Octopus is one of the largest owners and managers of renewable energy assets in Europe

As the International Energy Agency warns that the worst of the energy crisis may be yet to come, governments around the world are stressing the importance of accelerating the move to renewable energy. We speak to Greg Jackson, CEO of Octopus Energy Group, the technology-to-investment energy platform, about the importance of government intervention in energy policy, the role of technology, and how a greener future could be nearer than we think

Greg Jackson founded Octopus Energy in 2015 with a view to using technology to make the green energy revolution faster and cheaper for consumers. Now worth approximately $5bn, the privately held company supplies renewable energy to three million households worldwide. It is also one of the largest owners and managers of renewable energy assets in Europe, with more than £4bn under management. Jackson credits the company’s success to what he calls the “en-tech” model whereby proprietary technology plays a leading role in the company’s value offering. Here, he speaks to Ella Johnson about why there can be no alternative to radically updating the power grid and large-scale investment in renewable energy.

LUX: How will Octopus innovate the energy sector in the long term?

Greg Jackson: Octopus’ long-term goal is to generate roughly as much as its users use, with Kraken, our proprietary technology platform, matching generation and consumption at any time and location to make the most efficient renewable energy company possible.

A decentralised workforce allows us to greatly increase the pace of innovation and learn from many people with many different perspectives. We are a cloud-native company and have had a very successful remote customer operations team for over four years now. This allowed us to ensure we had processes and communication platforms in place when lockdown hit, and it has been absolutely vital as we’ve grown internationally, building successful Octopus Energy hubs in several countries around the globe.

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So far, we deliberately haven’t made a profit. Instead, we’ve focused on scaling the business, investing in new green technologies and making sure there is enough support available to our customers who are struggling. We are lucky to have investors that believe in our long-term goal and are absolutely committed to help us achieve this, so we don’t have to worry about short term profits to achieve our number one purpose, making green energy cheap energy around the world.

Octopus is working to digitalise the power grid through its proprietary Kraken technology

LUX: When did you realise the energy sector was ripe for a tech revolution?

GJ: I had built digital platforms for e-commerce and other sectors before to digitise and increase efficiency, and I quickly realised that applying the same technology to energy would greatly improve the way things are done in the sector.

LUX: What makes Octopus’ operating business model unique?

GJ: Our operating model is unique thanks to Kraken, our technology platform which we built from scratch. Where other suppliers rely on convoluted solutions for different functions, Kraken integrates them all into one giant robot, offering efficiency, better customer service and end-to-end management of the whole supply chain to allow us and our licensees to save costs, take better care of customers and drive the green energy revolution.

But we know we can’t drive change quickly enough if we’re on our own. So we’re licensing Kraken to other large energy companies across the globe who share our vision of a cleaner, better energy future, including E.ON, EDF and Origin Energy.

Octopus has licensed its Kraken technology to support over 20 million customer accounts worldwide

LUX: How must existing infrastructure be adapted to accelerate this shift?

GJ: We need to digitise the power grid so that we can use it more efficiently, cutting bills and making the most of green electrons when they are abundant. The current grid was built to manage a few hundred fossil fuel power plants. We need to make it fit for a decentralised energy world in which millions of electric cars, rooftop solar panels and home batteries will be connected to it, importing and exporting energy from the grid.

LUX: How does Octopus overcome the unreliability of wind and solar sources?

GJ: The key to unlocking a cheap green energy future is to build a digital system that is interconnected and flexible. The sun doesn’t always shine and the wind doesn’t always blow where we are – but they always do somewhere in the world.

Read more: Dimitri Zenghelis on Investing in the Green Transition

Working with other countries and layering different sources of green energy and ways of storing it (like batteries) will allow us to create a system in which we can make the most of solar and wind energy where they are abundant. For example, we invested in Xlinks, the company building the world’s largest subsea power cable. Once built, it will deliver 3.6 GW of green power from Morocco to the UK for an average of 20 hours a day – enough energy to power about 7 million homes. We need more large-scale renewables projects like this.

Renewable energy is the only way to increase our energy security and stop climate change, says Jackson

LUX: One of your tariffs provides carbon neutral gas. What do you say to those who argue carbon offsets are not a real substitute for climate action?

GJ: We have carbon offset our Super Green customers’ gas usage in a few different ways over the years: helping reforest and conserve vast areas of the Amazon, and working with our main offsetting partner, Renewable World, to bring innovative renewable energy technology to fuel-poor communities worldwide.

But while it has very worthwhile applications and can help a lot of people, carbon offsetting is only part of the puzzle in helping fight climate change. It cannot decarbonise the whole energy system and move us away from fossil fuels. For that we need more innovative technology to make energy greener and cheaper for everyone.

LUX: Is natural gas an adequate transition fuel?

GJ: In the short and mid-term, we still need natural gas as a backup energy source for renewables. But in the long term, we will have to wean ourselves off gas completely if we want to increase our energy security and stop climate change – and we can only do that if we go hell for leather for renewables now.

Greg Jackson, Founder and CEO of Octopus Energy Group

LUX: How can policy speed up the mass uptake of renewable energy?

GJ: Historically, the creation, testing and licensing of a vaccine took around 15 years. With Covid, we managed to get the 15-year process of developing a vaccine down to one year. We need to do the same with wind energy. Due to planning approvals and grid connections, it currently takes on average 5-7 years to build and connect a wind farm. This could be done in one year. Do that now and we will literally start seeing bills come down next winter.

Read more: Inside Konstantin Sidorov’s London Technology Club

LUX: What role can renewable energy procurements play in corporations’ broader net zero goals?

