NEW ZEALAND’S E-MAG FOR ENTREPRENEURS AND BUSINESS OWNERS
May 2016
10 QUESTIONS
with Hamish Acland Founder of Mons Royale
Lessons from #thatwanakatree The 4 P’s of leadership A Quiet Revolution Funding? Don’t ignore your competition And more! www.nzentrepreneur.co.nz
CONTENTS
ABOUT / Short and sharp, New Zealand Entrepreneur is a free e-magazine delivering thought provoking and enlightening articles, industry news and information to forward-thinking entrepreneurs.
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From the Editor
EDITOR / Richard Liew ART DIRECTOR / Jodi Olsson
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What Entrepreneurs Can Learn From #thatwanakatree
GROUP EDITOR / Colin Kennedy CHIEF FINANCIAL OFFICER / Alastair Noble CONTENT ENQUIRIES /
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10 Questions with Hamish Acland
Phone Richard on 021 994 136 or email richardl@espiremedia.com ADVERTISING ENQUIRIES /
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Working on a Big Idea?
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The 4 P’s of Business Leadership
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Indonesia a Foodies Paradise for Kiwi Food and Beverage Entrepreneurs
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No such thing as ‘No Competition’
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A Quiet Revolution
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Jennifer on 0274 398 100 or email jenniferl@espiremedia.com WEBSITE / nzentrepreneur.co.nz
ISSN 2253-5683 NZ Entrepreneur is a GREEN MAG created and distributed without the use of paper so it’s environmentally friendly. Please think before you print. Thank you!
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EDITORIAL
#thatwanakatree. In ‘real person language, this hashtag represents the world famous lone willow tree that grows in the south western corner of the stunning Lake Wanaka, in New Zealand’s Central Otago region. Some say it’s New Zealand’s most photographed tree (check it out here or watch TVNZ’s feature on Seven Sharp here).
In reality, while we’ve used Wanaka as a focal point for this issue, we could just as easily substitute in any number of our other awesome New Zealand towns or cities - each unique, beautiful and buzzing in their own way.
While by virtue of population there may seem to be more entrepreneurs in our main centres, we So what’s #thatwanakatree got need to remember that the entrepreneurial spirit to do with entrepreneurship? is certainly not confined Well, some of you will know to our largest, busiest or that we recently relocated oldest cities. Somewhere the headquarters of NZ Entrepreneur from Auckland to in a ‘small town’ near you, Wanaka. And as this is my first enterprising Kiwis are issue back in the Editor’s seat, doing awesome stuff. this issue draws inspiration from this transition.
Richard Liew
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ENTREPRENEURSHIP
Photo: Michelle Maria
What Entrepreneurs Can Learn From #thatwanakatree BY Richard Liew
WHEN I FIRST SAW the lone Wanaka willow tree, three thoughts popped into my mind, almost simultaneously. The first was, “Wow, how beautiful.” The second was, “How is this thing still alive?” And the third was, “How sad!” And when I thought about it I realised that this is pretty much exactly the way society looks at entrepreneurs. At first, from the outside, entrepreneurship may look glamorous and exciting. “Wow,” we think, “look at
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them… out there, doing it… how amazing!” Then, when you scratch a little deeper and look behind the facade to see what the entrepreneur has really gone through, you think “Jeez, I can’t believe they’re still standing!” And finally, when you realise that often they’re still standing because the only alternative is financial, emotional and/or mental ruin, you think, “How sad!” So to me #thatwanakatree is a fantastic metaphor for the spirit of the entrepreneur.
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Here’s why.
It didn’t start off that way.
It shouldn’t exist.
