Wrong Turn For Andorra Skiing?

rprising move that has some left bewildered at thetrue. Soldeu for example, along with Pas de la Casa
strategy, Andorra has decided that now is the timeand Arinsal the main skiing areas, has a very good
to market herself as an upmarket European skichoice of hotels, ranging from 3 to 5 star, that would
holidays destination.not be out of place in any of Europe's prime ski
As consumers in Western Europe and the U.S. havedestination in the Alps and Pyrenees.
cut back on spending for the first time in a longIn the eighties Andorra was very much a budget
while, many manufacturers are bringing out cheaperdestination, and although a bordering country with
versions of popular brands to try to hold on to theirFrance it couldn't compete with French ski holidays.
customer base.Today it can say Andorra ski site - and say that the
And in the retail sector in Britain for example leadingbudget destination is now Bulgaria. The millions of
supermarket chains such as Tesco and Sainsbury'sEuros invested by Andorra was money well spent,
have promoted their economy ranges in recentand further upgrading of the country's infrastructure
months, while before the recession a lot ofcontinues, ensuring that new visitors will consider
marketing effort was put into own brand premiumvisiting again in future years, as well as new ones.
goods.Andorra is also a tax haven, and many Andorrans are
And stores that have always been seen as the topemployed in the banking and Andorra real estate
end of the market such as Marks And Spencer alongmarket, and with taxes going up around the world
with Waitrose have introduced economy ranges ofthe Andorra property for sale market will benefit, as
products for the first time to try and keep theirmore people consider taking up Andorra residency.
cusomers loyal during the economic downturn.The income tax rate is zero compared to up to 50
If ski holiday areas were British retail stores,per cent in some European countries, hence the
Waitrose would be the equivalent of Swiss skiattraction of residency in Andorra.
holidays.So maybe Andorra, with her strong financial and
So why is Andorra trying to change her image fromproperty markets, considers it can afford to market
a low cost ski holidays destination to an upmarketherself as a prime ski holidays destination in advance
one, when everyone else it appears is doing theof a true economic recovery, putting herself in front
reverse?of other areas considering doing the same when
Ski Holidaysconsumers start spending again, and stealing a march
Part of the reason could be that Andorra genuinelyon them. A risky strategy if that is the case as
feels it is no longer a budget ski holiday destination,consumers might well be more cautious with their
but can be seen by the skiing fraternity as a seriousmoney when things get better, having witnessed the
player having spent millions on improving itsglobal banking system on the verge of collapse in
infrastructure, and that it also good for a family visit.recent times.
And the view that Andorra has moved upmarket byAndorra can only hope that it's a step ahead of the
providing better facilities for holidaymakers is certainlygame, and not misjudged the market entirely.