Government’s £4m campaign to encourage ‘staycations’ a flop?

It seems that the Government’s attempt to encourage UK holiday makers to stay at home and holiday in the UK has not had the desired effect according to a recent poll by Holiday Extras. It suggested that 53% of those going on holiday prioritise a vacation abroad rather than one at home.

The campaign is focussed on the positive impact of staycations, and encourages holiday makers this year to take advantage of what the UK has to offer. This will play a part in boosting the UK’s tourism industry and hopefully have a positive effect on the economy. 

Following the global economic crisis whilst support is required in all economies including the UK’s, staycations yield positive results in terms of their effect on tourism, hospitality and the UK economy.

This campaign caused slight controversy as it discouraged holidaying abroad and for resorts that rely on tourism for their economy this could have detrimental effects. However it is the current economic situation that has caused this increased trend in holidaying at home and people wanting more value for their money. Simply the campaign suggests that adventure, activities and relaxing breaks can be found in the UK and that in fact “Holidays at home are GREAT”.

With major historic events as the Olympics and the Queens Diamond Jubilee happening very soon hopefully we don’t need to worry too much about drumming up popularity for staying in the UK!

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Relocation, Relocation, Relocation: Moving Abroad for Work

In the last few years there has been an unprecedented rise in professionals relocating to different continents, despite the international economic crisis.

So, why is this big move such a good idea?

With the exception of the obvious positives of working abroad such as being in a new and exciting city, improving your standard of living and, of course, the better weather there are significant advantages to working abroad.

Money is certainly an incentive; "nearly half of employees around the world would think about moving abroad for a pay rise". But the reasons to relocate go beyond just the financial aspects.
Undeniably the export and import of high calibre individuals has a positive effect on a country. Hong Kong is a particularly interesting case. A recent report by The Daily Telegraph has shown that due to its ageing population and low birth rate Hong Kong is in desperate need of workers of a wide range of skills and calibre: "The Government of Hong Kong is speeding up plans to lure skilled foreign workers as it predicts a massive labour shortage".This refers to a huge range of jobs, not just executive positions however it is still no less important to note. Other countries seeking skilled workers from abroad are Brazil, Mexico, Turkey, India and Russia. Although in many cases this could apply mostly to construction and engineering specialists it does play a significant part in the development of a country and its economy. In addition it supports other industries such as leisure, hospitality and tourism necessitating the need to import experienced executives in these sectors.
Employees with international experience is of value to potential employers, it provides a distinctive edge and can open up other possibilities and opportunities and improve an individual’s reputation and employability.

Despite the obvious pros it is not a decision to be taken lightly. It is certainly something you need be sure of, get support from family and get the family involved as it is likely they will be moving too. Seek practical help and importantly have a clear understanding of what you are moving to, not just the new job but also the language, cost of living, culture and laws of the new country. And of course it does not have to be permanent, as Colin Smith, the general counsel in Hong Kong for hedge fund managers Orchard Capital Partners Limited commented; "I often wonder why people don't take the opportunity to move abroad more often - if you don't like it you can always go back" .
The BBC news article gives tips on up heaving your life and how to make the process as smooth and stress-free as possible.

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Counter Offers

In Executive Search we see shocked companies making counter offers all the time. Counter Offers are to be expected, especially at Executive Level. No company wishes to lose their top players. Almost half of all employees recieve a counter offer when they hand in their resignation and as such throughout the interview process we always ask our candidates how they would react to a counter offer, as it is usually the case that a company will try to keep them, at least as an interim step. However, in our experience acceptance of a counter offer is never a good idea.

You will feel flattered or pressured (or both!) by your company pulling out all the stops to keep you. These are colleagues you will have known potentially for many years, some of them will be your friends, you will feel emotionally invested in accepting their counter offer or you will feel guilty if you do not. Remember why the new position appealed to you, and the opportunity you might be missing by taking a counter offer. When you accept a job offer after a lengthy interview process you go through the pyschological motions of leaving your current role. You will already have weighed up the pros and cons of leaving your current company and your resignation is the culmination of that decision.

The Counter Offer is usually a reactive step which sadly doesn't work. An increased salary or new title is usually your next promotion and pay rise early, and if you were worth this to your company they would have paid you this much and raised your profile without you having to quit first. Despite treating you very well in the immediate future your current company will consider you a risk and in our experience they are usually making contingency plans. It is easier and cheaper to keep you for more money for now. In 4 out of 5 cases, counter offered employees still leave within 12 months. It buys the company time ie: longer than your notice period to find a replacement. The company ultimately will view you as an untrustworthy employee. Your commitment will be in question and any company cutbacks are likely to begin with you. You will have to prove yourself again, as if you were a new employee.