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Photo: Richard Liew
There’s a reason why it’s Believe it or not, apparently this known as “the lone Wanaka tree”. It’s alone! That is to say, amazing tree actually started most sensible trees are smart off as a fence post some 70 enough to know they have odd years ago. Just one part no right to expect to live out of a fence to prevent livestock there in the lake. Collective wandering. It didn’t start off tree wisdom says, “Well for a as an awe inspiring, world famous subject of photographic start you’re fence post. Who are you to think you could be geekdom - it had to work at it! a willow tree? And besides, it From humble beginnings to world fame… it had to fight for is far safer to grow here on the bank, safe within the surrounds survival every step of the way. of all the other trees. Venturing It’s ‘overnight success’ took into the lake is a fool’s game decades to achieve. and you are sure to drown. In full view of all the other trees, no less! That is why there are no trees in the lake.”
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It does exist Against all odds, it gave it a crack anyway. “Screw you,” says #thatwanakatree, “I know I’m just a fence post and that trees can only grow safely on the bank with all the other trees. But you only live once, pain is beauty, and glory is forever. So I’m going to give it a crack and whether I make it or not, the other trees will remember me as the one who dared to try, for better or worse. And when I do succeed, I will create wealth and happiness that will benefit many, thus inspiring future generations of fence posts and trees to advance our species beyond the banks, into the lake where once we feared to venture.”
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Photo: Graeme Scott
OK I’ll admit that may be taking the analogy a little too far. So let’s bring it back to more pragmatic terms. Who knows how many tourists #thatwanakatree has helped attract to Wanaka over the years? Who knows how many dollars those visitors may have spent with local businesses while they were here? Who knows the wealth created purely because one ordinary fence post was too stubborn to accept it’s lot, and instead set out to fulfill it’s potential as a willow tree no matter the circumstances.
Depending on how you look at it, #thatwanakatree is either a stark warning of how lonely, vulnerable and dangerous ‘going out on your own’ can be. Or it is an illustration of how beautiful, inspiring and rewarding it can be when you dare to venture out, and use the cold waters that would drown you, to instead feed, nurture and grow you. Regardless of where you live, strive to be a ‘lone willow tree’ for your
town, neighbourhood or community. And seek out other lone willows to inspire you. They might actually be a willow tree, but most likely they’ll be a landmark, person, group or local legend that stands for optimism, strength and bravery. Seek them out. Get to know them. Reflect on what they can teach you and use them as motivation to venture out into your own lake, whatever it may be. ■
Richard Liew, founder of NZ Entrepreneur and Espire Media - www.espiremedia.com
Don’t hesitate for a second if you have a course that you feel will significantly benefit you and your business. Tim Alpe Chief JUCY-fier (aka CEO) - JUCY
PMBS2016NZE
Applications are open from 16 May to 27 June 2016. Find out more and apply at mbie.govt.nz/pmbs
INTERVIEW
10 QUESTIONS with
Hamish Acland of
MonsRoyale 10 • www.nzentrepreneur.co.nz
IN 2006, AFTER YEARS of living out of a bag while travelling the world on the pro freeskiing circuit, Wanaka’s Hamish Acland wondered why his thermal underlayers could not be as fashionable as they were functional. Three years later, Hamish and his now wife and co-
founder Hannah shipped the first orders of Mons Royale merino wool performance wear and the brand is now stocked in over 400 retail outlets worldwide and is even worn by the NZ Olympic team. Splitting his time between offices in Switzerland and Wanaka, we asked Hamish to share his story.
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NZE: What’s the story behind Mons Royale, how did you come up with the idea and how did you get it started? As a professional skier, I travelled the world out of a ski bag and I noticed that I wouldn’t want to wear the merino base layer that I had at the time other than on the mountain. This led to the idea of creating a brand that designed technical products that could be worn as easily on the mountain as off. It seems obvious now but at the time, the outdoor industry was all about making everything look like it was for climbing Everest. I wrote what you might call a brand blueprint, and how the brand would develop over the first years. Focusing on the gap in the market and how to differentiate itself against what was an established category. At the end of 2008, I had developed samples, and had sold into NZ retailers. It was then I met Hannah Aubrey,
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my now wife, Hannah was just back from a three-year stint in New York at an idea led innovation company. We headed to the ISPO trade show to present the line and while there realised that the original translation wasn’t quite right, so we stalled production and Hannah re-designed all of the graphics and identity in a week. In 2009 we shipped the first orders to I think five retailers in that first winter, and we had enough stock for 30. So when we got a shop calling, wondering if we had stock, we easily said yes. We had pretty good sales for a year one and through my ski sponsor Volkl my team manager introduced me to a Swiss Retailer and Distributor and we shipped our end of line to his two stores. It sounds lucky but we already had both German and French translation on the packaging and by the next ISPO Trade Show in Munich we picked up two more distributors and we were on a roll.
