Author: Charlotte Gill

Venice: doomed to become a historical Disneyland?

Posted on by Charlotte Gill

A city that inspired the imaginations of Shakespeare and Hemmingway, Venice has an unrivalled history of attracting people from all across the world. The city is primarily known as a tourist destination nowadays, with hordes of international visitors desperate to get lost among the city’s breath-taking, labyrinthine canals and catch a glimpse of its stunning architecture.

However, this wasn’t always the case, with the city being a booming trading centre during the Middle Ages and the subsequent Renaissance. As a result of its location on the coast of north western Italy, Venice was a crucial trading post between western and northern European countries and the east. At a time when sea travel was the fastest way to transport large amounts of goods, Venice’s coastal location at the far end of the Adriatic Sea meant it received a huge number of merchants from across the world.

Such is the city’s unique beauty that it has been the inspiration of countless plays, poems, songs, as well as the location for many recent films – from the trashy likes of The Tourist to the sublime Death in Venice. While its former glory as a trading post and hub of culture is long gone, the city still attracts vast swathes of tourists every year. As a result, tourism accounts for the vast majority of Venice’s economy. However, with the constant masses of visitors traipsing over Venice’s old and narrow streets, many locals have become increasingly disgruntled about the impact that the city’s tourism industry is having on its monuments – as well as developing concerns that the city has become little more than an historical theme park.

Another worry is that Venice has been seemingly sinking over the last few decades: as a result of it being built on marshlands, the city seems to be unable to cope with so many visitors. While this process has been slowed by Italian engineers, it is certainly a worry for those in love with Venice’s stunning beauty.

Peter Debrine, head of the world Heritage and Sustainable Tourism Programme at UNESCO, told the Deutsche Welle website in 2012 that “tourism is a double-edged sword… You can’t have those kind of numbers come into a site and not have a negative impact.” He said that “Venice’s economy is almost entirely dependent on tourism. They need the tourists. But, it is also essentially a museum that needs to be preserved. A balance has to be struck.”

[W]e have these iconic places, but are we loving them to death? – Peter Debrine, UNESCO

Debrine added, “This is the issue: we have these iconic places, but are we loving them to death? The people who live in Venice need to come together and begin that dialogue with each other. Everyone needs to come together in a way that benefits the economy but does not damage the heritage of the site, the outstanding universal value.”

History
However, with such a rich history, it is unsurprising that people choose to flock to Venice time and time again. It grew as an influential trading outpost during the Middle Ages, acting as a melting pot of commerce from across Europe and Central Asia. Between the 10th and 13th centuries, the city was a strategic meeting point between the Byzantine and Holy Roman Empires, and was granted various privileges that allowed it control over large parts of the Adriatic Sea. After the Fourth Crusade at the beginning of the 13th century, Venice became hugely influential, dominating Byzantium and opening up all trading routes across the empire.

The city-state’s dominance over the Aegean Sea meant that it essentially controlled much of the sea trade between Europe and the East, as well as Egypt and other northern African states. Such control meant a dramatic rise in Venice’s influence as a trading centre, which in turn resulted in a sudden surge in trade and therefore a massive growth in capital for the nobles of Venice. However, it also meant a rapid rise in wealth for previously modest merchants, who were then able to buy estates across the full range of Venice’s various territories.

During this period, Venetians established several new forms of trade and styles of finance, as well as developing innovations in insurance, patent protection and controls over money markets. Such was the pioneering way in which Venice developed its markets and businesses that it has been hailed as the model from which much of the rest of Europe based its economic practices. At the time, Venetians formed various types of companies, the most common of which was known as a ‘collegantia’ – such a company saw a silent partner putting up an investment of roughly 75 percent of the capital of the business, with the active partner providing the rest and running the operation. These companies usually were seen as relatively short-term operations with a solitary transaction goal.

By the end of the 13th century, however, Venice saw a problem emerge upon the Arabian conquest of Jerusalem and their main ports in Egypt. This led to fraught negotiations over accessing the trade of Armenia, Turkestan, Persia and other important Central Asian territories. Eventually re-admitted into Byzantium, Venice was given access to the Bosporus strait, providing it with immediate access to these wealthy locations. The city-state soon became the most prosperous in the whole of Europe, with 3,300 ships dominating the sea trade of the Mediterranean.

During this period Marco Polo, Venice’s most famous son, travelled along this route, exploring Central Asia and China and providing insight into these far-flung lands. His staggering 24 year-long travail along the Silk Route saw him documenting all of the weird and wonderful things that he encountered, and led to his Livres des merveilles du monde (Book of the Marvels of the World).

The way in which Marco Polo’s travels revealed a whole new world to Europeans allowed for a much greater knowledge of the wider world and, in turn, led to greater trade occurring between Europe and the eastern empires. With Venice as the focal point of this trade, the city benefited hugely from this flurry of new business.

Decline
Venice’s citizens quickly set about spending this newfound wealth, hoping to place themselves culturally and artistically on a par with the more acclaimed city-states of Florence and Siena. Noble families desperate to be seen as the most culturally sophisticated Venetians rapidly erected breathtakingly beautiful palaces throughout the city. The lavish way in which the money was spent transformed the floating city into one of the world’s most spectacular sites, littered with cobbled walkways alongside narrow canals while vast marble houses compete for the remaining space.

Perhaps its future will be that of a glorified theme park… This would, however, not reflect the glory of a once dominant trading nation

While the city’s pre-eminent position within European trade was to last only until the 15th century, when a series of miscalculations against the Turks led to heavy defeats at battle, it was the Black Death in 1348 that truly devastated Venice. Four times in a few hundred years – in 1348, 1575, 1577 and 1630 – Venice was beset by the plague and saw its population dwindle, along with its influence. While it had been the leading commercial city at the beginning of the Renaissance, by the end it had started to lose its position to Portugal, which had since developed strong commercial links with Asia.

Over the course of the following few centuries Venice was passed around various empires, including those of Napoleon’s France and Austria. However, during the 18th century the city continued to refine itself as one of Europe’s most beautiful architectural wonders, as well as a huge influence on literature and art. The mixture of Venetian gothic architecture with Byzantine and Ottoman influences, coupled with its seemingly floating location, gave Venice a truly distinctive look.

Venice has tried to recapture some of its reputation as an influential cultural hub by hosting its various contemporary art festivals. The Venice Biennale has been going on since 1895, initially as an international art exhibition but over the years growing to encompass contemporary music, theatre, film, dance and architecture. It has matured significantly in recent years, and now welcomes more than 300,000 visitors each year. And while this is still a feature of the city’s thriving tourism industry, it is a demonstration of the city’s attempt to position itself as a place where new and vibrant forms of culture are presented, as opposed to the classical styles it has become so known for.

Tourism troubles
In many respects, Venice was the Dubai of the Renaissance: the recipient of a sudden injection of wealth that was desperate to spend it on culturally eye-catching attractions. The huge amount of towering churches, cathedrals, palaces and monuments throughout the city can prove overwhelming to visitors. Indeed, as one American author famously described it, it can feel “like eating an entire box of chocolate liqueurs in one go.”

It is unsurprising that tourism has become the most important part of Venice’s economy. The city sees around 30m visitors arriving each year, a figure that has steadily grown over the last two decades with the plummeting cost of international travel. However, many experts believe that the ideal number of annual visitors to Venice would be far lower, at just 7.5m. The impact of all these visitors has become apparent through the difficulty that visitors face trying to walk anywhere without being swallowed by vast crowds. Meanwhile, the city’s very infrastructure is struggling to cope with all these people.

The concerns of the impact that these extreme numbers of tourists are having on Venice have become increasingly vocal over the last few years. Colossal cruise ships creeping along the side of the main island have become a frequent eyesore for locals, and the sudden influx of tourists that they bring creates a huge burden on the city’s creaking infrastructure. Campaigns to prevent these ships have rumbled on for a few years, with heated exchanges between operators and locals fuelling the resentment.

Matteo Sechi, spokesman for Venetian citizen advocacy group Venessia, told Deutsche Welle, “Venice is a small place, without a lot of space. The number of tourists is going up every day, every year, including people coming from the cruise ships. There’s too many people in Venice during a normal day.”

He added, “It’s not just one ship per day, but four, five, or six. And the tourists [from the ships] come for just one day. They are not interested in the history or culture of Venice. They only buy things.”

A recent proposal may have the potential to solve this cruise ship issue, however. In October 2014 an engineering company unveiled plans to build a €180m artificial island that would allow the ships to avoid the main canal of the city and therefore stop them from dwarfing the city’s attractions. The Italian firm that has proposed the island, Duferco Engineering, is adamant that such a scheme is the most sensible option for Venice. The company’s spokesman, Renato Bodi, told the British newspaper The Daily Telegraph in October, “It’s the most logical solution. It would remove the big cruise ships from Venice’s lagoon while still allowing passengers to experience the magic of arriving by water.”

If we don’t fix these problems, Venice will be like Disneyland – just a park for the tourists without people living there – Matteo Sechi

He added that although cost would be large, the impact of the island on the environment and the relatively short time it would take to construct means that the Italian government should press ahead with it. “It would take about two years to build and would avoid having to dig a new channel, which would be 100 metres wide and would have a big environmental impact on the lagoon. It seems to us to be the perfect compromise.”

Solving these problems will prove difficult; especially as a desire to visit Venice is unlikely to dissipate. A tourism tax was introduced in 2011 to stem the flow of tourists, but it has had little effect. Moving the boats to an artificial island may remove the eyesore, but will do little to stop the number of visitors.