GJ: Through our Renewables investment arm, we sign a number of agreements with large energy users to switch to green energy. Those making the choice to go green are taking massive steps forward for decarbonisation agendas across Europe – they are the trailblazers of their industries, and soon the rest will follow their lead.

Greg Jackson is founder and CEO of Octopus Energy Group

Find out more: octopusenergy.group

Alexandre Mars is the Founder & CEO of non-profit foundation Epic and the Founder of Paris-based VC fund blisce/. Image courtesy of Epic

French entrepreneur, author and philanthropist Alexandre Mars founded nonprofit organisation Epic in 2014 to help change the lives of disadvantaged young people around the world through individual and corporate donors as well as partnerships with other social organisations. As part of our ongoing philanthropy series, he speaks to Samantha Welsh about the importance of encouraging people to give more often, building a strong team and putting in the hours to achieve success

LUX: When did you start your first business and what made you do it?
Alexandre Mars: I started my first business at 17 years old by organising concerts at my high school. While I didn’t have the natural ability to become a professional athlete or movie star, something about entrepreneurship resonated with me.

The goal was never just to make money. It was about what to do with that money – a means to an end. Growing up with a mother that instilled values of altruism and solidarity in me from a young age, I knew that I wanted to give myself the necessary resources to protect my loved ones and then help others in need around the world. This first business was a first step toward realising that mission. I earned enough money to buy my first computers and that’s how my career as a tech entrepreneur was born.

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LUX: Why did you pivot from serial entrepreneur to successful philanthropist?
Alexandre Mars: I’d actually consider that it was more of a continuation than a pivot. As I mentioned before, it was always my goal to help those less fortunate. It just took me a bit longer than expected to generate the means of being able to do so on the scale I hoped.

When I was ready to create Epic, my foundation, I still came at it from a very entrepreneurial perspective. In fact, a close friend of mine asked me an essential question as I embarked on this new venture: ‘What’s your uniqueness?’ In other words, how could I help others in ways that someone else couldn’t. Entrepreneurship is what I know best, so I built Epic like my previous startups, methodically and always with market needs in mind.

Working with young people can make for the most measurable outcomes. We know empirically that intervening early on is the most effective way to change life trajectories. That’s why we’ve decided to specialise in helping children and young people aged 0 to 29 years old.

Disadvantaged youths can come from anywhere, whether it be halfway across the world or in our own neighbourhoods. While the specific issues may vary from physical safety and job prospects to education and healthcare access, the overarching injustice remains the same: no one should be denied the opportunity to live their life to its full potential just because of the circumstances of their birth.

Alexandre Mars in Mumbai. Image courtesy of Epic

LUX: Tell us about Epic.
Alexandre Mars: Epic is the culmination of deep market research into the philanthropic sector and the solution to three major obstacles to charitable giving: lack of knowledge (about who to give to), lack of trust (that the funds would be put to good use) and lack of time (to do the necessary research).

Our vision is a world in which every child and youth has access to safety, empowerment and equal opportunity. Our mission is to find, select, back and monitor high impact charitable organisations in order to catalyse their impact on underserved children and youth, and the systems affecting their lives. We are able to effectively fund them thanks to our donors who pool their resources together via our platform.

There are currently 26 organisations in the Epic portfolio worldwide, working on essential issues like access to healthcare, employment, education and physical safety. To date, we have raised $30 million.

What sets Epic apart is the robustness of our methodology that promotes transparency and accountability. From the outset, Epic has had a rigorous selection process to ensure trust and confidence. We curate a portfolio of high-impact, mid-size organisations addressing the complexity of issues affecting children and youth in a select number of countries, through a thorough and cutting-edge sourcing, vetting and monitoring process.

Another important factor is timing. We intervene at a stage in these organisations’ development when our support is the most transformative, allowing them to scale and have an even greater impact on children and youth.

Read more: Alia Al-Senussi on art as a catalyst for change

LUX: You are the enfant terrible disrupting traditional philanthropy, yet you build great teams. How do you go about that?
Alexandre Mars: Whether at Epic or any other startup I’ve founded, an undeniable key to success has been building the right team. And it starts with humility: you need to evaluate your strengths as well as your weaknesses, and hire for those needs.

For example, I built my career in the tech space, but I don’t know how to code. I surrounded myself with talented, passionate people. But it’s not enough to hire them. You need to have trust and give them autonomy to do their best work. It sounds like a simple formula, but it really works.

LUX: What issues around methodology come up most frequently in conversations between your NGOs?
Alexandre Mars: One of the interesting things that comes up often is how we measure success. We have been working hand in hand with our portfolio organisations to define a specific set of KPIs that they report on and that are tailored to their issues areas and strategy, for example: academic success rates or job placements. It’s a very interesting data-driven process that enables Epic to understand organisations’ performance in the context of their own success metrics as well as in the context of our centrally defined framework.

LUX: You have ‘skin in the game’ and pay all operating administration costs yourself – what are your expectations of companies and individuals who give and outsource to Epic?
Alexandre Mars: Two words: involvement and trust. We make sure that donors are very engaged throughout the giving process and that they’re able to follow their impact. Thanks to our thorough monitoring that brings accountability, our donors are more likely to continue giving. It’s a virtuous circle. This relationship of mutual confidence keeps our donors coming back year after year.

I also ask our donors to move away from certain outdated views on philanthropy, and to understand that impact and success cannot always be boiled down into quantitative terms like the number of children served per euro spent. Our organisations are dealing with a complex set of issues, and change takes time, as well as precise methods of measuring and understanding those outcomes. But you are right, I do have a lot of skin in the game so that 100% of all donations are sure to go directly toward changing lives.