NZE:And what made you think you could build a successful business? Back in 2005 I set up the Free Ski Open NZ, the event attracted the world’s best skiers and sponsors saw the potential to make it viable. Interestingly the event was not my own but for a not for profit ‘freeskiing association’. I was extremely passionate about it, made next to nothing and it didn’t really help my ski career but it taught me a huge amount. It also proved the advantages of running a global business from New Zealand. My family has also played
a big part. Looking back I grew up in an entrepreneurial environment, I come from that sort of family where you are always looking at designing a better way, solving a problem. The action sports community had a big effect, it was really emerging through my teens, and I saw first hand the emergence of snowboarding, the industry and opportunity that came with it, then energy drinks like Red Bull. As I was growing up it in through my skiing, it seemed very natural that I would go into business within the industry.
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NZE: Looking back, if you could go through the start up process all over again, what three things would you do differently?
of increasing revenue, but more to truly understand the markets we export to.
I would have invested more resource into social media, that would have been when there were less brands active in the space and the return on investment was exponentially far greater. Doing this we would have also gained better insights from the Mons Royale early adopter fan base. Which leads me to e-commerce... we should have done more in this channel to simply learn more about our fans. Which is similar to my final point, I wish we had set up with our own office or people on the ground in Europe from the start. I don’t mean this from the perspective
NZE: What skills as a professional freeskier, do you believe have served you as an entrepreneur?
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Firstly, to be single-mindedly focused on the goal and secondly, my professional career was more ‘glorified ski bum’. I travelled the world sleeping on couches living out of a ski bag, I competed against guys that were backed with bigger budgets, slept in nicer hotel rooms and were superstars of their countries. Which is pretty similar to starting Mons Royale - the cool thing is many of my friend’s couches had turned into beds.
NZE: Do you think Kiwi’s have a healthy attitude towards wealth and the creation of wealth? Why or why not?
NZE: What does success mean to you? Has what it means to you changed since you first started the business?
I had to google the definition of wealth, it gives two definitions: ‘an abundance of valuable possessions or money’ and secondly ‘a plentiful supply of a particular desirable thing’. I like the second definition because it could mean the amount of days you spend on the mountain not the size of your flat screen TV. It seems Kiwis are doing more activities than ever, so I think we have a good attitude to wealth in that respect.
It is getting to that point that you have blurred the lines between business and passion. I read somewhere that the founder of Rip Curl saw success when they were getting to create a film, with the best surfers and they knew they were inspiring people. Or something to that effect. To me it’s pretty rad to think that through a business you can create for the bottom line, have people work to a common goal, be creative and inspire.
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It is also one of the most satisfying things you can do which I think is the best way to balance it. One way I cope with it is having a daily routine, part of that is starting work before the majority which gives me the feeling of being on the front foot. And now just reminding myself of how many ‘stressful’ scenarios I have gotten through. Actually looking back, I think probably had full panic attacks. I remember puking in the shower once just feeling so shit. One thing that I did do is read so many business books - everything I could to give me knowledge that I could put into action.
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NZE: Starting and building a business is the one of the most stressful things most people are ever faced with - what do you do to cope with stress?
One way I cope with [stress] is having a daily routine, part of that is starting work before the majority which gives me the feeling of being on the front foot.