Secchi said that without the tourists, Venice’s economy would collapse. “It’s a paradox, because the tourists are very important for the economy of Venice. The tourists are the economy. They buy everything.”

“If we don’t fix these problems, Venice will be like Disneyland – just a park for the tourists without people living there. During the day, you [can] visit the city, and at night, we [will] close the park like in Disneyland,” said Secchi.

The difficulty for Venice is that it has little to offer in the way of business other than tourism. While it is still strategically located as a trading post, it was surpassed many years ago by shipping infrastructure elsewhere. Perhaps its future will be that of a glorified theme park, unable to function without the patronage of international visitors. This would, however, not reflect the glory of a once dominant trading nation.

Where to eat:

Riviera serves its take on traditional Italian food and is famed for its service
Riviera serves its take on traditional Italian food and is famed for its service

Riviera
Dorsoduro 1473
+39 041 522 7621
ristoranteriviera.it
Located on the edge of the Giudecca Canal, providing its diners with some of Venice’s finest sunset views, Riviera has been proudly serving up its take on classic Italian dishes since 2011. Famed for its exceptional service, guests can expect to find themselves welcomed by the restaurant’s devoted owner, who frequently passes through his beloved establishment in order to ensure that his guests are satisfied with their dining experience. Some of Riviera’s famed specialities include raw beef Carpaccio, ricotta gnocchi with wild asparagus, and the fresh fish of the day, which can be marinated, grilled or salt-baked at the diner’s request.

Pizzeria Trattoria All’Anfora
Lista dei Bari 1223
+39 041 524 0325
pizzeriaallanfora.com
Visitors can find this pizzeria tucked away down one of Venice’s narrow backstreets. Its unimposing front and traditional appearance make it easy to walk past, until you notice that it has the ultimate nod of approval – it is constantly filled with locals. Diners have a seemingly endless menu of pizzas to choose from, all of which are thin-based, crispy and considerably cheaper than you might find elsewhere. In true Italian style, the restaurant also serves some delicious traditional pasta dishes. The excellent quality of the food makes this small establishment perfect for corporate travellers and whole families.

Gelato Fantasy
Calle dei Fabbri 929
+39 041 522 5993
gelatofantasy.com
Founded in 1998 and renowned throughout Venice for selling one of the widest varieties of gelato, ice creams and sorbets, Gelato Fantasy is located in the heart of the city and prides itself on using only the freshest ingredients for its decadent products. The welcoming staff, who also prepare crêpes upon request, are happy to assist with the dietary requirements of any of its guests. Its rich flavours include both the usual, from chocolate to pistachio to crème caramel, and the slightly more unusual, such as liquorice, cinnamon and sacher – an ice cream based on the opulent dark chocolate cake sachertorte.

Where to stay:

Fiori & Frutti Resort di Campagna
Fiori & Frutti Resort di Campagna is situated on farmland but is only 15 minutes from Venice

Fiori & Frutti Resort di Campagna
Via Eugenio Gatta 76
+39 041 5020075
fioriefrutti.it
Known worldwide for its elegance and culture, Venice is keen to show visitors that they do not need to be subjected to lifeless corporate hotels while travelling on business. Located only 10 miles away from Venice’s Marco Polo Airport and yet simultaneously buried in the Italian countryside, Fiori & Frutti Resort di Campagna is an elegant country house with 10 beautiful rooms. Situated on a rolling green farm, the resort is only 15 minutes away from the city and boasts an array of luxurious amenities: free high speed internet allows guests to continue with their work during their stay, while an open air swimming pool, stables and three nearby golf courses gives visitors the opportunity to relax in between meetings.

Corte di Gabriela
Calle degli Avvocati
+39 041 523 5077
cortedigabriela.com
Located within the very heart of Venice, only minutes away from the picturesque verandas of Piazza San Marco, the Hotel Corte di Gabriela prides itself on its Venetian hospitality and a seamless combination of classical style and chic design. Damask fabrics and traditional frescoes merge harmoniously with modern lighting and contemporary furniture to create truly unique, luxurious and relaxing rooms and suites. Views of the waters and roofs of the city can be seen from the hotel’s intimate bedrooms, which each come equipped their own iPad and free use of the hotel’s wi-fi. The breakfast in particular is worth mentioning; including a delicious buffet as well as made-to-order hot food, that will surely set you up for the long workday ahead.

Where to meet:

Hilton Molino Stucky
Hilton Molino Stucky is the largest convention centre in the city

Hilton Molino Stucky
Giudecca 810
+39 041 2723 311
molinostuckyhilton.com
With a seating capacity of up to 1,000, along with 14 meeting rooms and a fully equipped business centre, the Hilton Molino Stucky offers the largest convention centre in Venice. The hotel’s vast, column-free ballroom is the perfect venue for city symposiums, offering the very best in conferencing facilities in a classical Venetian setting. The hotel also has a dedicated Executive Floor, ensuring that visiting delegates will be taken care of in the finest setting only minutes away from the boardroom.

Hotel Danieli
Riva degli Schiavoni 4196
+39 041 522 6480
hoteldanielimeetings.com
Promising its corporate customers style, glamour and sophistication, Hotel Danieli offers a variety of meeting spaces that range in capacity from 10 participants up to 120. Located on the edge of the Venetian lagoon, the hotel’s beautiful marble interior and rich furnishings add comfort and elegance to any private function or business meeting. Hotel Danieli also offers the Marco Polo Foyer, which unites the entrances to all of the meeting venues on the floor and provides a gathering point for guests during coffee breaks and luncheon buffets.

Hotel Bauer Il Palazzo
San Marco 1459
+39 041 520 7022
ilpalazzovenezia.com
Located on the waterfront, only minutes away from St. Mark’s Square, the hotel comes complete with mesmerising views and ornate furnishings. Its selection of boardrooms and conference facilities provide guests with unparalleled professionalism and the upmost luxury, along with seating arrangements that can be altered in order to accommodate up to 120 guests at one time.

Venice city diary:

Venetian masks on display. Carnevale takes place at the beginning of the year and is famed elaborate masks and costumes
Carnevale takes place at the beginning of the year and is famed for elaborate masks and costumes

Canal Grande
Venice
December
There are significantly fewer tourists in Venice during the winter months, and the freezing month of December gives travellers a good chance to fully appreciate some of the city’s sights. The view of snow falling onto Venice’s Grand Canal is one that should never be diminished by the crowds.

La Festa di San Silvestro
St. Mark’s Square
Dec 31
The dazzling fireworks, music, drinks and celebrations that take place annually in St. Mark’s Square offer visitors a spectacular way to welcome in the new year. Traditional lentil dishes on New Year’s Day symbolise good fortune for the year to come.

Anno Nuovo Tuffo
Lungomare G. Marconi
Jan 1
Every year hundreds of people celebrate New Year’s Day by gathering at Lido di Venezia for a swim in the freezing sea – or just to watch others braving the water. People then take part in a Viennese waltz before enjoying a traditional feast of lentils, sausages and wine.

Regatta delle Bafane
Canal Grande
Jan 6
The Befana Regatta celebrates the legend of La Befana; a witch who flies around Italy each year delivering presents to children. The competition sees locals – usually men – dressing up as the old woman and racing down Venice’s Grand Canal to mark Epiphany.

Carnevale
Venice
Jan 31 – Feb 17
Famed for its elaborate masks and costumes, the Venetian festival is an explosion of colour, drama and flavour. Guests can attend masquerade balls and masked parades during Carnevale; an event that many people see as the centrepiece of Venice’s history and culture.

The Serenissimo Prince
Doge’s Palace
Until Feb 15
Through an extensive collection of paintings, sculptures, coins and manuscripts, the exhibition held at Doge’s Palace tells the story of the doge; the elected chief-of-state during the medieval and renaissance periods. There is a separate section dedicated to the instrumental dogaressa, the doge’s wife.

Interpreti Veneziani
Chiesa di San Vidal
Tickets from €22
Interpreti Veneziani is an ensemble of classical musicians famous across Italy for the expertise of its members, both as soloists and as a collaborative. Performing an exhilarating range of classical music that includes Mozart and Vivaldi, the group can be seen at the San Vidal church throughout 2015.

The Poetry of Light
Museo Correr
Until March 15
One of the world’s most influential collections of Venetian drawings, now belonging to the National Gallery of Washington, returns home for this extraordinary exhibition. Displaying some 130 works from between the 16th and 18th centuries, it is a remarkable display of the cultural achievements of Venice during the period.

Technology advances business travel

Posted on by Charlotte Gill

Thanks to the rise of digital technology, our world has fundamentally changed over the past 20 years. It has never been easier for us to connect with one another: we can freely chat to people on the other side of the world or send large documents around the globe in seconds. The demand for business travel is at its very lowest – and yet, something strange has been happening.

This technological revolution has coincided with continued growth in global business travel. Despite having access to these amazing communicative tools, we are more likely than ever to travel abroad on business. Analysis by the Global Business Travel Association shows that the level of business travel has consistently risen over the past five years, with a predicted growth in 2015 of between 6.9 and 8.6 percent.

So what’s going on? At a time when the need for us to travel is lower than ever, why are we travelling more?

Instead of technology replacing business travel, it has simply made it smarter

New breed
Instead of technology replacing business travel, as many analysts had predicted, it has simply made it smarter. It has given rise to a new breed of business traveller: equipped with a smartphone or tablet device, we now have unlimited access to the digital tools that are transforming the nature of business travel. The old idea of being ‘out of office’ has been turned on its head.