Image courtesy of Broadsoft

LUX: How has your approach guided your selection of partners in diverse regions and cultures?
Alexandre Mars: Our methodology takes into account 45 criteria in three categories: governance, impact and operations. It was developed by our team that draws on experience from both the non-profit and private sectors. For example, we’ve integrated best practices from the venture capital sector and evaluate organisations as if we were investing in a tech startup, looking at factors like growth potential, the quality of the leadership and most importantly, the organisation’s ability to create changes in the lives of the children and young people they serve.

The principles of our selection process drive at an understanding of how an organisation fares against an objective set of criteria. By looking through the lens of each organisation’s internal and external contexts, we are able to look at a worldwide set of organisations operating on vastly different issues and across varying social, financial, operational contexts. Interestingly, we do observe a certain universality, to an extent, in these organisations’ frameworks.

LUX: What corporate structures are most open to outsourcing their philanthropy to optimise returns?
Alexandre Mars: We work with corporates, but also foundations and individuals. One of the most frequent reasons they choose Epic is because we address three major obstacles in charitable giving: lack of trust, time, and resources. This is especially true when it comes to funding organisations that are in other countries than where the donor is located. We are a sort of one-stop-shop that they can trust.

Furthermore, I believe that people go through Epic to support children and youth because they have confidence in our model that focuses on strategic philanthropy. We look for impact and have developed a cutting-edge selection and monitoring methodology to ensure a certain return on investment, to borrow a term from the business world. It’s quite innovative, which explains why Harvard University did a case study on the Epic model in 2019.

Read more: Michelin-starred high altitude dining in Andermatt

LUX: To the average person, charities want to get more people to give, whereas you want people to give more often. Why?
Alexandre Mars: Our experience has shown that charitable organisations benefit from having a stable source of funding, rather than volatile ups and downs throughout the year. It allows them to more effectively plan and allocate resources to those they serve. That’s why our model is centred on multi-year unrestricted funding, giving organisations the stability and autonomy to do what they do best. We encourage companies and individuals to make giving a habitual action and embed the social good in a way that fits seamlessly with their personal situation or business model.

The form this solidarity takes will vary from case to case. For example, we’ve worked with Société Générale on a simple yet innovative solution that allows the bank’s corporate clients to round-up foreign exchange transactions and donate to Epic. And for entrepreneurs, we created the Epic Pledge whereby they commit to donating a percentage from the future sale of their company.
You are mission-driven, so how do you control social media to deliver success?

LUX: How does blisce/ fit into your current vision?
Alexandre Mars: At my growth stage venture capital fund, blisce/, we support mission-driven entrepreneurs to build global consumer technology companies like Spotify, Pinterest, Headspace and Too Good To Go. So we’re approaching social impact from another angle, but it’s absolutely core to our collective vision.

Finance can be a powerful tool and, if yielded responsibly, can be a force for good. That’s why we’re committed to working with our portfolio companies to improve their (and our own) environmental, social and corporate governance measures. For example, our term sheet includes two non-negotiable clauses for ventures: an agreement to carry out an ongoing ESG evaluation every 12-18 months, as well as a commitment to interview at least one diverse profile for every open senior leadership position. Our team has committed to donating 20% of its carried interest revenues to Epic, so it’s really a virtuous circle between my investment and philanthropic activities.

As a testament to these engagements, we’re very proud that blisce/ recently became the first B Corp certified growth stage VC fund in the E.U.

LUX: How has this vision developed and what projects are you looking forward to over the medium term?
Alexandre Mars: It is my view that solidarity and sharing are going to become increasingly essential, and that we can no longer rely solely on public support if we are to address the challenges we face such as rising inequality, climate change, lack of diversity, gender inequality. We need the participation of the private sector and an engaged citizenry as well.

In the near term, we will be doubling down on our strategies at Epic and at blisce/ to identify and support exceptional social organisations and mission-driven companies that positively contribute to our communities and planet. I’m thrilled by all of the determined social entrepreneurs I meet on a daily basis, and look forward to announcing those that we’ll be backing soon.

LUX: Has Covid accelerated how you do things?
Alexandre Mars: In my opinion, Covid has accelerated a trend that has been building for the past several years. I’m old enough to remember how different the world was just 20 years ago. People viewed success differently: it was about the number of zeros in your bank account, about having a corner office and a company car. Today that’s all changed, especially with the arrival of the millennials and Gen Z. Today, we know that real fulfilment and purpose comes when you put that material success toward realising your mission, whatever it may be.

Covid has only reinforced this evolution, as it has given many of us time to pause and reflect while also exposing the ever-widening rifts in our societies. So in terms of how it’s changed things for us at Epic and blisce/, I can’t recall a time when we’ve seen such an outpouring of support from across the board, or so many entrepreneurs for whom combining purpose and performance is an automatic must-have. It gives me reason to believe in the work we’ve been doing and to be optimistic about the future.

Image by T.G. Herrington

LUX: What lesson did you learn with a start-up as a teenager that you will share with your own kids?
Alexandre Mars: Entrepreneurship, including my first venture, has taught me so many lessons over the years. That’s part of the reason I wanted to write my recent book on the subject (it’s out in French now under the title OSE ! Tout le monde peut devenir entrepreneur, and the English translation is coming soon).

If I had to pick just one piece of advice, I’d emphasise the importance and necessity of hard work. Luck and natural ability only account for a small fraction of success. What will set you apart is outworking the competition, which will inevitably require sacrificing other activities such as going to the movies, coffee breaks, and weekends with friends. You won’t be able to do everything and work hard at the same time. That’s the harsh reality of it.