If you decide to take the counter offer, you must remember that your resignation will not be forgotten. If you decide against the counter offer aim to leave on good terms and thank the company for the opportunities that they have offered you whilst in their employment. Tweet

Celebrating the Diamond Jubilee

February 6 marks the 60th anniversary of the Queen’s accession to the throne. We are certain that everyone is as excited about the Queens Jubilee as we are, and we think that there is plenty to be excited about! This is MSE's round up of the events surrounding the Jubilee, and our favourite? Not everything has even been announced yet!

To get you in the mood to celebrate the 60th anniversary of Elizabeth II on the throne, thats nearly longer than Queen Victoria, the previous longest serving monarch and (Elizabeths Great Grandma!) you might want to read 60 facts you never knew about our queen!

The Governmenthas announed an extra bank holiday for the nationwide celebration, planned for the first weekend in June to mark the Jubilee. Lord Mandelson said it would be a "truly historic occasion" which would allow the British people to show their "pride and affection" for The Queen.

The borough of Greenwich is set to recieve royal status. The honour recognises Greenwich's global significance as the home of the Prime Meridian, Greenwich Mean Time and a UNESCO World Heritage Site. There are at present just three Royal Boroughs: Kensington and Chelsea, Kingston, and Windsor and Maidenhead. All reflecting longstanding Royal associations.

Spice girls reforming? During an interview on the Australian TV show "Sunrise," Mel B dropped a major hint that the '90s girl group is reuniting for Queen Elizabeth II's Diamond Jubilee celebration.

The Duchess of Cornwall has challenged schoolchildren to come up with the modern equivalent of Coronation Chicken for the queen. Representatives from the top four winning schools will be invited to Buckingham Palace in June to see their recipes turned into canapes by royal chef Mark Flanagan.

Planting of 1 million trees across the UK by the Jubilee Woods project. The Woodland Trust – the UK’s leading woodland conservation charity – has set itself the ambitious task of planting the million trees to celebrate the Queen’s accession to the throne as part of a year of tree planting that will see six million planted across the UK in the trust’s Jubilee Woods project. Tweet

London’s Burning: International Reaction to the August Riot and its Potential Impact to Tourism

Whilst the dust finally settles on areas affected by the recent riots, the country still takes stock on what was one of the greatest civil disturbances in many years. The political fallout may be taking centre stage at the moment; however, it is the likely that the economic effects will have a far more tangible effect on people’s lives, not just in the short term, but in the long term too. The long term ramifications of the riots on Britain’s international image will undoubtedly have a great impact on Britain’s tourist industry, especially those centred in London which is of particular importance due to the 2012 Olympics. In times of economic hardship it is most likely that the recent riots will make the situation worse for many businesses that are directly and indirectly reliant on foreign tourists and investors. As pointed out in a previous blog post on Chinese tourism, foreign tourists from a wide variety of destinations are increasingly important to the British tourist industry, therefore what the riots did to London’s intentional reputation is a vital matter to understand.

Understanding, how the riots were digested abroad will allow us to gain a glimpse of what tourists now think about Britain’s capital city. One of the most striking things about the riots was the great wealth of images that it produced, from those of burning cars and shops to masked looters, and police inactivity in the face of wanton violence. In our modern media age we cannot underestimate the power of these images had on the global tourist community. London’s image as a safe, modern capital has been tarnished by the images of gangs looting and mugging at will, especially the terrible scenes of Asyraf Haziq being robbed by people supposedly offering him help. These scenes will have undoubtedly created a negative image of London worldwide, but especially in South-East Asia, which is an increasingly important economic region and therefore a future tourist generator.

Furthermore, if the images of the riots didn’t do enough harm the reaction to them in the world press and by many governments have cast further doubt over London’s security. The Russian tabloid Komsomolskaya Pravda painted a picture of London as boiling cauldron of seething ethnic tension, whilst the Brazilian television network Globo and the Chinese newspaper Renmin Ribao questioned London’s ability to deal with security during the Olympics. The USA, Austria, France, Germany, Malaysia and others all urged their citizens to be cautious in London and other affected areas, adding to Der Speigel’s comment that London looked more like Mogadishu than the modern financial centre people are so accustomed to.

Like the healing process, a true assessment of the economic impact of the UK riots on London’s hospitality and retail sectors will take a long time. Savills, the international real-estate advisor has said that the riots will not have an effect at all on property prices, which as so reliant on foreign money. However, any judgement is premature at the present stage, currently with the riots over are tourists and investors willing to risk missing out on some of the opportunities London has to offer. Nevertheless, London has deep wounds to heal and it almost certainly could not take another bout of bad publicity. With a host of European and world cities vying for the same money from the international elite, it has yet to be seen whether London will feel further effects from the riots.
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El Fin de El Bulli

The past weekend marked the closing of EL Bulli, Ferran Adria’s trendsetting dining experience and the World’s Best Restaurant for a record holding five times. However, this is not a moment to be sad, but a moment to celebrate Adria’s achievements of over two decades and the great culinary legacy that El Bulli has left the world.