Now, the ‘smart traveller’ takes the workplace with them. Using a raft of powerful apps and communication tools, they can stay connected to the office from wherever they are in the world – whether that may be an airport lounge, a hotel room or a bustling city centre.

Rewind to 1995
Back in the mid 1990s, a business trip was something that would require weeks of preparation and planning. Just 0.4 percent of the world’s population was using the internet and most companies relied on travel agencies to arrange business trips – but this time-consuming and costly process meant that trips would need to be arranged months in advance with little room for travel plans to be adapted or changed last minute.

Compare this to the way that today’s smart travellers operate, and it’s clear to see that business travel is running in radically different circles – what used to take teams of people weeks to arrange can now be done by an individual with a computer, a credit card and 15 minutes to spare.

Mobile working
One of the headaches that smart travel has helped to relieve is the arduous process of recording travelling expenses. What used to be an agonising task – a bundle of unfathomable receipts that would need to be sifted through upon the traveller’s return to the office – has become practically painless as a result of mobile working.

The expenses management tool webexpenses is climbing to the top of the virtual itinerary for any smart traveller. Using the smartphone app, users are able to take a photo of any paper receipt and instantly convert it into a digital form, ready for uploading to the user’s account. With real-time currency conversion based on time and location, as well as credit card integration, travellers are able to do in seconds what used to take hours. And for those managing expense accounts, the app also allows the monitoring, approval and rejection of employee claims, preventing any expense claim backlogs from building up.

It is clear just how technology has given rise to this new generation of smart travellers – how a powerful set of tools is helping to redefine the rules of how we do business. However, what truly defines today’s smart traveller is this openness to adapt and react to whatever situations present themselves. Smart travel is a more organic and flexible approach towards work; a move away from the rigid mind-sets of the past. It’s a change that is flourishing throughout the corporate sphere, as mobile working unlocks a fresh approach to the ways in which we view the world of business.

Christchurch bites back after devastating 2011 earthquake

Posted on by Charlotte Gill

The streets are deserted. Filled with rubble, dust and the squalid remains of once lively restaurants and shop fronts, these structures have been untouched for nearly four years. A boarded up cathedral and a string of mobile homes tells us that this is a broken city. This is the scene in Christchurch, more than three years after the 2011 earthquake – the most damaging in New Zealand’s history.

And yet in the distance there’s a low hum coming from a row of temporary shops and cafes: the Re:Start Mall, an intriguing array of quirky boutiques, cafes and banks, all housed within brightly coloured shipping containers. These glimpses of activity and vibrancy are a promise of what’s to come as Christchurch is gradually restored to its former glory, reclaiming its title as the second largest city in New Zealand and the gateway to the country’s stunning South Island.

Fateful day
On February 22 2011 the earthquake – measuring a magnitude of 6.3 – struck the city, killing 185 people and injuring thousands more. Its epicentre was only 10km from the central business distract, meaning that the CBD was devastated within 40 seconds and 80 percent of its buildings were irrevocably damaged. Unlike the country’s capital Wellington, Christchurch had never been considered as prone to tremors – meaning that its buildings simply hadn’t been built to withstand them.

The Pyne Gould Corporation and the Canterbury Television multi-storey buildings tumbled to the ground instantly, killing over 100 workers, with other buildings that had already been weakened by an earthquake six months earlier swiftly following. Heritage sites including the Anglican Christchurch Cathedral suffered severe damage and the electricity, water and sewerage systems for much of the city were cut off. The government declared a national state of emergency and cordoned off the CBD, forming what was known as the ‘red zone’. It was to stay that way for over two years.

Mass exodus
What followed was a mass evacuation of people and businesses from the thousands of destroyed homes and crumbled corporate buildings. The city saw a 2.4 percent fall in its population, with over 10,000 people having fled the city by June that year, according to Statistics New Zealand. Although the exodus did drive growth in surrounding areas such as Selwyn, Queenstown-Lakes and Wimakariri, these figures formed a stark contrast to the annual one percent growth that the city had seen in the lead up to the catastrophe.

6.3

The magnitude of the earthquake

80%

Of the CBD’s buildings were damaged beyond repair

10,000

People fled Christchurch within four months of the event

In the immediate wake of the earthquake, workers focused on bringing down the buildings that had been wrecked beyond repair and removing the debris lining the city’s streets. The red zone was emptied out. Then, in March 2011, the government established the Canterbury Earthquake Recovery Authority (CERA) in a bid to drive the city’s revival. Just over a year later the Christchurch Central Development Unit (CCDU) was also formed, hailing a $40bn project that would transform the demolished city centre.

Over the past year progress from these two interlinked projects has finally started to show. According to The Australian 200 new restaurants and bars having sprung up, and the surrounding city areas (including the CBD, which is no longer cordoned off) have seen hotels emerging. After intense renovation the Novotel, for example, has reopened and was reported to be almost full in February this year. The city’s efforts are evidently starting to pay off: Christchurch was ranked in the Lonely Planet’s Top Ten Places To Visit last year which, considering its bleak state just a couple of years ago, really is an impressive feat.

But it still has a long way to go before climbing to the top of that list and re-establishing its reputation as one of New Zealand’s greatest leisure and business destinations. “A lot has been rebuilt but there is still a lot more to be done,” said Christchurch born-and-bred athlete Angie Smit, who represented New Zealand at this year’s Commonwealth Games. “Some of the central area feels like a ghost town, whereas some parts, like the new container mall area, are really vibrant”. Experts predict that it will take another ten years before the city will fully shape up and regain its former character.

Opportunity from tragedy
Architects have already set to work with ambitious plans in mind, looking to other major cities such as Australia’s creative and commercial hub Melbourne for inspiration. Using the disaster as a springboard for creativity, the city has already implemented initiatives such as Gap Filler, where quirky attractions have filled previously derelict sites, including a gigantic chessboard that uses road cones as pawns.

Drawing opportunity from the disaster is something that the city is doing well, with the Rebuild Christchurch project set to make it better and greener than ever before. The city certainly had its draws prior to the disaster: it even battled with the capital city Wellington for the place of second most populous city to Auckland. Yet it also had its shortcomings, seen by some as an “old, white and monocultural place”, according to Christchurch coffee shop owner Sam Crofskey. He told The Australian: “Youths were fleeing the city… Now they want to stay. There’s a sense of community that wasn’t there before.” That much is clear from the number of community schemes that have sprung up, such as the ‘share an idea’ campaign launched by the government which saw over 106,000 people contributing ideas for the recovery proposal.

With a view to plucking such positivity from tragedy, the CCDU set out a blueprint plan that suggested 70 projects for completion by 2031. Developed with a vision for a “vibrant, green, connected, innovative centre”, new parkland and green spaces will characterise the banks of the River Avon while the CBD will feature mainly low-rise buildings. Pedestrian boardwalks, cycle tracks and a light rail system will make Christchurch more environmentally friendly than ever before.

Plans for 17 exciting anchor projects to be completed over the next few years have also been laid out: these include an earthquake memorial and a world-class 2,000-capacity convention centre, set to be underway by 2017. The vision for this structure is “to reinvigorate what was a successful convention destination market before the earthquakes of 2010 and 2011 and to be an anchor project for citywide urban renewal”, said Paul Crowe, Head of Origination and Commercial at Plenary Group. According to Crowe, up to $500m could be invested in the development of the convention precinct, which includes retail, hotel and exhibition areas alongside the business space.

The wreckage from 2011's earthquake in Christchurch
The wreckage from 2011’s earthquake in Christchurch

Buildings have started to spring up in the four great avenues that define the central city, with over 200 developments on private sector sites either already fully constructed or well underway. Next year a bus interchange will reconnect people with the city, while inner city residential living is set to return in 2016. 2017 will see the birth of the retail precinct, likely to attract the return of the tourism and business that Christchurch lost for several years.

Other projects include ambitious performing arts, culture and innovation precincts, and lying at the heart of the city will be the Square (to be built in 2016); a green space appropriately evocative of Christchurch’s eco-friendly plans. A decision is still being made as to whether the destroyed cathedral, for many the former icon of the city, will be repaired or fully rebuilt.

A stadium that is planned to seat 35,000 will be constructed to replace the destroyed Queen Elizabeth II arena, which was built to host the 1974 Commonwealth Games, and other sports facilities are set to follow. According to some these plans mean that Christchurch, which is already world-renowned for its rugby, could become one of the world’s leading sports hubs. “As an athlete I feel we have it great here” said Smit. A high performance training centre is already up and running and has played host to world-class athletes, including gold medalist paralympian Sophie Pascoe. Next year the city will be one of a select few in New Zealand to host the 2015 Cricket World Cup, which is likely to be a huge magnet for tourism and investment.

Before those projects can be implemented though, the foundations need to be put in place. The city recently reached a milestone when half of its basic infrastructure was completed, with the remainder set to be finished by the end of 2016, according to Gerry Brownlee, Earthquake Recovery Minister. Costing $4bn, the repair project will see state-of-the-art road, sewage and water networks put in place.

The city is learning from the mistakes of its predecessors, collecting a mass of geotechnical data to assess the safest places for development and constructing buildings to withstand potential tremors. With those projects in mind the state has bought a large proportion of land from private property owners in the aim of developing new real estate and corporate space.

Future business hub
All of this forms part of an ambitious plan to turn Christchurch into a thriving international business hub, with the Canterbury Development Corporation (CDC) and its Christchurch Economic Development Strategy (CEDS) envisioning the city as “the best place for business, work, study and living in Australasia” by 2031.