In my book I talk about Canadian journalist Malcolm Gladwell and the 10,000 hour theory he popularised. He explains how, in any discipline, 10,000 hours of practice is required to achieve the level of world-class mastery. This theory is based on the experience of three psychologists in observing violin students at the prestigious Berlin Academy of Music. The results were surprising: future international maestros each had reached 10,000 hours of practice; good violinists reached 8,000 hours, and future music teachers did not exceed 4,000 hours.

To take another example: when the Beatles were successful in 1964, supposedly coming out of nowhere and taking the world by storm, in reality they had exceeded 12,000 hours of rehearsals and concerts. They didn’t just appear overnight.

And as a last piece of related advice, I always remind my children about the importance of having a mission. In the end, having a sense of purpose is what brings true satisfaction, plus it will sustain you on your arduous but rewarding entrepreneurial journey. When you wake up in the morning with something bigger than yourself on your mind, you’ll find the motivation you need to succeed.

Find out more: epic.foundation

Samantha Welsh is a contributing editor of LUX with a special focus on philanthropy.

Nur-Sultan, the capital city of Kazakhstan with landmark Baiterek tower. Image by cosmopol.

Dynamic leadership and entrepreneurial thinking are required to help the global economy recover. We speak to seven leaders in the Kazakhstan chapter of one of the world’s most respected business organisations about mutual support among entrepreneurs, and their country being a touchpoint between east and west. Curated by Gauhar Kapparova

LUX’s Editor-at-Large Gauhar Kapparova

A first-time business visit to Kazakhstan is likely to end up with two overarching impressions. Firstly, of the sheer size of the country. The distance from the biggest city, Almaty, to the centres of oil production on the Caspian sea is an astonishing 3,000 kilometres. Even the short hop from Almaty to the shiny new(-ish) capital Nur-Sultan is an hour and a half on a plane.

The second impression is likely to be one of the openness and dynamism of a new entrepreneurial community. Kazakhstan often speaks of itself as a key country between east and west, with China to the east and Russia and the Caspian sea border of Europe to the west. It is also focussing on moving beyond its oil and gas-based 20th-century economy, with the majority of growth coming from other sectors.

To this end, the country teems with spirited, can-do entrepreneurs, unfazed by the distances they have to travel to get to the world’s financial centres and proud of their country’s potential. A new generation of largely western-educated business people add to the cosmopolitan feel.

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At the heart of this enterprising business community is the Kazakh chapter of YPO (Young Presidents’ Organization), a global members group for chief executives and owners of significant businesses. Entry is by invitation only and open to those who own or run substantial businesses. Benefits are notable: an instant network of the highest level of contacts in your country and around the world, gatherings, conventions and seminars, and a highly sophisticated support network.

True to the country’s buccaneering business spirit, the Kazakh division of the YPO is known as one of the world’s most dynamic. There is no better insight into the opportunities in the central Asian country or into the minds of its prominent business leaders than from the YPO Kazakhstan chapter leaders we interview here.

ALINA ALDAMBERGEN

Chair of the Management Board, member of the Board of Directors of Kazakhstan Stock Exchange

Aldambergen’s career in the finance industry began in 1997 as an analyst and manager at ABN AMRO bank in Kazakhstan, then as a senior rating advisor in the global finance markets for the same bank in London before returning to Kazakhstan to chair the bank’s management board. After a series of senior posts at various financial institutions, she moved to the Kazakhstan Stock Exchange in 2016.

Alina Aldambergen. Image by Sergey Belousov.

LUX: Tell us about yourself and your experience. What distinguishes you from other YPO members?
Alina Aldambergen: I’ve been working at the Kazakhstan Stock Exchange since February 2016. In the 17 years since I was first appointed as chairperson of ABN AMRO Pension Funds Asset Management Company in Kazakhstan back in 2003, I have held a number of different management positions at private and state-owned companies.

My key expertise is in being a senior manager. Unlike other YPO members, I’ve never been an owner of a company. It is possible, of course, that one day I might decide to set up my own company, but I haven’t come to that decision yet.

I like to manage large-scale companies. It is important for me that I work for institutions that make an impact, which is why during the past ten years I have worked for companies in Kazakhstan that are owned by the state.

Read more: Deutsche Bank’s Claudio de Sanctis on investing in the ocean

LUX: How did you became the manager you wanted to be? How did you train and did you have any formal business education?
Alina Aldambergen: I happened to develop my career when the country was changing from the Soviet planned economy to a market economy. This was a significant transformation for the whole country, economically and mentally.

The country’s president was a visionary, he knew that this would require a new mindset and people with new sets of skills. That’s why the government set up a scholarship programme to send students to study abroad. I was awarded one of these scholarships and studied for an MBA at the Simon School of Business Administration at the University of Rochester, one of the top 25 business schools in the world at that time. I studied corporate finance and accounting, essential for doing business and setting up the financial system in Kazakhstan. Another major influence on my career has been working for the country’s first international bank.

Even though now I would think that doing an MBA straight from undergraduate school is a bit too soon, in my case it gave me all the essential skills to do business and manage business in Kazakhstan. I am still using all the concepts that I studied at business school in my everyday life.

Of course, I took various courses in different subjects later on, but still, the fundamentals are what keep you going. I am a strong advocate of keeping up your business education throughout one’s lifetime.

LUX: What motivated you then and what motivates you now?
Alina Aldambergen: I am motivated by excellence. However, that has to be adjusted for the environment that you are working in. At any job I have always tried to come up with the best business model, get support from the stakeholders, and follow it through. I will leave a company if my values do not coincide with those of the company.

I am a strong believer in not wasting time – why do so if you could be doing something more valuable and interesting elsewhere? It is important for me to bring worth to a company, its employees and shareholders, and to society. I want to see the results of my work make an impact.

