By By Al Edwards, Financial EditorCHRIS BLACKWELL the founder of Island Records is now seriously expanding his tourism resort properties in Jamaica and aiming them at visitors in search of a unique Jamaican experience far removed from the more traditional all-inclusives.
Mr. Blackwell owns and operates Goldeneye in Oracabessa, The Caves in Negril and Strawberry Hill in Irish Town in rural St. Andrew. He also markets Jakes in Calabash Bay. He is currently undergoing an expansion of his three properties. The expansion of Goldeneye is expected to come in at a cost of approximately US$50 million while the additions at the Caves should come in around US$10 million.
"I've always believed that the best boost for Jamaican tourism is to get people to buy a house or cottage here in that way visitors are investing in the country. It really makes sense as part of an overall plan where the property is being looked after when you are not there. If you want to rent it out while you are not there and so can derive a little income from it that operation can do that for you. I really do believe in this idea because when people buy a place say for instance at the Caves they are returning all the time and that cannot be bad for tourism in Jamaica. This concept is sustainable and is good for foreign exchange earnings. At Goldeneye we are developing a spa and a health centre and around that houses and cottages people can buy," said Mr. Blackwell.
LIGHTHOUSE
On the very western tip of Jamaica in Negril is a lighthouse. Mr. Blackwell aims to purchase that parcel of land and build a museum upon it. and make it accessible as a place to visit. He also plans to build a restaurant around the lighthouse and create an ambience that visitors can enjoy." The museum will host relics of maritime disasters. You can learn about the history of Jamaica from sunk ships. If we make it entertaining enough, people will enjoy the stories."
Mr. Blackwell believes that there should be more businesses that support tourism. "More bars, restaurants more clubs are needed to have a healthy scene otherwise if you are just going to a hotel room you are not really going to Jamaica."
THE ECONOMY OF JAMAICA
Mr. Blackwell's businesses takes him all over the world but how does he see the Jamaican economy today?
"I think it has been suffering for the last few years but it is now turning around. It is very encouraging to see all these people building hotels here, Riu, the Pinero Group, that is good to see. When that happens you have to ask , how do they protect their investment? They protect their investment by marketing Jamaica. Then the airports get improved the roads and services get a boost, people get employed. In the hotel industry you tend to find one person employed per room so if there 10,000 rooms to be built that is a nice number of jobs there.
Jamaica is very politically stable perhaps more so than a lot of countries in the region. It is not like Italy or someplace that prohibits businesses from operating smoothly because of the constant change of administrations. This country has had only a few leaders since the sixties- Bustamante, Manley, Shearer, Seaga, P.J Patterson. The spectre of violence has always haunted Jamaica but it seems to be abating.
THE MUSIC BUSINESS
Chris Blackwell has been instrumental in the careers of Bob Marley, U2, Grace Jones and the Cranberries. His company, Island Records redefined how corporations interacted and conducted business with recording artists.
At this point in time he sees the music industry as being in disarray.
" When I started in the music industry there were very few companies. In my time there was Decca and EMI who together had 95 per cent of the business. Then there were the other players like Pye and Phillips. They took up four per cent of the market and the rest of the other one per cent. What has happened now is that there are too many labels. The cost of entry into the business is almost zero and the cost of making a record is negligible today. The cost of getting a record in front of people is minimal, The cost of getting people to hear it now, that's expensive. When the companies have a hit, there is a chance they can sell four million copies but there is also the possibility that another four million copies cannot be sold or has to be heavily discounted and record companies get very little revenue. That means the top end makes money but nothing comes from the bottom end, hence the need for a different model. The big record companies are having a hard time of it. It is the small companies that work very closely with the artists that are doing well because they share in the concert revenue and sales with the artist. It is relationships with the artist that is now defining the record business."
Mr. Blackwell created a label of iconic stars and he feels very proud of that achievement. It is difficult to imagine that feat being accomplished today from such a comparatively small company.
MILESTONES
"I've always been a fan of artists and have signed them on the concept of developing that artist. Records are just milestones in that artist's career. I was always thinking very long term, the quick buck was never for me. You have to give artists time to develop their skills. They need to know that there is someone behind them who will not just drop them if they do not have a hit. That is the way I came into the business. I started in Jamaica and as a record label boss here you are mother, father, nurse, banker, you are everything to that artiste. It is good to see that the recording business in Jamaica is vibrant again. People are looking to see what is coming out of Jamaica. Sean Paul is huge all over the world. Beenie Man, Elephant Man, they have a significant presence in markets all over the world, not just Jamaica.
So what makes a good entrepreneur?
"You have to be prepared to take risks and fail. You need to have very good professional people around you. You have to think of the glass being half empty as opposed to half full. I'm talking about myself here but when you get excited about projects you need people around you to give you a reality check and challenge you. The value of that is that if you are unable to answer the questions they pose then its probably not worth doing. An idea is one thing but the execution is what is important. Jamaica is a place where everyone has an idea but who's is going to make it happen?
'I Don't see myself as an entrepreneur as such. To me an entrepreneur is someone who gets that name after they have done a few things successfully. Till then, you are a bum. I was unemployable, considered a bit of a rebel. I was interested in music and talent and I loved to help people reach their goals. It's all about how you use that first break you get. Discipline is a big component of which I must say I sadly lack."