And actually achieving this seems to be a realistic goal for a country that is ripe for investment. Once eclipsed by its bigger brother Australia, New Zealand’s economy has sped up significantly of late, partly as a result of a thriving dairy industry that benefits from extensive free trade. “New Zealand [has] very strong macro-economic fundamentals which provide global investors with quite a compelling proposition,” Jody Kaye of Harbour Asset Management told Business Destinations. Her co-worker Andrew Bascand added, “at over 3.5 percent, New Zealand has one of the strongest growth rates in the developed world.”

The country was voted the world’s third easiest country to do business in by the World Bank in 2012, as well as the least corrupt according to the Transparency International’s Corruption Perceptions Index. Within that, the Canterbury region to which Christchurch belongs has the country’s fastest growing economy; a growth that has been driven in part by the very building boom that the Christchurch earthquake instigated. Once again the catastrophe has created opportunity by becoming a catalyst for growth.

These glimpses of activity and vibrancy are a promise of what’s to come as Christchurch is gradually restored to its former glory

With a view to strengthening its appeal, the Canterbury Earthquake Recovery Authority has implemented regulations that allow investors to fast track the ordinary setup process. A five-day approval system is also in place for central city applications. Some businesses have already capitalised on this favourable financial climate, along with the newly renovated buildings in Christchurch: global US software firm Telogis expanded its activity in the city this year, leasing a central city block of renovated office space that was once home to the ANZ bank. Tourists are also starting to flock to the city, with Singapore Airlines increasing its flights to Christchurch for the coming summer in order to meet projected demand for business and leisure travel.

As commercial spaces and homes are rebuilt and investors begin to take to the city, the exodus that hit in 2011 is expected to be gradually reversed. The city’s population is set to grow rapidly, by 1,200 people yearly until 2016 and 2,500 yearly until 2031, according to Statistics New Zealand. The CCDU predict that most of the commercial space will be fully occupied by 2018.

The gradual emergence of new homes, precincts, green transport links and office space is sparking hope and enthusiasm among local residents. “Generally there is an optimistic feel in Christchurch with lots of people excited about the future of our city,” said Smit.

Christchurch’s location as the gateway to the South Island – where turquoise mirror lakes, vibrant green spaces and soaring mountains meet adrenalin-fuelled activities – already puts it firmly on the map as a worthy travel and business destination. And this is likely to accelerate ten-fold over the next two decades: “Christchurch will be a 21st century city with a beating heart; a green, connected hub in a thriving economic region” reads the CCDU promise on its website. And with the city’s appealing climate for investors, the optimistic spirit of its community, and its desire to pluck opportunity from disaster, there’s no reason to doubt such an ambitious claim.

Bangkok transforms into tech hub

Posted on by Charlotte Gill

“One night in Bangkok and the world’s your oyster” goes the insinuating line from the catchy 1980s chart-topper. What was once the scene of sordid tales, seedy backstreets and underground dealings, however, has transformed itself over the past few decades to become a business hub at the centre of Southeast Asia’s tourism and commerce industries, ranking second in Business Traveller magazine’s 2013 ‘Best Business City in Southeast Asia’ awards. This achievement is something that is set to become even more of a reality over the next decade, as Thailand joins the ASEAN Economic Community (AEC) and experiences the benefits of the junta’s recently announced $72bn infrastructure plans.

That’s not to say that the vibrancy and sensuality of Bangkok have been replaced by the skyscrapers lining its horizon: far from it. The dusty streets are alive as ever with smells, sights and sounds; bustling with market vendors, tuk-tuk drivers and scruffy massage parlours alongside tourists swallowing scorpions and fuelling the underground sex industry that shot Bangkok into the limelight so many years ago. One look at Khaosan Road or the night markets of Patpong and it’s easy to see the city has firmly retained its reputation.

12

The number of political coups that Thailand has faced

$23bn

The expected cost of Bangkok’s new high-speed rail links

But a quick glance towards the financial districts of Silom, Sathorn and newer sub-CBDs reveals a cosmopolitan skyline punctuated by modern hotels, world-class convention centres and the headquarters of multinational businesses – more than 15 of which feature on the Forbes Global 2000 list. Financial head offices meet sophisticated hotels like Sirocco, where stunning views over Bangkok’s sparkling cityscape greet guests at the world’s highest rooftop bar.

This reality forms a stark contrast to the images of shabby backstreets, questionable activities and haggling tourists that are so often conjured up upon hearing Bangkok’s name. But it’s that very attitude – including an openness to foreigners and an overwhelmingly liberal culture – which is now fuelling creativity, making the city attractive to overseas investors, and driving an emerging scene of entrepreneurship in the city. As this develops, and so changes the face of Bangkok business, the divergence between the city’s corporate world and its shabbier, liberal backstreet one is getting narrower.

A turbulent past
Once a small trading port on the banks of the Chao Phraya River, Bangkok as it is known now was born in the 18th century with the construction of the royal district; the splendour of which remains today, with spectacular sights like the Grand Palace and the Wat Pho golden temple defining the cultural landscape of the Old City. What also remains is an ongoing sense of political turmoil, which began in the 20th century with the replacement of absolute monarchy by constitutional rule and a succession of bloody uprisings against a line of military dictators.

Despite such turbulence, Bangkok was expanding rapidly in the late 20th century. Its economy was booming, with businesses sprouting up all over the city and Thailand’s yearly GDP growth topping ten percent, according to a report by The Economist. That was until 1997, when Southeast Asia hit a painful stumbling block in the form of the financial crisis. Bangkok was hit hard, with unemployment soaring and growth plummeting.

Thailand eventually began on its road to economic recovery after the ‘people’s constitution’ struck that year, giving its citizens new rights. A host of factors slowed growth once again, however, under the rule of billionaire Thaksin Shinawatra, elected in a landslide victory in 2001. When the middle class turned against him and mass protests filled the streets of Bangkok in 2006, a military coup seized the country. Those events were then mirrored this year in protests against his sister, Yingluck Shinawatra (elected in 2011), which eventually saw her ousted and General Prayuth Chanocha called in as Prime Minister.

The divergence between the city’s corporate world and its shabbier, liberal backstreet one is getting narrower

That coup has led the World Bank to predict that Thailand’s rate of growth will be the lowest in Southeast Asia until 2016, with tourism hit and businesses reported to be holding off until stability fully returns.

The Bank of Thailand and Siam Commercial Bank are more optimistic, however, with economists at the latter predicting the growth rate will return to 4.5 percent next year. And there’s no reason why it shouldn’t: the most recent coup marks Thailand’s 12th, and their reoccurrence throughout the 20th century did little to stop the country’s financial boom. It was economic, not political, factors that caused the 1997 crisis – and furthermore, while some areas are falling back, others are starting to flourish.

Rising start-up industry
One of these thriving areas is Bangkok’s rising tech start-up industry, which has begun to spark attention over the past couple of years. “It’s been driven by the rise of consumer spending in the middle class”, Adrian Vanzyl, co-founder & CEO of Ardent Capital, told Bangkok Online. “Then there’s internet penetration, which has improved, and in the last 18 months smartphones have overtaken regular mobile phones.”

He says that Bangkok is a more appealing place to launch an e-commerce business than established hubs such as Singapore for the very fact it represents a bigger challenge. Lower levels of English mean less competition and an increased likelihood that foreign investors will buy into it rather than starting their own. Vanzyl isn’t the only one taking note of the trend: Thailand ranked 18th in the World Bank’s Doing Business 2013 report, while the Nomads List puts Bangkok as the world’s third best city in which to launch a start-up (based on living costs, co-working spaces, investment climate and other factors).

According to Hubba (a co-working space aimed at start-ups), something that has been further fuelling the growth of start-ups in the city has been the recent increase in access to venture capital through companies rather than VC firms. Bangkok’s three biggest telecommunications players – AIS, DTAC and TRUE – have begun offering startup schemes that provide tech entrepreneurs with training and publicity alongside the much-needed capital.

Another key factor has been the rise of organisations like the Thailand Tech Start-up Association, launched in May this year to unite and drive growth in the sector. That’s compounding the relatively recent trend of co-working spaces springing up across the city to connect startup entrepreneurs with investors and others. “Before [co-working spaces] came about there were government sponsored events, but there wasn’t really a community of start-up folks that were connected and working together,” Amarit Charoenphan, co-founder of Hubba, told Business Destinations.

Bangkok timeline

1782

The new capital of Bangkok is founded in the country known as Siam

1939

The country changes its name to Thailand, meaning ‘Land of the Free’

1965

Thailand permits the US to use bases there during the Vietnam War

1997

The Asian financial crisis occurs, with the baht falling sharply against the dollar

2004

Tsunami hits the southwest coast of Thailand, killing thousands of natives and visitors

2011

Government debt soars after the introduction of a subsidy scheme for rice farmers

While Hubba was one of the first such spaces in Bangkok when it launched in 2011, the city now plays host to 30 of them. By bringing likeminded people together and hosting events to inspire budding entrepreneurs, Hubba is driving the city’s emerging scene. “We’ve had one of the best years so far,” said Charoenphan.

Bangkok’s start-up buzz was made clear at this year’s Thailand Echelon (the city’s answer to San Francisco’s TechCrunch conference). The 2014 event was the country’s largest so far, with 750 attendees and a score of guest speakers sharing ideas and discussing the latest in internet trends.