Courtesy KASE

LUX: Why did you decide to become member of the YPO? Why it is important for you?
Alina Aldambergen: I joined YPO in Kazakhstan in 2018. For me, it was an exclusive members club of business people – true, self-made achievers. To become a member was prestigious for me. Another point is that YPO is an international organisation, so in that regard I considered it as another step forward for myself. I also recognised that it is an influential organisation that can make an impact on various issues concerning society.

LUX: What else does YPO bring to you?
Alina Aldambergen: I think I discovered even more value once I had become a YPO member. There is a wealth of knowledge, significant networking opportunities and an exchange of opinions that you can draw on.

I like the YPO concept of oneself, family and business all together. I think it is important that YPO encourages this amongst its members. Your spouse or child can become a member of the organisation and it provides access to the same education as you can get elsewhere. It really enables generations of business people to grow.

I also like the forum meetings. I found that they are a place where you can receive and share professional advice with your peers on dealing with different situations. I think this is the most valuable experience of the YPO membership.

ARMANZHAN BAITASSOV
Chairman of the Tan Media Group and publisher of Forbes Kazakhstan magazine

Baitassov is a Kazakhstan media manager, professional TV journalist and businessman. He has founded multiple media outlets, including his first TV channel, Channel 31, in 1992 the Megapolis newspaper in 2000, the Business FM radio station in 2018, and in 1994 the Radio 31 radio station. In 2017 he was elected chairman of the board of the Kazakhstan Media Alliance.

Armanzhan Baitassov. Image by Andrey Lunin

LUX: What age were you when you thought you might go into business as a career?
Armanzhan Baitassov: I was 19 years old when I decided to go into business. The first time we thought about business was in the late 1980s, when it became possible to engage in private entrepreneurial activity.

LUX: Who were your inspirations in business and how and why did they inspire you?
Armanzhan Baitassov: We were inspired by the guys who were able to earn a lot of money back then in Soviet roubles, guys as young as us who were also searching for opportunities to make money.

LUX: What were your first steps? Did you have any formal business education?
Armanzhan Baitassov: We started in advertising, reselling the advertising slots in newspapers. At that time, there were no textbooks about business, so we learned everything along the way.

Read more: Sculptor Helaine Blumenfeld on the power of public art

LUX: What were the most important parts of this learning phase of your business life?
Armanzhan Baitassov: I graduated from the Faculty of Journalism at Kazakh State University and immediately went into the media industry, where I still work. Of course, in the early 90s there were problems with funding, there was not enough equipment or it was incredibly expensive, and legislation in Kazakhstan was not fully regulated. But we had enough advertising in the first year and big contracts with Procter & Gamble and Unilever.

LUX: What motivated you then and what motivates you now?
Armanzhan Baitassov: At first, the big motivation for us was creative work. We were young, we worked day and night to make our media more and more popular. Now, of course, we are more mature, but the main motivation remains to do something new to make our world better.

LUX: What are the unique challenges of business and enterprise in Kazakhstan?
Armanzhan Baitassov: There is the powerful influence of the state on the economy. It hinders entrepreneurship and corruption has penetrated all levels of power and the economy. Doing business in Kazakhstan can be simply unsafe, but there are also development institutions that are helping small and medium-sized businesses thrive. All systems work well, but look carefully at your segment, especially if it contains any state-owned companies and corporations.

The Forbes building in Almaty, Kazakhstan

LUX: What’s the secret of success in business?
Armanzhan Baitassov: For me it’s that I am interested in doing business, in watching companies develop and doing it myself, and not just being a shareholder and observing. When you are immersed, then you’ll succeed. And what probably helps is my belief that everything will get better every year.

LUX: What are your plans for the future?
Armanzhan Baitassov: The pandemic has changed all my plans for 2020 but I really want to develop media abroad in Russia, Uzbekistan and Georgia.

LUX: Who are your business heroes now?
Armanzhan Baitassov: Of course, there are people I admire such as Jeff Bezos, and Larry Page and Sergey Brin. There are also people here who inspire me, such as Vyacheslav Kim and Mikhail Lomtadze at Kaspi Bank. But today my business heroes are the young entrepreneurs in Kazakhstan.

LUX: The media business is going through unique challenges now. What do you think these are and where do opportunities lie?
Armanzhan Baitassov: The main thing is a sharp drop in income from advertising. Many media companies have begun to work remotely from home, which is a great opportunity because of the high office costs. There may also be greater digitalisation – print newspapers are living their last days.

LUX: When did you first hear about YPO?
Armanzhan Baitassov: I learned about YPO in 2010 from Nurlan Kapparov. A year or so later we went with him to the USA, where we were invited to an event held by the YPO chapter in Washington DC.

LUX: Emotional support in business and other matters seems to be an important part of being a YPO member – is that correct?
Armanzhan Baitassov: Yes. In Kazakhstan, most entrepreneurs encounter some difficulties, maybe even injustice, and we can openly discuss these within the chapter. It is an incredible support.

LUX: How does YPO support your business?
Armanzhan Baitassov: The biggest support that I get is when we hold events at Tan Media Group, almost all members are happy to come. I am especially pleased that they support the youth forum and are happy to speak to young entrepreneurs.

LUX: What does running the Kazakhstan YPO chapter mean to you?
Armanzhan Baitassov: It has become very influential. We want as many members as possible, but getting in is difficult. We have a committee that reviews all applications and only then sends them for consideration to the YPO members. We all feel a great responsibility, because each YPO member is one of our team.

