Decline of Commercial Production Work in Hollywood

Diane McArter, who operates Furlined, a commercial production company in Los Angeles, reports a troubling trend in the industry. In recent months, she has filmed in locations like Glasgow, Prague, Mexico City, and Toronto, reflecting a significant shift away from Hollywood.

McArter notes that this movement represents several million dollars in production revenue leaving California. Historically, commercial advertising has been overshadowed by the more glamorous film and television sectors.

However, for decades, commercial production has provided essential income for many crew members, serving as a financial safety net between film and television jobs. Unfortunately, this lifeline is now in jeopardy.

According to a new report from FilmLA, production in Los Angeles fell 18 percent in the third quarter of this year compared to last year and is 40 percent below the five-year average. This decline has created a substantial gap in income for industry workers just when they need it most.

Unlike the film and television sectors, which have received state support, commercial production has not benefitted from recent tax breaks passed in California. A new bill offers millions in tax incentives for productions in the state but explicitly excludes commercial work.

This situation raises concerns about the long-term sustainability of commercial production in Los Angeles and the economic impact on workers who rely on these jobs. The ongoing decline in commercial shoots not only affects the livelihoods of many but also signals a broader shift in the industry landscape, as production increasingly moves offshore to take advantage of more favorable conditions elsewhere.

With fewer opportunities in Hollywood, the traditional support system for crew members is fading, leaving many in a precarious position. McArter's experience encapsulates the challenges facing commercial production crews, emphasizing the need for urgent attention to this critical issue in the entertainment industry.