This new emphasis on sharing ideas and stimulating entrepreneurship in Bangkok is creating a string of success stories, including the e-book store Ookbee, which begun as a small start-up in the city and now operates across much of Southeast Asia. Meanwhile Builk, a social networking site for the construction industry, was chosen to represent the region at the 500 Startups event in October last year. “It’s going to take a while to get to New York or London standards but we’re shaping up to a few multi-million dollar companies in the near future,” said Charoenphan. He adds that 500 Startups and other organisations starting to capitalise on the Southeast Asian market are providing a further source of fire for future tycoons.

Hubba believes that Bangkok’s appeal for start-ups lies in the city’s attitudes. That lifestyle, defined by its liberality, has seen the city top the world’s best destination lists year after year, including being voted ‘Best city for travel’ for four consecutive years by US magazine Travel & Leisure. The low cost of living is also a major draw: “Singapore has its strengths in terms of access to a lot of capital, but if companies really want to build a product and save money, while generally having an amazing time living, then Bangkok and Chiang Mai are actually very strong contenders,” Charoenphan said. Once again it is the culture that runs throughout Bangkok, reflected in its underground scene and dusty backstreets, that is pulling in foreign entrepreneurs, driving the start-up scene and, in turn, fuelling the city’s investment opportunities.

And this is expected to grow even more in the future as the government moves to include initiatives for SMEs – of which start-ups form a crucial part – on the national agenda for growth. Entrepreneurs already capitalise on the country’s strong infrastructure, banking penetration and relatively easy legal setup, as the Thailand Treaty of Amity enables US investors to avoid ordinary foreign investment restrictions. Tech entrepreneurship could still grow even further though, if Thailand’s Board of Investment (BOI) initiatives – including an eight-year tax exemption for new companies investing THB 1m (around $30,000) – are updated with start-ups in mind, Charoenphan explained. As those changes are made and the emerging sector continues to thrive, the face of Bangkok business is beginning to alter; moving beyond traditional areas such as real estate towards a more technology-driven industry.

Entrepreneurs already capitalise on the country’s strong infrastructure, banking penetration and relatively easy legal setup

Ambitious transport plans
The emerging start-up scene isn’t the only area attracting attention and changing Thailand’s capital city. In August the government approved $75bn-worth of transport plans for the country: the eight-year project will see Bangkok’s light rail, as well as the country’s ports and dilapidated train system, all being renovated. This is likely to increase movement and provoke a further rise in investment across the country.

But expected to have yet more of an effect on Bangkok are the high-speed rail links (totalling $23bn) due to be constructed as part of these plans. These connections are set to link the city with Laos, Malaysia, Singapore and southern China by 2021, making a surge in trade and business between Bangkok and border hubs increasingly more likely. When a similar link was set up between Myanmar and Burma’s surrounding countries, the city saw a 41.2 percent year on year increase in trade, according to Myanmar Business Today.

These plans are also likely to cause the dynamics of mainland Southeast Asia to shift as China takes on an increasingly important role in the region. “There will be economic benefit across the South China and mainland Southeast Asia region, but also increased political domination by China in the mainland,” Geoffrey Wade, visiting fellow at the College of Asia and the Pacific at the Australian National University, told Business Destinations. Zhao Xiaogang, former chairman of China South Locomotive and Rolling Stock Co., told China Daily that the 3,000km line from Yunnan would see GDP growth of $375bn in the relevant countries.

That combination of new infrastructure, an emerging tech scene and the upcoming establishment of the AEC – which will enable the free flow of investment, capital and goods – is likely to curb the economic damage that has been predicted for Thailand by the World Bank. It is also like to change the face of the country’s biggest cities. With the advent of rising start-ups, new rail links and a future government chosen by the people, Bangkok could finally wave goodbye to the economic hiccups and violent uprisings that have defined it for almost a century. While it is unlikely to part with is its reputation for sordidness, vibrancy and an anything-goes attitude, this is exactly what causes it to top the list each time as one of the world’s most popular destinations – and what in turn is driving entrepreneurship and the future face of its businesses.

Overseas property market begins to plateau after growth in 2014

Posted on by Charlotte Gill

The Quarterly Index measures the number of enquiries via downloads of the company’s country-specific buying guides, such as SpainBuyingGuide.com and PortugalBuyingGuide.com.

Between January and September 2014, there was an increase in enquiries of 17 percent compared to the same period last year, rising from 29,299 to 34,287. For the third quarter of 2014, enquiries were up by 4.1 percent year-on-year, from 10,518 to 10,957 in Q3 2013.

Spain, Portugal and France are still the most popular countries in which to buy an overseas property, with Italy and Turkey growing in popularity.
Enquires-per-country-2014
A busy start to the year
Despite the increased values, and a bullish first half of the year, there was a cooling off of enquiries during the third quarter of 2014. This compares to the previous two years, when Q3 has always outperformed the first two quarters, as the months of April to June continue to be the most popular months for would-be homebuyers to view and complete on overseas properties.

Economic uncertainty in September
Total enquiries between July and September fell by 9 percent compared with the second quarter of 2014, and 5.5 percent in the compared with the first quarter. We can highlight recent economic turbulence as the reason for this. The uncertainty around the outcome of Scottish Referendum in September definitely caused nervousness in the economy, with ripple effects felt across Europe and a reluctance to purchase overseas property.

The uncertainty around the outcome of Scottish Referendum in September definitely caused nervousness in the economy

There is evidence to suggest that this also prompted a significant number of individuals to put their plans to buy abroad on hold – and led to a momentary loss in value for sterling, which would have similarly deterred people from purchasing or moving abroad until things had settled down.

A bright future ahead
Looking ahead, continued growth is expected in the key property markets, particularly across Europe, with mortgage rates in the Eurozone remaining at historic lows and sterling likely to maintain a comparatively strong value against the euro. There is also a sentiment that the bargain prices of homes in popular parts of Spain, France and Portugal won’t last forever, with signs that hotspots are already seeing slight price rises – buyers don’t want to miss the boat and are exploring their options. The recent Reader’s Survey from OverseasGuidesCompany.com showed that Spain, France and Portugal are the most popular countries for those considering buying property abroad and with those readers who already have a second property.

Spain continues to top the list
Spain is still the most popular country, generating 2,710 enquiries in the third quarter, compared to 2,494 enquiries in the third quarter of 2013. Things are looking up for Spain economically, with a surge in interest in the property market and an improving economy. The International Monetary Fund recently announced that the southern European country will lead the rest of the EU in terms of economic growth over the next year – the economy is expected to grow at 1.3 percent in 2014 and continue by 1.7 percent in 2015.
Enquires-per-country-2014-2
France still a favourite
France remains a favourite overseas property hotspot, in second place with 2,575 enquiries, and we know that now is a great time to be looking to buy in France. Not only have house prices across the country remained stable over the last year, with average prices even falling in some areas, but France is also now offering interest-only mortgages to non-French residents.

Ones to watch
Star performers in the third quarter in terms of growth in enquiries were Italy (12.7 percent), Greece (52 percent) and Turkey (8.5 percent), all of which saw significant rises in enquiries compared to the previous quarter.

Words by Angelos Koutsoudes, Head of OverseasGuidesCompany.com – 0207 898 0549

Retail success in India boils down to digital, not physical, presence

Posted on by Charlotte Gill

“India is an emerging, vibrant market and an important next step in our global expansion strategy,” wrote Steve Sunnucks, the Global President of clothing retailer Gap, in August, following a series of particularly rosy results. “Gap is loved around the world for our American casual style and enduring value and quality, and we are so pleased to bring our brand and products to life for customers in India.”

On the face of it, Gap’s passage to India looks part and parcel of an unspectacular global expansion strategy – and the company was quick to say as much in its press release. However, the arrival of the American retailer comes at a key time for the country, as it prepares to enter into a full-fledged retail revolution.

Big opportunity
Home to over 1.2bn people, India is the second most populated country in the world, and, as a result, big western names like Gap are keeping a close eye on what they believe could be the next frontier for retail. With a growing middle class and an extremely young population, over half of which being under 25 years of age, astute names in retail are acutely aware of the fact that, though individuals’ spending power may not match up to their developed counterparts, spending, particularly among India’s youth, is on the up.

$520bn

The value of India’s retail industry in 2013

5th

India’s position on the list of the world’s largest retail destinations

52%

Of Mumbai’s shopping malls are estimated to be vacant

At $520bn in 2013, the Indian retail market has registered a compound annual growth rate (CAGR) of 6.1 percent since 1998. Today it is the fifth largest retail destination in the world, according to the India Brand Equity Foundation. At 10 percent of national GDP, the retail sector makes up eight percent of India’s total workforce, and remains a key part of the country’s continued social and economic development. “Consumerism in India is witnessing unprecedented growth driven by favourable demographics, a young and working population, rising income levels, urbanisation and growing brand orientation,” according to the PwC report Pulse of Indian retail market. And while impressive already, the rate at which the market is expected to grow is continually increasing – with a CAGR of 13 percent until 2018, at which time the market will reach $950bn – and PwC calculations expect it to tip the $1.3trn marker by 2020.

Broken bricks and mortar
In a time where retail sales are stagnating on home turf, big names on developed shores are attempting to curry favour among an emerging Indian middle class, whose income levels are today adequate enough to bolster their bottom lines. Here, an increasingly affluent Indian consumer and (as in China) an appetite for branded products are together driving western names, particularly those from the US and Europe, to improve their visibility in the country and capitalise on a wide supply of opportunities.