AIGUL DJAILAUBEKOVA
Partner at InnoVision Management Consultancy

Djailaubekova began her career in banking 1996 in Amsterdam at MeesPierson and then ING Bank. In 2004, she returned to Kazakhstan to continue working for ING. Since 2007, her work in banking has included senior management roles at Citibank and HSBC in Kazakhstan and at large regional banks. At InnoVision she focuses on management consultancy, financial services and education.

Aigul Djailaubekova

LUX: What age were you when you thought you might go into business as a career?
Aigul Djailaubekova: I started my career about 25 years ago. Prior to then, being an ambitious straight-As student, I was set on an academic career but after a short teaching tenure, I decided to explore new opportunities in commercial and international business.

LUX: What were your first steps? Did you have any formal business education or training? Which companies did you work for?
Aigul Djailaubekova: I won a British Council scholarship to study at Lancaster University in the UK. After graduation, I landed a job in the Trade & Commodity Finance department of the Dutch bank MeesPierson in Amsterdam. I moved to ING Bank N.V., where for several years I covered financial institutions in various countries as a senior regional manager. Then I joined ING’s office in Kazakhstan as an expatriate manager.

LUX: What have you learned in your business life in recent years?
Aigul Djailaubekova: Over the past decade, I have been deputy chairman of the management board at Citibank and HSBC in Kazakhstan and in a few large local banks. Those were vastly different experiences for me in terms of their corporate cultures. All the successes and disappointments made me a stronger and perceptive manager as well as a more resilient and, hopefully, wiser person.

LUX: What are your business plans?
Aigul Djailaubekova: A few years ago I started thinking about setting up my own bank with a team of like-minded investors and banking professionals. In view of the multimillion investment required, it’s ambitious but most successful businesses at their early stages dare to dream big.

LUX: What are the unique challenges of business and enterprise in Kazakhstan?
Aigul Djailaubekova: It is important that foreign investors have a strong local partner who will be on the same page in terms of their business vision to help them navigate through the local bureaucracy.

LUX: Who were your inspirations in business and how and why did they inspire you?
Aigul Djailaubekova: My main inspiration in life is my family. I’ve always been driven by a desire to do something meaningful, to contribute to financial prosperity of our family, to be a good example for my children and to be a source of pride for my parents. Thanks to them and my husband, I have never had to face the choice of being a mother and wife or a being a banking executive.

Aigul Djailaubekova with her husband

LUX: What advice would you give anyone starting out in business?
Aigul Djailaubekova: I would say three things. Firstly, dream big and dare to have it all. One might not achieve each and every goal along the way, but it’s worth trying. Secondly, dare to follow your dreams, especially when you’re young. And thirdly, when you feel that the current trajectory is no longer satisfying, or that there are other opportunities opening up, dare to change to a new path.

LUX: How did you first hear about YPO?
Aigul Djailaubekova:Several years ago from some of my friends and business acquaintances. The Kazakhstan chapter was founded by Nurlan Kapparov, a highly respected businessman and visionary. It was very flattering when two of the long-standing members suggested I join, which I did more than five years ago. I was the first female YPO member in Kazakhstan.

LUX: Has being a woman member made a difference to the local chapter?
Aigul Djailaubekova: One of my missions was to break the image of our chapter as a closed, all male club. Later, I heard that initially some members had been cautious about a woman joining the chapter, but knowing several members before I joined and the fresh perspective and insights I brought helped me to gain the trust of other members.

LUX: How does YPO Kazakhstan benefit wider society?
Aigul Djailaubekova: Kazakhstan’s chapter has evolved from an elite business club to an organisation that strives to make differences in society. Some initiatives between the government and local businesses were introduced at the instigation of YPO. The charity balls supporting good causes are regular events now. And there are charity projects, such as the Ana Yui (Mother’s House) founded by one our members, which has become a nationwide movement saving thousands of babies from being sent to orphanages.

LUX: In what way does being a YPO member support and help you personally?
Aigul Djailaubekova: For me, YPO brings great value through business advices and insights and as a platform for personal development through the forums, training and special events. I have become good friends with most YPO members and their families, socialising outside official chapter events. When making a radical career shift, I took comfort from the forum and some closer friends at YPO to whom I could turn for advice.

SIDDIQUE KHAN
Founder and CEO of Globalink Logistics Ltd

Khan has worked in transportation since 1990. He established Globalink Logistics in 1994. In 2011 he was named Entrepreneur of the Year by the American Chamber of Commerce. As well as chairing multiple committees relating to his sector, he also advises Kazakhstan’s government on the development of transportation and has a particular expertise in the Belt & Road Initiative.

Siddique Khan

LUX: What age were you when you thought you might go into business as a career?
Siddique Khan: I started part-time work while I was studying to gain practical experience and to earn some extra money. It turned out to be one of the best opportunities of my life. I was able to learn how small businesses work, and the hands-on experience helped me turn my visions into practical business ideas.

LUX: Who were your inspirations in business, and how and why did they inspire you?
Siddique Khan: I was always fascinated with the ancient Silk Road and became particularly aware of it when I started a job in transportation and logistics in 1990 while supervising the distribution of humanitarian aid in Afghanistan. I saw the Silk Road’s heritage everywhere. In 1994, following the collapse of the USSR three years earlier, I set up a new business in Almaty to build a world-class transportation and logistics business that would eventually revive the ancient Silk Road.

Read more: Gaggenau launches initiative to support innovative artisans

LUX: How did you go about setting up this business venture?
Siddique Khan: Fundraising for a start-up to revive the Silk Road was anything but easy. After months of struggle, I managed to raise the seed capital, helping me launch Globalink Logistics on a shoestring budget. Choosing Almaty as a base was not a popular decision in those days, as most foreign investors were entering the former USSR market through Russia. Looking back, it was the right decision. It has helped Globalink gain recognition as the first international logistics company in Kazakhstan. Today, it has operations in nine locations in this country, more than 32 service centres in the former USSR and with representation in 55 countries.