NZE: New Zealand’s international success and wealth to date has largely been built on the back of our agricultural sector. Apart from agriculture, where do you think our next best competitive advantage lies is if we are to carve out a niche for ourselves in the years ahead? I am not too sure really. I guess we will be successful if we follow our passions not just go where we think the next quick win is.
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How successful probably comes down to their resilience and maybe if they started young enough to give themselves time to fail more often and at lower risk
NZE: Do you believe anyone can be a successful entrepreneur? Why or Why not? If a person wants to be an entrepreneur, yes. How successful probably comes down to their resilience and maybe if they started young enough to give themselves time to fail more often and at lower risk. I think we need students rolling the dice straight out of school and doing it multiple times so by the time they have hit say thirty years old, they have the experience to get it right with the right idea.
NZE: What advice would you give to readers who might have an idea but aren’t sure how to turn it into a business? Someone will have tried to do your idea or something somewhat similar, study as many of them as possible and find out how they made their first steps. It’s not to say you should follow them, but there is often far more information out there than we expect. ■
Visit www.monsroyale.co.nz or www.facebook.com/monsroyale to find out more about Mons Royale
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BIG IDEAS CAN TAKE on a life of their own. They demand a lot of attention – filling your days and keeping you up at night. They can also soak up a lot of money. That’s where the new Research and Development (R&D) Loss Tax Credit could help. We all know that Kiwis have a huge amount of knowhow, motivation, creativity and determination. Taking a good idea from a rough sketch to a real thing takes more than just time and energy. It also takes a significant investment.
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That’s why the Government has introduced the R&D Loss Tax Credit – to help improve your cash flow. That way you’ll have money at hand to keep working on your big idea when you need it most. Once you’ve got something to sell, and have money coming in, your success will make all of your hard work worthwhile.
You are not alone in wanting to succeed. Innovation is crucial to New Zealand. New knowledge gained as the result of research and developmenwwt can lead to new processes, new materials and new jobs. The new products and devices that currently live in your imagination could give us a competitive edge and boost the economy. That’s why Government is committed to encouraging research and development. And it all starts with people like you, making big ideas happen.
CASH TO KEEP CREATING The new R&D Loss Tax Credit aims to ease the financial challenge for innovative companies like yours by helping you to access some of your tax losses sooner.
Eligible companies could get up to 28% of their tax losses from research and development returned to them. Having access to this money could be a real lifeline for businesses, helping them to continue getting their big ideas ready for the world.
DON’T MISS OUT, FIND OUT IF YOU’RE ELIGIBLE TODAY If your company meets eligibility criteria, you can start claiming back tax losses from the 2015/16 tax year. To find out if your company is eligible, and apply online now, visit www.ird.govt.nz/rd-credit. If you think your company might be eligible, don’t delay. To receive a R&D Loss Tax Credit, you must submit your application to Inland Revenue before your income tax filing due date for the 2015/16 tax year. Make sure you don’t miss out. Go online now to find out if you’re eligible. ■
LEADERSHIP
The 4 P’s of Business Leadership Purpose, Persistence, Patience, Productivity By Sandy Geyer
THE 4 P’S OF marketing are a well-known recipe for a successful marketing plan. Most of us know these to be ‘Product, Price, Promotion and Place’. There are also 4 P’s for successful business leadership. They are as follows;
Purpose: We have to know exactly where we are headed and why to get there in the straightest line possible- we find these answers by clarifying our purpose. Our purpose is unique to us; it seldom comes down to a financial gain in isolation, but almost always needs to be funded from a financial gain. Therefore, I stress the necessity of placing a specific value to our purpose so that we build our businesses to create the funding we need. If we do this, a focused plan of action will follow more naturally.
