Are models recession proof?

© Icqurimage 2008


Everything in nature is cyclical, from the daily tides to fashion trends and the boom & bust of the economy. As the euphoria of easy credit and inflated house prices gives way to the pessimism of declining equity and cash flows, investors naturally begin to ask which industries will survive the recession relatively unscathed. The fashion industry is notoriously sensitive to recession, as the majority of its garments and accessories are advertised through exorbitant campaigns to the aspiring masses - the first casualties of any economic downturn. Lately even the usually frivolous fashion blogs have been flooded with discussions on how the fashion industry will survive the credit crunch. The catwalks however represent only one division within the modeling industry, and there is also sizeable spending in the promotional, glamour, adult & celebrity sectors, although putting precise numbers to such a highly fragmented market is largely guesswork. In this article we take a look at the changing face of the model industry from the perspective of the photographers, agencies and casting directors who work at the front line between the models and their commercial budgets.

In search of market indicators

This year Playboy Enterprises, a diverse retailer of adult and glamour products, reported a first quarter loss of $3.1m in May, despite having taken many years to return to profitability in 2007. Playboy has become more than just an iconic brand; it is seen as the flagship and weather vane of an industry that is constantly challenged by changing consumer tastes and technological innovation. Playboy took the biggest hit within its traditional magazine publishing division, which found itself caught between the horns of declining advertising budgets and the prevalence of free adult imagery on the Internet. It would appear that Playboy is still suffering growing pains as it attempts to retain its old customers and entice new ones during an explosion of free online content. Despite the loss, Playboy still enjoys a high turnover ($78.5m for the 1st quarter of 2008, down 8% year on year), buoyed by the success of its VOD and pay-per-view channels, and considers itself relatively resistant to recession, as it depends on advertising for less than 20% of its revenues. In response to the changing commercial climate, Playboy is diversifying into new markets including casinos and perfume, as well as revamping its online operations. Its consumer products division, which sells women’s clothes, apparel, workout gear, jewelry, linens and barware, is forecasting high single-digit growth, bucking the current trend experienced by many rival fashion retailers.
Less iconic brands are currently struggling in a declining market that is awash with the logos of competitors. In our digital media age, in which there are almost no distribution costs and a surfeit of content, the much copied & classical Playboy business model no longer appears viable. Today content is cheap and hosting is even cheaper, and the marketing mantra has switched from glossy advertising campaigns to getting noticed above the ‘white noise’ of the Internet. Consequently, traditional TV & magazine advertising campaigns have given way to viral marketing and online video. Meanwhile, the margins of glamour and adult companies are being progressively eroded by the deluge of free content, and even marquis models and content providers are finding it difficult to generate windfalls in the face of a surge in the supply of adult content. Amongst the masses, variety in the form of quantity now seems to have become more important than quality.
Despite government sound bites to the contrary, there is now little doubt that the dawning recession will constitute more than just a brief economic downturn. Major high street fashion stores are facing bankruptcy, while retailers of luxury brands such as Gucci & Richemont are still prospering. However only a select few can become Victoria Secret, Playboy or Gucci models, and the majority will suffer the pain of reduced advertising spends and sporadic work. For many models, it might just be the right time to return to college to complete that long delayed degree course or to seek part-time work in the city. Meanwhile the recession will sweep the unfit from their comfortable offices and many old brands will go the way of the dinosaurs, as the shoots of newer, smaller, leaner, niche providers emerge into the economic spring. There will however be notable exceptions. Many online fashion retailers will survive & prosper, as their lower costs and greater convenience suit those busy people who know their measurements and are confronted with those inevitable ‘must buy’ moments. For the majority, size zero will again be the trend as we continue to tighten our belts.