LUX: What were the most important parts of this learning phase of your business life?
Siddique Khan: Companies have to re-invent themselves frequently, adapt to ever-changing market conditions, manage risk effectively, develop a competent workforce and invest in new technologies to be able to compete on a global stage. We must learn to overcome the uncertainty of the future and continuously educate ourselves to be able to stay ahead.

One of Siddique Khan’s company’s containers on the move

LUX: What motivated you then, and what motivates you now?
Siddique Khan: Giving financial success a purpose is still the most incredible motivation for me and gives me an enormous satisfaction in my work. My real thrill in life is not accumulating wealth, but to seek ways to use financial resources to create life-changing opportunities for others.

LUX: What are the unique challenges of business and enterprise in Kazakhstan?
Siddique Khan: Kazakhstan is a typical frontier market, offering high risk and higher reward. Overall, it and the Central Asian Republics are resource-rich economies with limited service sectors and infrastructures. There are viable business opportunities if one can cope with the numerous challenges of these emerging markets.

LUX: What advice would you give to foreign companies coming to Kazakhstan?
Siddique Khan: It is essential to learn and appreciate the cultural differences when you are doing business in this region.

LUX: YPO seems to be a unique business organisation. Is this true?
Siddique Khan: YPO is a unique group of exceptional executives that provides a network with a common aim: to become better leaders through lifelong learning. Every member seeks the knowledge and principles of success not only for their businesses but also for their families, friends and, most importantly, for themselves.

LUX: In what way does being a YPO member support and help you personally?
Siddique Khan:  Much of the YPO member experience comes from the local chapter, where you meet other business executives in your area. Although the organisation attracts high-achievers who are very competitive, the chapter also offers a sense of openness. Chapter life is full of action, ranging from family retreats and business events to executive education, counselling, healthcare and much more.

Depending on the size of the chapter, there are several forums. A forum is a group of about eight to ten people who meet frequently to discuss business and personal issues in a judgment-free and confidential environment. Forums become the sounding board for topics that you wouldn’t like to discuss anywhere else. I can confidently say that my forum has become my family. We trust and support each other – no matter what.

The professional, educational, spiritual and networking support that I got from the organisation helped me not only to transform myself but my business and family life as well. Thanks to YPO, I have become a better executive, spouse, father and friend.

RAMIL MUKHORYAPOV
Chairman of the Board of Directors of Chocofamily Holding

After early enterprises in Moscow, Mukhoryapov returned to Kazakhstan in 2011 to work in e-commerce, founding Chocolife.me, the country’s first online marketplace. This has since expanded to become Chocofamily Holding, Kazakhstan’s leading internet company with eight brands covering services such as online payments, health, travel and food delivery.

Ramil Mukhoryapov

LUX: What age were you when you thought you might go into business as a career?
Ramil Mukhoryapov: I was 19 years old when I started my first business. It was a club for parties for students. My first idea was for a comfortable and fun student life.

LUX: Who were your inspirations in business and how and why did they inspire you?
Ramil Mukhoryapov: I was inspired by a few Russian and international entrepreneurs such as Richard Branson, Oleg Tinkov, Sergey Galitsky and Evgeny Chichvarkin. I was inspired by their energy and their desire to change the world.

LUX: What were your first steps – which companies did you work for, how did you train and did you do formal business education?
Ramil Mukhoryapov: I studied at the Financial University under the Government of the Russian Federation in Moscow. I used to read interviews with various entrepreneurs in the business newspaper Vedomosti, in which they described all sorts of business situations and how they dealt with them. Reading newspapers was my main training. I had no formal business education, just my basic finance education at the university.

LUX: What were the most important parts of this learning phase of your business life?
Ramil Mukhoryapov: I loved reading the biographies of top entrepreneurs such as Howard Schultz of Starbucks, Sam Walton, the founder of Walmart, Steve Jobs, John Rockefeller, Feodor Ingvar Kamprad, the founder of IKEA, and Richard and Maurice McDonald. I was inspired by their lives and their decision making.

LUX: What motivated you then and what motivates you now?
Ramil Mukhoryapov: At first I was motivated by money and the photos I saw in magazines that depicted businessmen like happy guys with beautiful lives. Now, my main motivation is to change the world. I would like to change the relationships between companies and employees, to change the service in our country and to create new possibilities in economics. I think that business people are sort of engineers of the world.

LUX: What are the unique challenges of business and enterprise in Kazakhstan?
Ramil Mukhoryapov: I don’t think that Kazakhstan offers any particularly unique challenges in business but it does have great potential for entrepreneurs, because of the very low levels of competition.

LUX: What advice would you give to foreign companies coming to Kazakhstan?
Ramil Mukhoryapov: First of all, welcome to our country! There are many great possibilities to start a business here. We are growing very fast, have a stable economy and political regime. Also, we have potential in retail, e-commerce and so on.

LUX: What is the secret of success in business and what keeps you going?
Ramil Mukhoryapov: I think that it depends on two things. Firstly, you should work a lot and very hard. And secondly, ambition. If you are not satisfied with the results, they have to push you to go further. It’s important not to say “enough” – that’s a very dangerous word in business.

LUX: What are your business plans?
Ramil Mukhoryapov: Our plan is to build the biggest e-commerce company in the region and to become the first tech company from Kazakhstan to be known worldwide. To keep pace with Amazon, Google, Facebook, Apple and others – that’s our goal and I believe that everything is possible.

