New research demonstrates strength of craft businesses in Scotland
23/01/2002
Independent research published today (23 January 2002) by the Scottish Arts Council, Scottish Enterprise and Scottish Enterprise Glasgow, confirms the contribution of crafts businesses to Scotland’s economy and creative industries.
The benefits delivered include indigenous small-firm growth, the promotion of a positive image of Scotland at home and abroad, and competition in global markets. Crafts businesses play a particularly vital role in rural and remote areas where they are contributors to tourism, the local economy and the fabric of the community.
The size of the crafts sector in Scotland is estimated to be around 3,000 small businesses, with a projected annual turnover of between £95million and £150 million, and 83% operating as micro-enterprises employing one or two persons. This small size can be advantageous in delivering flexibility, dynamism and aggressive exploration of difficult markets. Often eager embracers of new technologies, craft businesses can sometimes enter the stage as ‘instant internationals’, exporting within one year of founding and exploiting the potential of e-commerce.
This study was commissioned to define the size and nature of the crafts sector in Scotland, its existing markets, export status, sources of available support and to scope its business needs. It also explores models of good practice in initiatives to support crafts in Orkney, Republic of Ireland, and the Scottish Borders (see Notes below).
All known crafts businesses in Scotland were surveyed by questionnaire and the 700 replies received formed the basis of the report’s findings:
- ceramics, textiles, wood and jewellery businesses form the basis of the sector;
- 50% of crafts enterprises were founded in 1990s (11% founded since January 2000);
- 44% of businesses have exported at some point, and 29% are exporting at present (including some of the newest enterprises);
- 73% are looking for further growth.
Most makers have utilised support from local authorities, the Scottish Enterprise Network, Highlands and Islands Enterprise and the Scottish Arts Council. The most useful support mechanisms were found to be start-up business grants, specialist retail outlets and craft exhibitions, and promotional fairs and publications, followed by commissions, skills-building, and international contacts and exchanges.
However, 60% of crafts businesses indicated a desire for a central information resource incorporating a Scottish makers’ database and website, and financial support for capital equipment.
Report recommendations:
- rather than create a new body to support or promote crafts, existing agencies should ensure better co-ordination of those public and private bodies already working for the craftspeople of Scotland;
- there is a requirement for improved opportunities for craftspeople to develop their business and technical skills;
- there should be more initiatives to develop domestic and international markets, building on Scotland’s image and growing reputation for quality in this sector, including improved exhibition/trade fair activities;
- a marketing strategy is needed to promote Scottish crafts to national and international markets and to improve networking and communications within the sector.
Speaking on behalf of Scottish Enterprise Glasgow, Francis Verling, Creative Industries, said, "The Scottish Enterprise Network, through the Small Business Gateway, is well positioned to assist in the growth and development of Scotland’s craft businesses. The suitability of this approach has been confirmed by the study’s findings."
"The Scottish Arts Council offers a broad range of support to crafts including start-up and development grants to practitioners producing high quality work and assistance to organisations to promote crafts, create and tour exhibitions and provide educational programmes," added Stuart MacDonald, Head of Arts Development at the Scottish Arts Council. "We are conducting a consultation on our proposed five-year strategy to support crafts in Scotland and we look forward to hearing from all those involved."
Bill Fraser, Senior Manufacturing Manager at Highlands and Islands Enterprise (HIE), said: "Some areas of the Highlands and Islands are pointing the way forward in developing the crafts sector in Scotland. Jewellery manufacturers in Orkney, for example, work together as part of a group to share best practice and enjoy the benefits of co-operation. Importantly, they see themselves as trading in a global marketplace rather than a local one, which allows them to complement rather than compete against each other".
Notes to editors
- The research was done by Dr Andrew McAuley and Dr Ian Fillis of the University of Stirling’s Department of Marketing. Over 3000 questionnaires were sent out, of which the 700 returned formed the basis of the findings.
- In addition, case studies exploring models of good practice in existing initiatives to support crafts were undertaken: Orkney: an area with a thriving craft industry, where the Craft Trail provides a successful example of cultural tourism, offering an opportunity to see work being made and to purchase it. There is an excellent ladder of business progression.
Republic of Ireland: where the Crafts Council of Ireland is keen to promote ‘leading edge’ crafts which reflect the uniqueness of Irish identity and creativity; again, there is a strong realisation of the important link with tourism. There is a greater use of business development/market-led courses for makers, and greater export orientation. Here, the craft sector is recognised as a major contributor to the cultural economy.
Scottish Borders: despite closure of large traditional manufacturers, many agencies are working hard to ensure that crafts, as part of the wider arts sector, are flourishing. The study examines craft co-operatives, practical help to support trade exhibitions, publications, networking and work with the local tourist board to promote Scottish Borders under the Land of Creativity brand.
- In the UK, there are approximately 3.7m businesses of which 99% employ fewer than 250 people.
- The Scottish Arts Council’s consultation document will be widely circulated and is available from their Help Desk on 0845 603 6000 (local rate).
Contact email(s)
media.office@scottisharts.org.uk
Issued by: Scottish Arts Council
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