Andorra Ski Holidays Slip Up?

In a surprising move that has some left bewildered atchoice of hotels, ranging from 3 to 5 star, that would
the strategy, Andorra has decided that now is thenot be out of place in any of Europe's prime ski
time to market herself as an upmarket European skidestination in the Alps and Pyrenees.
holidays destination. As consumers in Western EuropeIn the eighties Andorra was very much a budget
and the U.S. have cut back on spending for the firstdestination, and although a bordering country with
time in a long while, many manufacturers are bringingFrance it couldn't compete with French ski holidays.
out cheaper versions of popular brands to try to holdToday it can and the low cost destination is now
on to their customer base.Bulgaria. The millions of Euros invested by Andorra
And in the retail sector in Britain for example leadingwas money well spent, and further upgrading of the
supermarket chains such as Tesco and Sainsbury'scountry's infrastructure continues, ensuring that new
have promoted their economy ranges in recentvisitors will consider visiting again in future years, as
months, while before the recession a lot ofwell as new ones.
marketing effort was put into own brand premiumAndorra is also a tax haven, and many Andorrans are
goods. And stores that have always been seen asemployed in the banking and Andorra real estate
the top end of the market such as Marks Andmarket, and with taxes going up around the world
Spencer along with Waitrose have introducedthe Andorra property for sale market will benefit, as
economy ranges of products for the first time to trymore people consider taking up Andorra residency.
and keep their cusomers loyal during the economicThe income tax rate is zero compared to up to 50
downturn.per cent in some European countries, hence the
If ski holiday areas were British retail stores,attraction of residency in Andorra.
Waitrose would be the equivalent of Swiss skiSo maybe Andorra, with her strong financial and
holidays. So why is Andorra trying to change herproperty markets, considers it can afford to market
image from a low cost ski holidays destination to anherself as a prime ski holidays destination in advance
upmarket one, when everyone else it appears isof a true economic recovery, putting herself in front
doing the reverse?of other areas considering doing the same when
Part of the reason could be that Andorra genuinelyconsumers start spending again, and stealing a march
feels it is no longer a budget ski holiday destination,on them. A risky strategy if that is the case as
but can be seen by the skiing fraternity as a seriousconsumers might well be more cautious with their
player having spent millions on improving itsmoney when things get better, having witnessed the
infrastructure, and that it also good for a family visit.global banking system on the verge of collapse in
And the view that Andorra has moved upmarket byrecent times.
providing better facilities for holidaymakers is certainlyAndorra can only hope that it's a step ahead of the
true. Soldeu for example, along with Pas de la Casagame, and not misjudged the market entirely.
and Arinsal the main skiing areas, has a very good