In a market still dominated by domestic names, international retailers are steadily gaining traction in the bricks and mortar space – though the immaturity of the market means that, for many, profitability is an uphill struggle. The country’s retail infrastructure, for example, is sorely underdeveloped, and consumer purchases are more often than not shared between a patchwork of far apart lesser-known retailers, as opposed to being made all under one roof.

On the outskirts of Mumbai stands the Centre One shopping mall, where most of the shops sit empty and footfall throughout the sprawling 150,000-square-foot complex is sparse. Not exclusive to Centre One, a report by the Associated Chamber of Commerce and Industry of India showed that 52 percent of the 40-plus malls contained in and around the city of almost 20m people are vacant. And though many insist that the reason for the inactivity is down to overdevelopment, another key reason is a distinct lack of recognised brands, which stands recent entrants such as H&M, Coca Cola and PepsiCo in good stead.

Shopping malls in the country’s major cities are taking pains to boost footfall by adding a greater number of leisure facilities and food outlets throughout. Yet poor planning and unreasonably high lease costs will keep international names away, and the poor correlation between the rate at which shopping malls are being built and consumers are calling for them will only continue.

The biggest fear for physical stores, both domestic and multinational, is the rise of digital retail in India and the way in which it is supposedly impacting the profit-making potential of the bricks and mortar market. In short, organised retailers have so far struggled to balance growth and profitability – though the lesser costs associated with ecommerce and such have started a conversation about whether bricks and mortar might in actual fact be an unnecessary middle step for the Indian market.

Western retail comes to India
Although the level of internet penetration pales in comparison to developed counterparts, India’s huge population means that the actual number of internet users is second only to China. At 243m as of July 2014 (according to Forbes), the country’s total number of users has doubled in the space of a year. And research conducted by McKinsey & Company since suggests that the same figure will climb to 330m come 2015.

Central to India’s digital revolution is the role of mobile technology in boosting penetration; particularly in the realm of ecommerce, where its success depends largely on internet literacy and, to a lesser extent, trust in online security protocols. “India is on many online retailers’ radars; after all, it is the second most populous country in the world, with an online retail market worth $1.5 billion,” reads AT Kearney’s 2013 Global Retail E-Commerce Index. “Yet it falls short of the Index’s rankings because of its low Internet penetration and significant infrastructure constraints.”

In a market still dominated by domestic names, international retailers are steadily gaining traction in the bricks and mortar space

As such, the country’s retail market is currently in the midst of a major paradigm shift, and as smartphone adoption continues to pick up in the years and months ahead, international and domestic names will be quick to capitalise on the switch to digital. According to research put together by Gartner, the India eCommerce market will cross the $6bn mark in 2015, marking a 70 percent increase on 2014 revenue of $3.5bn. “Digital commerce is at a nascent stage in India. However, India is one of the fastest-growing eCommerce markets in Asia/Pacific,” said Praveen Sengar, Research Director at Gartner, in a statement. “The digital commerce platform market is maturing; incumbent vendors are investing in building out their commerce platforms, and those in adjacent areas, such as [research], order management and marketing – both through organic development and acquisition.”

Regardless, ecommerce still occupies a meager four percent of the country’s retail market and, despite the fanfare surrounding mobile shopping, less than five percent of digital transactions conducted via the platform. Yet the country’s digital credentials are measured in terms of potential, which is in rich supply. Interestingly, whereas the model for retail expansion in the western world was – and still very much is – bricks and mortar first and digital second, India’s case could mark an important development for the way in which the sector matures in developing markets.

Virtual shop fronts
Returning to Gap’s decision to set up shop in India and considering India’s wealth of digital potential, the decision to focus on physical stores seems a strange one. However, boosting a visible presence in the market is a critical part of building renown among uninitiated Indian consumers, and so its strategy could be likened to setting up a shop front of sorts, with the ultimate intention being gaining traction online. For western names to really capitalise on what is fast-emerging as a huge retail opportunity, consumers there must first resonate with the brand and see it as a shopping opportunity whether they be on the high street or online. Put another way, although India is seen the world over as the next frontier for digital retail, international names that might not be familiar to the 1.2bn population are today planting the seeds for growth.

Whereas in years passed bricks and mortar sales have been front and centre of the conventional retail strategy, increasingly – and particularly in India – major names are beginning to rely on digital offerings for the vast majority of their business. And though the country’s modernisation has seen retailers much like Gap set up flagship stores in some of the country’s key markets, clearly the real growth opportunity is in the digital space.

Underwater hotels are a dying breed

Posted on by Charlotte Gill

A traveller’s first thoughts at the words ‘luxury hotel’ usually don’t include scuba diving 21 feet through the ocean in order to get to the front door. But that’s exactly what greets guests arriving at Jules’ Undersea Lodge, the world’s first underwater hotel, which opened in Florida Keys in 1986.

A quick look at its visitor list suggests that it’s doing something right, with a score of celebrities including Toy Story’s Tim Allen and Canada’s former prime minister Pierre Trudeau having passed through its watertight doors. But the likelihood is that they’ve visited once, and once was enough. Underwater hotels are to wealthy adults what the newest dog chew is to a spoilt pedigree – a novelty to be momentarily appreciated and then ripped apart when the realisation dawns that it’s not all it’s cracked up to be.

But that still hasn’t stopped other underwater hotels from springing up across the ocean floor over the past few years – or at least trying to. The $1.8bn Atlantis Hotel in Dubai is 23 stories high but it still offers underwater suites, with floor-to-ceiling windows looking directly into the Ambassador Lagoon, for $8,800 per night. The hotel also houses Ossiano, Time Out’s Best Seafood Restaurant 2013 and 2014, which offers guests the same remarkable view into the lagoon while they dine. Conrad Rangali in the Maldives offers a similar experience at its Ithaa restaurant, which can be found 16 feet beneath the surface of the Indian Ocean – so it seems that these hoteliers have overlooked the fact guests might not want to admire the world’s finest fish on their plate while they’re simultaneously swimming past their windows.

Underwater hotels are to wealthy adults what the newest dog chew is to a spoilt pedigree

 

Grand intentions
All of this is provided that the plans actually make it to the reality stage. Despite the odd success, the majority of these projects seem to mysteriously fade away as soon as the world starts getting excited – but that’s no surprise, given their sheer outlandishness. Dubai was planning on adding a yet more impressive resort to its current hoard in the form of the futuristic, $550m cylinder-shaped undersea Hydropolis, originally due to open by the end of 2006. The project was then postponed to 2009 due to ‘technical issues’ – and as of 2013, it was still only twenty percent complete. The hotel was set to feature 220 suites (at a nightly price tag of around $5,500), along with a cinema educating guests about underwater life and a connecting subway to transport them to the hotel’s centre – a solution perhaps preferable to scuba diving, but apparently less realistic given the developers’ failure to follow through with it.

But developers clearly haven’t learnt their lesson: Fiji’s much anticipated bubble-shaped Poseidon Undersea Resort, on which construction began in 2001, was originally due for completion in 2008. It’s still not ready, and its developers recently announced that they were halting plans for a further six years. That means that its planned wedding chapel, private jet and weekly $15,000 price tag will have to wait a while – as will the 150,000 guests reported to be on its waiting list. Making an exciting promise is one thing, but turning it into reality is another. And it’s something that these developers are quite clearly struggling to do.

Polish firm Deep Ocean Technology is another example. In 2012 it announced that it would be building the world’s largest undersea pad yet – the Water Discus Hotel, once again in Dubai, was set to house 21 luxury underwater rooms within its UFO-like architecture. But not content with these plans alone, the firm then added an even more ambitious project to its repertoire: an eco-friendly hotel in the Great Barrier Reef. Unsurprisingly, both plans are still yet to actually materialise. And yet even more dubious are the plans for the Planet Ocean Underwater Hotel in Florida Keys: its website promises a hotel at $3,000 for a two night stay, which is already payable online – even though a specific location still hasn’t been identified for it. While that isn’t likely to do wonders in encouraging customer confidence, it also places a fairly substantial ring of doubt over its other claims, such as it being ‘reef-friendly’.

The Ossiano Fish Restaurant at the Atlantis Hotel, Dubai. The establishment was awarded Time Out's Best Seafood Restaurant in 2013 and 2014
The Ossiano Fish Restaurant at the Atlantis Hotel, Dubai. The establishment was awarded Time Out’s Best Seafood Restaurant in 2013 and 2014

Ecological impact
Such a promise isn’t unique to Planet Ocean. Naturally most of these hotels claim that they’re actually helping the eco-systems that they’re enforcing themselves upon: the Hydropolis promised to protect and revive interest in sea-life through its foundation programme, while Jules’ Lodge’s owner Ian Koblick claims that his resort “serves as an artificial reef”, adding on the website that “the flow of air to the Lodge constantly adds oxygen to the entire surrounding body of water, creating a symbiotic relationship between the technology of man and the beauty of nature.”

How reliable such claims are is debatable – hurling a man-made construction into the middle of the ocean is surely going to have some negative impact on marine life. This was precisely the concern of local dive operators when plans surfaced back in 2008 for Reefworld; a floating hotel in the Great Barrier Reef that claimed it would become the first ‘fully eco-friendly floating hotel’ in the world. If the assertions are anything like the plans themselves, however, they’re just empty words.