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Persistence: Being an entrepreneur can be very lonely and we have to learn to carry on, often in isolation, regardless of the feedback we may or may not be receiving. For many of us, there is no one waiting for us to arrive at the office at 8am and only expecting us to leave at 5pm. We have to find our persistence within, often besieged by daily domestic demands. There are ways to deal with this. Whilst I love working from home, I often pack my laptop into my handbag and head to a coffee shop where I can work with focus for a couple of hours. Whilst the noise level around me is often high, it’s less distracting than the pets, family and washing at home. I also find that going to a place where I don’t have wireless helps me to stay off distractions like email and social media whilst I push through the creative process of what I do.
Productivity: This is everything.
Patience: This is a hard one in a world of instant gratification – and possibly the hardest one for our younger entrepreneurs to accept. I have learned, and I keep learning over with every new project that the world is not in the same hurry that I am. I can imagine the universe is looking down at me saying, “So you want that do you? Well, let’s just make sure of that”, as it withholds any form of positive feedback until it becomes convinced that I am serious about what I want to create or make happen. To be patiently persistent is one of the biggest challenges for my personality type - but I have had to develop this skill in the entrepreneurial world. Having an action plan around dealing effectively with the physical and mental effects of frustration is very helpful.
No one gets to where they are going as a business leader, or business builder or business navigator without a massive amount of action. As business leaders with a purpose we will be naturally driven but like everyone else we only get 24 hours in every day, and we have many other demands on our time. Productivity is key to our success as it lies at the heart of our expertise as a business leader. But be warned - massive productivity often means massive failure. One of the most common and devastating mistakes the less successful EnQ ‘species’ of entrepreneurs I identify in Path of the Lion, make is to avoid failure at all costs. And it does cost - in doing so they also avoid the successes that lie right beyond the failures. Being productive does not mean getting everything right, it means finding out the ways that don’t work faster than the competition and in time to realise the financial gains needed for our purpose. ■
Sandy Geyer is an entrepreneur and mentor and teaches the principles of entrepreneurial intelligence (EnQ), to entrepreneurs and students in New Zealand, Australia and South Africa. Visit Sandy’s website at www.enqpractice.com
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Ecosystem
IndonesiaaFoodies ParadiseforKiwi FoodandBeverage Entrepreneurs Left to right standing: Sachie Nomura, Adam McConnochie (Asia New Zealand Foundation), Nick Hammond, Anomali Coffee founder Irvan Helmi, NZTE’s Richard Dunsheath, Morgan Maw. Left to right seated: Lucy Bennetto, Florence Van Dyke, Alex Worker and Indradi Soemardjan at Anomali Coffee.
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SIX NEW ZEALAND FOOD and beverage entrepreneurs toured the markets of Jakarta, met with ‘visionary’ business leaders and climbed an active volcano on an Asia New Zealand Foundation tour to Indonesia last month. The tour was part of the ASEAN Young Business Leaders Initiative (ASEAN YBLI), managed by the
Foundation for New Zealand’s Ministry of Foreign Affairs and Trade. The group of Kiwi food innovators met with Indonesian counterparts in the F&B sector and visited wet markets, high-end supermarkets, takeaway chains, food processing companies, as well as chocolate, coffee and spice companies.
The innovators were: • Lucy Bennetto, Christchurch, founder, Bennetto Natural Foods • Nick Hammond, Auckland, chief operating officer, Spring Sheep Dairy • Morgan Maw, Auckland, founder, Bonnie Goods
• Sachie Nomura, Auckland, founder, Sachie’s Kitchen
• Florence Van Dyke, Nelson, head of exports and sales, CHIA • Alex Worker, Beijing, co-founder, Hatchery The busy six-day tour started with New Zealand’s ambassador to Indonesia Trevor Matheson and Trade Commissioner Tim Anderson briefing the YBLI group on New Zealand’s relationship with Indonesia. From there it was out into the streets of Jakarta to explore the markets and food establishments the city has to offer.