In gastronomic terms, the popularity and status of El Bulli has firmly put molecular cuisine into a wider public consciousness. How many times have you been watching Masterchef or gone into a restaurant where a flavoured foam was a part of a dish? Adria’s exploding olives or pina colada flavoured cotton candy and other dishes like them have revolutionised the way we think about eating. Nevertheless, the legacy of El Bulli isn’t simply in the food it has brought us, but also the cultural changes it has played a part in. Adria’s work has ushered in a culture of experimentation that has liberated chefs from the shackles of convention. Who would have thought in 1987, when Andria first started to work at El Bulli, that science would be an accepted and even necessary element to cooking? Furthermore, Adria has helped to bring about a more open culture into gastronomy. His recipes are all online and he has also written a book chronicling a day at El Bulli, giving the reader a unique insight into its daily operation, with recipes attached. Moreover, El Bulli’s impact to Spain shouldn’t be understated either as it has helped to contribute to an image of a modern, dynamic democracy, far away from Franco’s dictatorship.

So before we start feeling sad for not sampling the ‘Rabbit with Hot Apple Jelly’ or the ‘Hot and Cold Trout Roe Tempura’ at El Bulli, let us raise a toast to a truly revolutionary restaurant and one of the world’s best chefs. Tweet

The Emergence of the Chinese Luxury Tourist

The explosive economic growth of China has inexorably changed the world we inhabit. In the last decade China experienced GDP development figures of around 10.5 percent per annum, which has facilitated its rise to become the world’s second largest economy. China, whose growth is being powered by its huge manufacturing sector, will also produce 100 million outbound tourists by 2020. Nevertheless, although Chinese products are usually cheaper than those made in other countries, its tourists are keener to spend as much as possible with $48 billion being spent in overseas destinations. These new tourists’, emanating from China’s burgeoning upper and middle classes are now forming crucial, modern elements in the luxury holiday and retail markets.
The effect of wealthy Chinese tourists on the global luxury and holiday markets is naturally great to the vast volumes of people coming. 2.4 million Chinese tourists visited Europe alone in 2010, with many more preferring to travel closer to home in Asia. Along with the increase in numbers there is also an increase in the overall consumption by Chinese tourists in Europe, with spending up by around 99 percent in 2010 when compared to the same period in 2009. Of course not every Chinese tourist is buying luxury items and staying in 5* hotels, but the impact of those who are, is certainly being felt. Retailers now see Chinese tourist as big spenders who are want to take their favourite brands back home. As a consequence luxury manufacturers and retailers are seeing a surge in demand largely driven by orders from the Chinese at home and abroad. Bain & Company has predicted that global luxury good sales will increase by 8 percent driven by renewed demand from department stores, in part due to the prevalence of the tourist market to those stores. Moreover, it is not just their favourite brands that Chinese consumers are eyeing up. The CBRE estimates that 10 percent of residential property sales in London this year will be conducted by buyers from mainland China.
However, it is not just luxury goods that are attracting the Chinese abroad. Exotic luxury destinations, once the haunts of mainly Western tourist are now seeing Chinese tourists as their main visitor demographic. The Maldives welcomed over 65,000 Chinese tourists out of a total of 392,000 visitors in the first 5 months of 2011, an increase of 56.7 percent from the same period in 2010. Sri Lanka too has also seen its number of Chinese visitors’ rise, with an increase of 83.8 percent in the first 6 months of 2011 compared to 2010.
Principally, the numbers and expenditure of Chinese tourists has a direct correlation with Chinese breakneck economic growth. As the country develops economically then more Chinese are becoming financially active, which is of great importance when considering China’s size. Furthermore, with Chinese growth still strong despite the financial crisis, many Chinese tourists are merely replacing those from other countries who have chosen to stay at home in order to tighten their belts. However, there are other factors outside the mere increase in income and demand that help to answer why increasing numbers of Chinese see the West as a place to travel and spend. Western destinations are far more reliable for luxury brands, both in terms of quality and price. Chinese import tariffs are considerably high on imported luxury goods, which has meant a flourishing counterfeit market, as demonstrated by the recent fake Apple store. Overall, the change in market will have a considerable impact in how hospitality and retail businesses are run if they want to attract this lucrative marketing stream. Tweet