Plans crumbling
Alongside Jules’ Lodge, one of the few hotels which has actually turned its promises into reality, is the underwater Utter Inn in Sweden, located 1km away from the shore and 3m below the surface of Lake Mälaren. Guests can even get dinner delivered by the sculptor and artist who created it, Mikael Genberg. The downside is it only has one room (though admittedly a more affordable one, at $500 per night).

This brings to the fore the reality that ambitious underwater hotels with more than one or two rooms are a lot less easy to produce than their colourful websites and flamboyant pictures suggest. And even if extravagant plans for these luxury hotels do eventually materialise, it’s difficult to see who their demographic might be. The gimmicky feel of an underwater hotel could put off those looking for a luxury resort in the seven-star price bracket, while on the flipside these costs don’t make any of these resorts particularly affordable for families – the only people who might be genuinely excited by the prospect of surrounding themselves by fish for a week.

And if any of these aspects don’t put off potential customers, the fear of residing several feet below the surface of the water still might. Undersea dwellings of course put safety as a top priority: “The engineers at U.S. Submarines have incorporated many of the same safety systems found in tourist subs into the Poseidon Undersea Resort,” a spokesperson for Poseidon told The Daily Mail when Fiji’s project was still underway. “Tourist submarines carry approximately 1m passengers each year and have a perfect safety record, making them statistically the world’s safest form of transportation,” he added. An aquaphobic may not be so easily convinced, however.

Even if the idea does intrigue prospective guests enough to overcome potential fears and try it out, it’s hard to see the novelty lasting beyond the first stay. Of course we won’t know if that’s true until some of these grand plans materialise – but as with other crazes in the recent novelty travel movement (like Richard Branson’s Virgin Galactic, recently postponed once again), whether and when this actually happens still remains to be seen.

Top 5 tips for buying property in Portugal

Posted on by Charlotte Gill

Despite the obvious appeal of idyllic circumstances, it’s still important to step back and consider every aspect of moving to and buying in Portugal, before you jump in with both feet to make this beautiful country your new home.

There are a number of things that need to be thought about in detail when you are considering buying property, and it’s a good idea to define your ideas as soon as possible – this will reap you rewards later on as you avoid wasting both your and your estate agent’s time.

We also cannot stress more to buyers the importance of making sure they have what we refer to as the ‘Golden Three’ – a trustworthy, independent solicitor, a reliable estate agent who knows the area inside out, and a currency exchange specialist who understands the overseas property industry.

These contacts will be worth their weight in gold, because they will support you time and time again, even after you have made an offer on a property.

PortugalBuyingGuide.com’s top tips for buying in Portugal:

1. Why are you looking to buy property in Portugal?

Are you looking for a property as an investment or second income, or a new home for yourself and your family? Will this be a permanent home, somewhere to rent out, or somewhere that you will only visit for holidays?

2. Exactly what funds to do you have available?

How will you finance your property – through savings in cash, or a mortgage? If through a mortgage, how much deposit will you require? Will you need to release equity in the UK, or obtain a mortgage in Portugal? Once you have organised how you are going to finance it, when exactly will these funds be available? If you aren’t going to be able to buy property for a year, will your budget grow in line with rising property prices?

3. How much research have you actually completed on Portugal?

Once you have clarified the first points (and only then) you can start to research areas, types of properties and everything else you need to know to make that move. This has to come third, so you can ensure that you aren’t looking at properties that are beyond your budget and timescale.

4. Where exactly do you want to live?

We recommend taking a trip to your chosen corner (or corners) of Portugal, and before you go make a realistic list of everything you need for day-to-day living in the location, such as an expat community, hobbies, schools or anything else. This will help you to assess which areas are the best ones for you and your family.

5. When will you lock in your ‘Golden Three’?

Once you have set a realistic budget, know your ideal location and your funds are available, you can start looking in real time. To do this, we recommend seeking assistance from the ‘Golden Three’ – a trusted solicitor, estate agent and currency specialist.

PortugalBuyingGuide.com, part of the Overseas Guides Company, recently launched their second international office in Vilamoura in Portugal’s popular Algarve region. A joint venture with Smart Currency Exchange, the new office aims to offer advice and guidance on the ground for overseas buyers or investors looking to purchase property in Portugal.

Tel Aviv: one of the world’s best entrepreneurial destinations

Posted on by Charlotte Gill

As the sun sets slowly over the Mediterranean, one man holds a yoga pose while a couple of surfers gather in a group and stare out onto the horizon. This scene isn’t one from a must-see European destination; this is Tel Aviv – the cultural capital of Israel.

Despite being encircled by turmoil, the city – otherwise known as the White City because of its UNESCO listed Bauhaus architecture – is a burst of positivity, blocking out the conflict surrounding it. Founded in 1909 to the north of the walled Jaffa city, Tel Aviv – or Hill of Spring – sits along the eastern coast of the Mediterranean Sea. It was first established as Achuzat Bayit by merchants and its first Jewish settlement was in Neve Tzedek in 1887. According to UNESCO, the central area of The White City was constructed from the early 1930s until the 1950s, reflecting modern planning principles. The Bahaus buildings present today were designed by architects who were trained in Europe to create an architectural ensemble of the Modern Movement, UNESCO states.

Ranked one of the two most innovative cities in the world by The Wall Street Journal, Tel Aviv is also listed as one of the top three tourist destinations by Lonely Planet. Nestled in a country that is less than 70 years old on the edge of the Mediterranean, it is a young city full of bright minds eager to inaugurate ideas for the outside world. With certain vitality about the place, people do not merely talk about their dreams, but make sure they’re transformed into a reality. It’s the new city that never sleeps.

Tel Aviv is currently ranked the second most successful start-up hub in the world behind Silicon Valley

Boasting more start-up companies per capita than anywhere else in the world, the city of more than 400,000 people is competing with major hubs on the tech start-up scene, such as Berlin and Moscow. Dubbed the ‘start-up nation’, Tel Aviv is currently ranked the second most successful startup hub in the world behind Silicon Valley in San Francisco. Young companies such as Get Taxi and Waze App are just two of more than 5,000 young businesses with a comfortable presence in Tel Aviv. Waze – an Israeli social mapping company which updates its service in real time by incorporating users’ driving times and other feedback on accidents and traffic jams – was bought by Google for $1.3bn last year, according to The Guardian. Such companies are taking advantage of city-sponsored local and national policy, municipal tax breaks, venture capital, seed funds and accelerators, co-working spaces and free Wi-Fi.

Less than five hours from London, and with more than 300 days of sunshine a year, more and more entrepreneurs and start-up owners are making time to travel to Tel Aviv – to set up a company or to observe the business climate there. The strong sense of success and youthful vibrancy is giving way to a plethora of cultural attractions – from the contemporary Bauhaus architecture in the city centre to the art and design in Neve Tzedek, the cuisine in Florentine and the energy of the business people on Rothschild Boulevard. Here, workers sit atop bar stools at coffee shops placed precariously in the middle of the road, taking full advantage of the free Wi-Fi found throughout the city.

HaBima square and its sculptures can be admired from the sunken steps while The Tel Aviv Museum of Art or the regular art markets of the Nahalat Benyamin also provide for great viewing.

Cycling can lead the fascinated to Carmel Markets – a popular place for tourists but one that provides a mix of trinkets, exotic fruits and stunning jewellery. Although a little further away, the ancient fishing port of Jaffa is one not to be missed. Characterised by bustling markets and winding alleyways filled with hidden Turkish baths centuries old, Jaffa is one of the oldest ports in the world, even making it into the story of Jonah and the Whale in the bible.

Despite the negativity generated by the media, Tel Aviv is certainly revelling in joie de vivre and vibrancy. With innovation booming and startups developing at an exceptional rate, the city is making a name for itself in light of its exceptional business and tourism attractions.

STAY

Alma Hotel and Lounge, 23 Yavne Street
Located in the middle of all the hustle and bustle on the corner of Yavne and Rothschild Boulevard, Alma Hotel is a five minute walk from Neve Tzedek.

Brown TLV Urban Hotel, 25 Kalischer Street
This hotel sits within the heart of Tel Aviv’s urban scene, ideal for the seasoned business traveller wanting to explore the plethora of culture on offer.

The Rothschild Hotel, 96 Rothschild Boulevard
In addition to being incredibly central, the Rothschild Hotel has a historical aspect by paying homage to Baron Edmond de Rothschild – the very first recorded Hebrew startup entrepreneur.

Royal Beach Tel Aviv, 19 Hayarkon Street
Located on the boulevard that kisses the coastline, this hotel has sweeping views of the Mediterranean despite being a little further out from the city centre.

EAT AND DRINK

Abu Hassan, 1 Dolphin Street
Very-well known for its incredible hummus and located in Jaffa, the short taxi ride to Abu Hassan will be absolutely worth the local dining experience.

Delicatessen, 79/81 Yehuda Halevi Street
For those wanting to try Middle Eastern-style shakshuka, look no further than Delicatessen. The coffee is near perfect and the addition of a deli for cheese, olives and meats is convenient.

Brasserie, 70 Ibn Gabriol
Although it is constantly busy, Brasserie’s French-inspired food and stunning art decor is a must when visiting the city. You might just think you’re in Paris instead.

Messa, 19 Haarbaa Street
Messa’s menu provides a touch of French and Italian with a Mediterranean–Middle Eastern haute cuisine. Be impressed by the white-on-white dining room and black-on-black bar.

LEARN THE LANGUAGE

Shalom – Hello
Slih’a – Excuse me
Todah – Thanks
Bevakasha – Please
Erev Tov – Good Evening
Ma Nishma – How are you?

