of traditional performing arts part of social life.
3. Then the development of business actors about business management. Improving the quality of delivery content without having to change the value of existing values is intended to make traditional performing arts still exist in the midst of changing times.
4. In addition, with the improvement of technology that can encourage the creative industry, especially in the performing arts sector, business actors in this sector should be able to utilize technology wisely and pack it more interesting without removing the cultural values that characterize the creative industry.