Instrumental in making the trip a success were three Indonesian business leaders who the Foundation brought to New Zealand in previous years as part of the ASEAN YBLI: café owner and coffee exporter Indi Soemardjan (Founder PT Javanero), owner and founder of the world’s largest kebab chain Hendy Setiono (CEO, Baba Rafi); and
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Group member Lucy Bennetto (founder of Bennetto Natural Foods) says she was most inspired by the contacts the group made in Indonesia and stories they told about sustainability and traceability.
On the second day of the trip, the six entrepreneurs attended New Zealand Trade and Enterprise’s Food Connection event where they had the opportunity to present their products to some 400 local distributers and get insight into how their products might perform in the Indonesian market.
“We met one inspiring visionary after another, so it was a continuous high in that respect. All the young leaders we met had such a passion for their products and their business; it was pretty uplifting.”
ASEAN YBLI project manager Adam McConnochie said, “The Food Connection event gave the group a great opportunity to market their products to the likes of hotels and supermarkets,
chocolatier and coffee retailer Irvan Helmi (Director and cofounder of PT Anomali Coffee and PT Rosso Bianco).
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both testing the market and getting feedback on their products.” Despite the busy schedule, the trip was not all work and no play. On the fifth day of the trip, the group rose at 12.30am to make the three-hour drive from Indonesia’s second-largest city Surabaya to watch the sun rise over Mt Bromo. After traversing the last leg of the journey by jeep over dirt roads, the group mounted horses and climbed an active volcano neighbouring Mount Bromo. “Waking up at 12.30am to go on a tour was out of my comfort zone (as I love my sleep),” says group member Sachie Nomura, founder of Sachie’s Kitchen. “However, in business, sometimes we have to go out of our comfort zones to create success.”
Morgan Maw, Founder of Bonnie Goods, says that the value of the trip came from not only the inspirational people they met in Indonesia but also from within the group itself. “I felt that spending an intensive week together created an almost incubatorlike environment where we could converse, collaborate on ideas and critique each other’s businesses.” Running since 2012, the ASEAN Young Business Leaders Initiative has brought more than 50 dynamic entrepreneurs and business leaders from Southeast Asia to New Zealand, building business connections and facilitating trade links. This is the third visit to Southeast Asia the Asia New Zealand Foundation has organised for New Zealand entrepreneurs. In 2015, a group of New Zealand technology entrepreneurs visited Thailand and Singapore, while a group of social entrepreneurs visited the Philippines. ■
Find out more about the Asia New Zealand Foundation at www.asianz.org.nz
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Investment Corner
No such thing as ‘No Competition’ Acknowledge your competition if you want to raise capital
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You can’t look at the competition and say you’re going to do it better. You have to look at the competition and say you’re going to do it differently.
MANY ENTREPRENEURS ARE loath to talk about competition when pitching their company to investors. The reasoning goes: “My product is unlike anything else on the market, therefore I don’t have competition”. However, the better way to think is: “My product is unlike anything else on the market, but many alternative options still exist for customers.” The second way of thinking is the way a smart investor will look at things, so it’s also the way the entrepreneur should pitch their venture.
– Steve Jobs
This is true even if your product is genuinely novel. Back To The Future Part II was set in the distant, faraway year of 2015, and in this movie we were promised fantastical inventions such as flying cars. Imagine, for a moment, that you are the one to invent a flying car, and what’s more: your patents are rock-solid, no-one else in the world has invented anything else like it, and you’re ready to start producing and selling them. What do you think - does your flying car have any competition?
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I argue the answer is yes. Even if you produce the only flying car in the world, you still need to compete with traditional groundbound cars in the market for personal transportation.
in a different way. A great pitch document will show which competitors are most important within the target market(s) you have identified and point out how your venture is different.
Your flying car may be faster and way, way cooler, but traditional cars will likely be much cheaper than your new invention, plus have the advantage that the public know how to drive them (at least until flying car drivers licenses become commonplace).
For high growth and early stage companies, I usually recommend naming your five to ten most similar competitors and how your business is different to each. It is also useful to compare your venture to the largest incumbents in the market, even if they are quite different from your company.