Walking in a winter wonderland: the best winter breaks

Posted on by Charlotte Gill

Laura French looks at the best winter breaks around the world – from the wonders of one of natures most inspiring light shows, through to sporting ways to warm up.

The Northern Lights

Brightening the dark winter days is one of the earth’s most spectacular natural phenomenons – the northern lights. Multi-coloured swathes of vivid green, purple and red form a blanket across the sky as the sun’s atomic particles shoot down onto the earth’s surface and gather around the poles.

Canada, Alaska, Iceland and northern Scandinavia are all great places to head to to see them, especially in October, November, February and March. The aurora is best seen from remote places so hiring a car is advisable. Other options include getting a sleeper train from Stockholm to Abisko Turiststation or taking a chairlift up to the 3,000 foot high Aurora Sky Station (both in northern Sweden).

For those in search of a full tour, Norway offers daily boat trips on its fleet of Huritgruten ships, lasting as long 45 days.

Alongside the aurora, Lapland is well worth a visit in itself, with activities like husky sledding, reindeer racing and snowmobiling all available. Northern Scandinavia, characterised by the Sami people, is also home to a fascinating culture (alongside Santa and his elves, of course).

Head to the Ice Hotel in the Swedish village of Jukkasjärvi, 17km from Kiruna, to experience life in an igloo – guests can try their hand at ice sculpting and sample food from the ‘ice menu’.

Tobogganing

Big Pintenfritz
A man speeds down the ‘Big Pintenfritz’ in the Bernese Alps. It is the world’s longest toboggan run at 15km

For those on the hunt for an active getaway that fuses natural beauty with adrenalin-pumping activity, tobogganing can be one of the most exciting winter activities out there. And the Swiss Alps, surrounded by stunning snowscapes and towering alpine trees, offer some of the most spectacular runs in the world.

Among those is ‘Big Pintenfritz’, the longest run in Europe with a 15km route winding its way down from Faulhorn to Grindelwald. The run is surrounded by the iconic summits of Eiger, Mönch and Jungfrau – but reaching the 2,680m Faulhorn summit involves a 2.5 hour trek, pulling toboggans.

For a less strenuous route the 6km run through the Albula Pass, located between Preda and Bergün, is a great alternative and offers tobogganers a train service (the Glacier Express) to get to the top.

Skiing

People ski on a Meribel piste in the French Alps. The ski resort is set in the Tarentaise Valley, near the town of Moutiers
People ski on a Meribel piste in the French Alps. The ski resort is set in the Tarentaise Valley, near the town of Moutiers

There’s nothing like sipping a vin chaud or a glühwein from the comfort of your warm ski chalet after a long day on the slopes. Meribel, in the heart of the French Alps, is a good option for those seeking a big resort with lots of variety.

For a smaller, more peaceful resort try Kuhtai in the Austrian Tyrol – ideal for intermediate to advanced skiers, the high-altitude village offers luxury accommodation and great ski tours, just 40 minutes away from Innsbruck airport.

Outside of Europe, New Zealand is home to world-renowned skiing and snowboarding. Cardrona, located in the stunning south island near Queenstown, is an ideal choice for families and beginners, while Treble Cone just next to it appeals to the more hardcore.

North America, Japan, Chile and Argentina are also worthy options with a range of resorts accommodating all levels.

Winter city breaks

Cesky Krumlov
Cesky Krumlov in the Czech republic. The castle is a 13th-century UNESCO World Heritage site

Winter can bring out the best in cities.

Canada offers some particularly scenic and snowy cities – highlights include Vancouver, Quebec and Montreal’s charming Old Town. Santa Fe in the US looks especially magical in the winter months and gets around 200 inches of snow per year.

Old Cesky Krumlov, a 13th-century UNESCO World Heritage site in the Czech Republic, is also well worth a visit during winter with its snow-capped castle and quaint houses, while those looking for Christmas markets should head to any one of Germany’s major cities.

Other European cities such as Vienna, Copenhagen, Brussels and Krakow are also strong contenders on the Christmas scene.

Solving Bangalore’s problem of perpetual traffic gridlock

Posted on by Charlotte Gill

Bangalore, India’s third largest city and its answer to Silicon Valley, can take a considerable share of the credit for the nation’s economic revival in recent years. But city infrastructure has failed to keep pace with the rapid influx of residents to the state capital, and the result is an agonising and perpetual state of gridlock.

[T]he annual cost of congestion to local IT and business process outsourcing (BPO) companies to be a staggering $6.5bn every year

Ask any Bangalorean what life is like in the city and, though responses may vary, a recurring theme will quickly emerge: something must be done about the traffic. During peak hours, the average speed on main roads is a paltry 15km per hour, earning the city sixth place on IBM’s 2011 Commuter Pain Index – ahead even of its densely populated big sister, New Delhi. Bangalore has a road density of 8.2km per square km, compared with 21.6km per square km in the capital, yet vehicle density in the two cities is similar. According to the Bangalore City Traffic Police, vehicular population increases at a steady rate of 7-10 percent annually, meaning the majority of the city’s roads are now operating above capacity.

A rough estimation by Quartz found the annual cost of congestion to local IT and business process outsourcing (BPO) companies to be a staggering $6.5bn every year. This was calculated by multiplying the total number of employees in those industries (400,000) by the total time each employee spends on the road (470 hours per year), then multiplying that figure again by average hourly revenue per employee.

However, the financial costs of traffic are only part of the problem. Enduring constant traffic jams is stress-inducing, not to mention the impact congestion has on air quality in particularly busy areas. On one occasion, an ambulance carrying a two-year-old girl with respiratory problems took more than two hours to travel to a hospital just nine miles away. The girl was unfortunately pronounced dead on arrival and, while extreme, this situation is not as rare as one might hope.

Steps are being taken in an attempt to combat the problem. Ambulances have begun parking at central intersections during rush hour to give them a head start, and a motorcycle ambulance scheme was launched in August. Equipped with just a small medical kit and oxygen cylinder, the treatment they are able to provide is limited, but it’s a start.

In keeping with the city’s tech-orientated development, Android application BTP Traffic Info App gives users live traffic updates and allows them to submit their own reports of accidents and jams, among other services. Shree Manu, developer of the app, says that, while the city is starting to see infrastructure developments such as the widening of roads and construction of underpasses, continuously rising vehicle density is offsetting the progress.

Ambulances have begun parking at central intersections during rush hour to give them a head start

This alone is not enough. Urban planners must look to the example set by other cities to find a solution. London’s implementation of the £11.50 per day congestion charge in 2003 has reduced traffic levels by 10.2 percent, according to Transport for London (TfL) figures. Zipcar, a US-based car pooling service is growing in momentum, and a similar scheme in Bangalore, even one operating solely amongst colleagues, is an option. Bike schemes in more than 600 cities around the world have been hugely successful and further investments in public transport, still a work in progress, would encourage people to drive less. “Construction of the Metro is continuing and when it is completed, I think Bangalore traffic will come down by at least 30 or 40 percent,” added Manu.

There have, of course, been less effective initiatives over the years. In Mexico City, cars are limited to driving on certain days based on their license plate numbers. To circumvent the system, citizens purchased additional cars to accrue a variety of license plates and the scheme, in fact, had the opposite effect. Both congestion and air quality failed to improve.

Significant responsibility lies with the government and its urban planners. However, if Quartz’s findings are accurate, it could be in the best interest of the city’s biggest IT and BPO businesses to invest in infrastructure. As the saying goes: spend now, save later.

 

Top 10 tips for getting the most out of foreign estate agents

Posted on by Charlotte Gill

It’s really important to make sure that you find an estate agent who is legally sound, reliable, helpful and eager to service your needs.

You need to feel comfortable with the estate agency that you are dealing with and have confidence in their ability to find your perfect property – it’s so important to make sure that your chosen agent understands exactly what you are looking for.

Ten tips for choosing a foreign estate agent:

  • Make sure you choose an estate agent that is registered. There are a number of professional associations for each country and every estate agent must be registered to agree to follow a code of professional code of practice.
  • Choose an agency with experience of dealing with overseas buyers and with English speaking staff.
  • It can also be reassuring to find an estate agent that has been around for a while, who knows the area you are interested in very well and knows exactly what they need to do to ensure the search – and potentially the eventual purchase of your property – goes without a hitch.
  • Explain your requirements exactly and carefully, and be sure to let them know which of these are fixed and which ones you are prepared to be flexible about. Make sure you explain your budget clearly so that you do not waste time looking at properties that are out of your budget range. It may be a good idea to send them an email backing up everything that you have said to make sure that it is in writing. Having said this, it’s also good to be open to suggestions in case your estate agent thinks of something that you haven’t!
  • Ask questions about the local area and amenities – your estate agent should have a good working knowledge of the area they are working in and be able to offer you suitable information. They should also be able to offer effective aftercare services to help you settle into your new community, even after the final contact has been signed.
  • Make sure your finances (whether this be a mortgage or your own savings) are in order as soon as possible so that you can move quickly if necessary.
  • Plan your viewing trip carefully to ensure that you have time to view properties more than once if they appeal to you.
  • Give feedback after each viewing. Make sure you take detailed notes at each viewing so that you can provide as much detail on what you liked and didn’t like to the estate agent.
  • Always consult your agent about offers on properties – they should have a good idea of what sellers will be prepared to accept.
  • When the time comes to make an offer, make sure that you hire your own independent lawyer to oversee the purchase.

Angelos Koutsoudes is Head of The Overseas Guides Company, 0207 898 0549.