The view from the camera

It is dangerous, especially from the vantage of an ivory tower, to form firm views of events unfolding within the world of fashion, glossy magazines & glamour. The photographers, agencies and casting directors are the eyes and ears of the industry, positioned as they are between the models and their investors. As is our inimitable style, we asked some of the industry’s leading figures for their insights into the impact the recession is having upon the model industry.
Photographers are often the first to sense a change in the prevailing wind. It is clear from those who expressed a view that the image hunters and their model subjects are feeling the pinch:
‘Talent is always at the end of a whip. If you're a supermodel, or a star, there will always be work, because it can always be argued that the supermodel or star will help bring in revenues. If you're not in that category, then you're at the mercy of the advertising industry, and at this point in time, ad budgets [are] in retreat.’
Ming Lo, photographer, LA, minglo.com
‘I don't believe so [that it is a recession]. It actually is worse. I know a lot of models who work sales and have been either laid off or can’t find a better job. It makes it tougher for them to pay good photographers. I know it makes our job much harder. I rarely shoot these days because everyone expects us to shoot for free or models complain they have to drive 60 miles for a shoot.’
Bevon Findley Photography, Palm Beach FL, bevonfindley.com
‘While I can't speak directly of the recession's impact on the modeling industry, I can definitely speak about Model Mayhem and other sites' effects on what used to be a profitable industry for photographers. A whole new ‘industry’ has been created, one where no one makes money and people shoot just to shoot. Any girl can become a ‘model’ and, with cheap technology, anyone can become a ‘photographer’. For photographers looking to make a living, they are now competing with unskilled and untrained shooters who can make images look OK using Photoshop. Standards have dropped. TFP/TFCD has made it so that photographers who might normally be able to generate income through their skills now compete against those who give away their time and work.’
Jim Warren, Vegas Alien, Las Vegas, vegasalien.com
‘I feel that the industry has been significantly impacted in a negative way by the recession. I used to have more disposable income for equipment and accessories (like filters and bulbs), and supplies (photo paper, backdrops and ink). These days I have to be more selective and prioritize my needs by what is most important and be more conscious of spending in those areas. A really obvious change is limited mobility. At one time I could travel to nearby cities and attractions and spend hours driving to prospect natural backdrops. Now it has become more economical to ride my bike around my local area and utilize places closer to home.
For models it also limits the number of casting calls they can attend and how far they can geographically reach agents and photographers. We communicate more by phone and the internet, rather than face to face meetings, more than ever when the distance is more than 10 miles in the city. At one time I would make day trips to any city within a 3 hour radius just to shoot for a few hours. Now I try to line up shoots with multiple models in the same city and spend the whole day. If I have a friend in the area I will crash on their couch instead of renting a hotel room overnight.’
Kevin Anderson, Optimum Exposure Photography, Maryland, oephotography
For some photographers though it has been business as usual and a spirit of quiet optimism prevails;
‘I haven’t noticed any change in the spending habits of my clients, I’m just as busy, or busier, than I have been in the past calendar year. As for models, I think the only problem that they may encounter is spending more for travel by means of gasoline. I think if they were to prepare for this in the initial quote, covering their costs, then everything should be AOK.’
RVP Photography, Cincinnati, rvp-photography.com
while other photographers take a somewhat more eccentric view:
‘[A] model takes [the shoot] for granted, especially a new model, not taking things seriously, at which point the photographer loses the interest and enthusiasm to actually work together and make it worth the effort of shooting, if they ever have guts to come back for a re-match...’
Zeddie Zakaria, London, thirteenjuly.com
Many agencies were understandably unwilling to provide insights into their business fortunes. One of the UK’s leading glamour model agencies was however willing to give a glimpse into how tighter budgets have affected the agency market:
‘Magazines are not commissioning as many shoots as they used to. In fact some are not booking models at all. They are relying on buying in pictures. This is cheaper for the magazines, as it saves on the costs of the photographer, make up artist, location and model fee. This is having a knock on effect to the very people the process is cutting out of the equation. Many models, I know, are having to take up part time jobs to survive.’
Phil Green of the Supermodel Agency supermodeluk.com
Casting directors and agents are especially insightful indicators of climate change in the industry, as they are privy to much that goes on in the entertainment capitals:
‘Models from all over the world come to LA in hopes of becoming stars. Little do they know, the odds of earning enough to buy a home, paying bills consistently and saving for the future are staggering. As such, models find jobs as servers in restaurants, promotional jobs, go-go dancing gigs, and pretty much anything else you can think of. Just a few years ago, it seemed every model in LA made it a priority to get a real estate license. So the vast majority of most models' income is derived from industries other than entertainment. As the economy has suffered, so too have models. In fact, under normal economic conditions, models' median income is less than that of the general public. High gas prices and groceries at a time corporate America is shrinking their advertising budgets is hitting models' wallets hard. Very hard!’
Karim Webb, Producer, Art/Casting Director, Jason Clark Foto, LA, jasonclarkfoto.com
Others though see silver linings in every cloud, and opportunities in every fire sale. For those with keen business acumen a recession is an opportunity to recruit new talent and seek fresh faces to become synonymous with their brand.
‘I always look for a fresh face for every new assignment, so the recession isn't going to affect any models more or less than in any other time. I happen to believe that using a ‘successful’ model (i.e., one that is recognizable) tends to distract from the purpose of the execution in which he or she is featured. My job is to sell product, not the model. So from my point of view, I avoid the famous models anyway. It gives newer faces better chances.
If my ads can help further a model's career, I'm all for it, and I really love it when the models I use appear somewhere else, prompting viewers to react with, ‘Hey, isn't that the girl from the [such & such] ad?'
Rob Frankel, LA RobFrankel.com
The weather forecast for the next eighteen months is overcast with frequent heavy showers, clearing slowly through the spring of 2010, as sunny intervals give way to an Indian summer of optimism. Until then, pass more time with loved ones, work hard, spend prudently, and don’t throw away that tight-fitting pair of jeans...