Also, other car manufacturers will not sit still, and you ought to anticipate how long it will be before they are able to develop a rival flying car of their own. Do not ignore competitors or assert that you have none. Competitors are competitors even if they target the market
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A grid table is my preferred format to present all this – competitors on one axis, differentiating factors on the other. Based on precedent investor presentations, common themes emerge from those who have successfully raised capital.
They differentiate themselves from their competition based on: • Features (Versatility? Convenience? Environmentally friendly? Easy to use?) • Price (Better value? Premium pricing? Different pricing model?) • Branding (Target customers? Marketing channels for your product?) • Development Progress (Are you closer to having a working product than others?) • Traction (Well-known users? Well-known partnerships? User uptake? Media exposure?) • Barriers to Entry (Intellectual property? r] Regulatory hurdles? Firstmover advantage?)
If directly naming each of your competitors is not desirable (such as your company not being particularly novel) or possible (such as naming competitors being prohibited by law), a fallback position is to use the same above list and list out your ‘competitive advantages’ in each field instead. It is a dangerous (but common) mistake to assume potential investors would prefer to hear that your company has no competition – in fact, nothing could be further from the truth. Investors will actually give you MORE credibility if you outline who your competitors are since it shows that you have thought carefully about the others fighting for a slice of the pie, and have a strategy in place to survive and thrive in their presence. ■
Nathan Rose is an experienced investment banker, and offers services in financial modelling, building pitch decks, and capital raising analysis for entrepreneurs and small business. Find out more at www.assembleadvisory.com
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Entrepreneur Profile
AQUIETREVOLUTION
In 2011 Aucklanders Matt & Kate Belcher revolted against the frantic pace of life in the city and escaped to the peace and tranquility of Glenorchy, at the head of Queenstown’s Lake Wakatipu. Entrepreneurship enabled them to do this and their cycle tour business Revolution Tours has now survived it’s first five southern winters, attracting tourists from all over the world. We asked Kate to tell us a bit about their inspiring story and what it’s like to be in business as a couple.
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Revolution Tours run a fully guided and supported luxury biking and walking tour, starting in Queenstown and finishing in Paradise. The tour comprises three days of cycling and one day of walking on the Routeburn Track with guests staying in historic lodge accommodation.
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NZE: Kate, can you please tell our readers a bit about Revolution Tours?
We aim to give clients a personalised, rural experience where everything is taken care of
NZE: What entrepreneurial experience did you have prior to starting Revolution Tours and how We aim to give clients a personalised, rural experience did the business come into being? where everything is taken care of- all clients have to do is turn up, ride their bike and have fun. If people feel they need a break from riding at any stage we have a support vehicle close by. We are based in Glenorchy, 50km north-west of Queenstown at the head of Lake Wakatipu. Our customers tend to be over 50’s, active, interesting people who enjoy cycling and tramping but want the creature comforts at the end of the day- hot tub, warm shower, a delicious hearty meal, a wine in front of a roaring fire.
Matt was a born entrepreneur, buying and selling Laser sailing dinghies as a twelveyear-old! In Auckland, he started an industrial abseiling business and ran that for three years before selling it to go travelling. Matt has a Diploma in Outdoor Recreation Leadership and coupled with our joint love of mountain biking and living in Queenstown, running a cycle tour company was a natural progression. We love Glenorchy/Paradise and introducing people to the area.
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• Finance for start-up: We started our business in 2011 in the wake of the Global Financial Crisis. Needless to say, the banks were less than enthusiastic about loaning us money to start a business. It was hugely frustrating having a great idea but getting knocked back. • Marketing: Our marketing budget is pretty small so we’ve had to get creative and inventive with our marketing and advertising. • Creating a work/life balance: Stepping back and taking time out has been a challenge especially as Revolution Tours is our baby. We’ve moved our business out of our house which has helped as I’m no longer surrounded by 30 odd bikes and gear.
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NZE: What have been your three biggest challenges in getting the business to where it is now?
Continually exceeding customer’s expectations is a huge achievement for us.
NZE: What have been the achievements you’re most proud of so far?
Continually exceeding customer’s expectations is a huge achievement for us. Most of our clientele are welltravelled people and when they feed back that our trip was the best they’ve ever experienced, it makes us quite proud. Matt was extremely proud of Kate for winning her Rural Women in business award last year.
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Most of our clientele are well-travelled people and when they feedback that our trip was the best they’ve ever experienced, it makes us quite proud.
NZE: You were a finalist and NZE: You live in Glenorchy, one of winner in the 2015 Enterprising Rural Women Awards. Can you tell the most beautiful parts of New Zealand and many people would us a bit about that? wish they could do the same. Was Rural Women New Zealand moving from Auckland a difficult (RWNZ) was established transition and do you have any over 90 years ago as a advice for others looking to set charitable, membershipup business in the Queenstown based organisation which Lakes District? supports people living in rural communities. Support comes in the form of advocacy, friendship, education & events. I won the ‘Stay, Play Rural’ category (Hospitality and Tourism) of the Enterprising Rural Women Awards 2015 the RWNZ Glenorchy branch encouraged me to enter and I was so chuffed to win. Having that support and encouragement from RWNZ meant so much and it was great to meet other rural business women. It was also an opportunity to take a step back and reflect on achievements over the last five years.
The transition was more difficult than I anticipated we really missed our family and friends but loved the lifestyle in Queenstown Lakes so were determined to make it work. Glenorchy is a very welcoming town and we got to know people pretty quickly. Fortunately, we have a steady stream of visitors from Auckland! Building professional relationships is very important here and it’s obviously a lot more casual (swap the power suit for a Swandri!). It’s more chats over a gumboot tea and a biscuit than power lunches.
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business and personal life NZE: Many experts believe starting a business as a couple is a recipe • Fight fair (don’t bring for disaster, as it can place a lot of personal issues into a pressure on relationships. What are business debate) the biggest challenges of running • No business talk in the the business as a couple and how bedroom do you deal with them? We were advised by quite a few people not to go into business together - that it would spell the end of our relationship. I approached a couple who ran a successful business together & asked them for pointers. (Thanks, Scott and Natasha Rice of Quantum Events!) They gave us invaluable tips that we still work by today. • Set a definite finish time so there’s a clear line between
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The biggest challenge of working together is that our brains work very differently. Matt has a very creative brain and loves to work in a hammock with the music blaring whereas I need a desk and complete silence. Letting go and letting someone do things a different way is challenging. Fortunately, that ‘someone’ is my partner, someone I trust implicitly, is completely invested and gives 110%.
NZE: Given everything you’ve learnt so far, what would your top three pieces of advice be for others thinking of quitting their jobs and starting their own business? NZE: What’s the goal for Revolution Tours over the next few years and what key challenges are you working on right now? We aim to continue to grow the cycle tour business for the summer months. We’re currently working on a winter tour due to high demand from returning customers. Fingers crossed, this will be launching in the next twelve months. One of the biggest challenges for the cycle tour business is convincing clients to come on a tour outside of March - we have some perfect cycling weather in November, December, Jan, Feb & April.
Clients feed off your enthusiasm so start a business that you love, something you would do even if you weren’t being paid for it. It does tend to consume your life so make sure the passion for your product is there. Do your research - is there a market for your product? Make sure people want to buy what you’re selling. When people tell you it is stressful, tiring and all encompassing, believe them! Surround yourself with business people you wish to be like - a great way to connect, build relationships and stay inspired. ■
Find out more about Revolution Tours at www.revolutiontours.co.nz and www.facebook.com/revolutiontours
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PARTING SHOT
“It is not the mountain we conquer, but ourselves.” -Sir Edmund Hillary
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