LUX: Who are your business heroes now?
Ramil Mukhoryapov: My business hero now is Elon Musk. He is a person who makes crazy things. He does not just dream about something, he does it. He inspires me to think the same way. We shouldn’t build barriers in our minds.

LUX: When did you first hear about YPO?
Ramil Mukhoryapov: The first time was when I was a student. I read a book by Artyom Tarasov, one of the first Russian millionaires and the first YPO member from Russia. That was about 19 years ago and I knew then that I wanted to join YPO.

LUX: What were your perceptions of YPO before you joined?
Ramil Mukhoryapov: YPO is a unique business organisation. It consists of the best entrepreneurs from Kazakhstan and enables you to communicate with others from different countries.

LUX: How does YPO support your business?
Ramil Mukhoryapov: I have two examples. First, two of the YPO members in our chapter became investors in my company: Timur Turlov and Aidyn Rakhimbayev. Second, when I need to speak with the managers of the big Russian e-commerce companies, I can get their contacts through YPO Connect and they answer quickly.

LUX: How often are chapter meetings held?
Ramil Mukhoryapov: Formal meetings happen on average 10 times a year. They take priority in my schedule. I appreciate the ideas and advice I get from them – they are like a personal board of directors.

ELDAR SARSENOV
Chairman of the Management Board of JSC Nurbank

Before his banking career, Sarsenov led the marketing at TAG Heuer in the US and worked his way up to being deputy director of sales and marketing at Helios LLP, the Kazakhstan petrol station company. He was the managing director of JSC Nurbank for three years, during which he managed the credit card department, IT and marketing, before he became the bank’s chairman in 2015.

Eldar Sarsenov. Image by Valery Ayapov

LUX: What age were you when you thought you might go into business as a career?
Eldar Sarsenov: I started thinking of myself as some kind of business person when I was maybe six or seven years old. At the time, I was in the US living near tennis courts where I worked as a ball boy. It was then that I understood the value of being paid for your services.

LUX: Your family was prominent in business already – you took a very international route when starting your career. Why?
Eldar Sarsenov:My career started early, helping out in my family’s business when I was still in school. When in college, I did some internships and later on I was working in a few businesses in Kazakhstan, so my career started locally. My first international work was in New Jersey, at TAG Heuer, as part of my MBA.

LUX: Who were your inspirations in business?
Eldar Sarsenov: I was inspired first by my parents’ enterprise in the early 1990s. When I was in college, a few professors who were also successful business people also influenced me.

Read more: Kering’s Marie-Claire Daveu on benefits of the blue economy

LUX: What business education do you have?
Eldar Sarsenov: My bachelor degree in science and business administration was from Suffolk University in Boston, and my MBA is from Northeastern University. Formal education helped my decision making and my ability to assess business practices in all sorts of situations.

LUX: What motivates you now?
Eldar Sarsenov: That’s easy. I am motivated by problem solving, by overcoming crises. I look at the person I was prior to certain events and can see how they transformed and improved me.

LUX: What are the unique challenges of business and enterprise in Kazakhstan?
Eldar Sarsenov: It’s a great place to conduct business, but one of the biggest challenges is its population size. It is a little below 20 million and no matter how efficient or effective you are, technologically and otherwise, at some point you will hit the ceiling of what market you can get.

The flag of Nurbank, of which Eldar Sarsenov is chairman

LUX: What’s the secret of success in business?
Eldar Sarsenov: There’s no big secret. Work hard, be kind to people, be a good person, and stay motivated. That’s harder than it sounds. You’ll be motivated at first but, later, obstacles might slow you down. The trick is to keep moving.

LUX: What are your business plans?
Eldar Sarsenov: Going international is in the plan for me. As a company, you need to cover as many countries as you can. It is healthy and financially sound.

LUX: Who are your business heroes now?
Eldar Sarsenov: The ones who surround me, such as those who survived the break-up of the Soviet Union and prospered for the benefit of the country. Also my YPO friends, who are people of high ethical standards and great business acumen.

LUX: When did you first hear about YPO?
Eldar Sarsenov: I first heard about it through friends and business acquaintances. My friend and mentor Armanzhan Baitassov, who is a YPO member of some stature, suggested I join.

LUX: What were your perceptions of YPO before you joined?
Eldar Sarsenov: I thought it was something along the lines of a fraternity of some sort. But when I saw a meeting, which was informal, I was impressed by the comradeship.

LUX: In what way does being a YPO member support and help you personally?
Eldar Sarsenov: It’s put into perspective what I am today as a business person. It has shown me how my strengths could be furthered, and how my weaknesses can be minimised.

LUX: YPO seems to be a unique business organisation, especially in its forums.
Eldar Sarsenov: Yes, the forums are what make YPO so sought after. Chapters consist of five to eight people. They are designed to be part of the YPO experience, where people can meet regularly within their own groups and discuss problems with work, family, or personal development.

LUX: Does YPO help with international contacts also?
Eldar Sarsenov: International contacts are what YPO bring to the table once you become a member. It provides a platform called YPO Connect that enables you to connect with YPO people round the world. I have helped members from Latin America, Europe and Australia who were interested in financial services in Kazakhstan.

LUX: What does being a YPO chapter member involve and what do you need to do?
Eldar Sarsenov: You get from YPO what you invest. If you make time, reach out to people, follow guidelines at meetings and participate in forums, then YPO gives back a lot. Since I joined in 2019 I have tried to be at every event and reach out to every member. YPO has been great for me. I look forward to meeting new people after the pandemic, and I urge everyone to consider joining this great organisation.

TIMUR TURLOV
Founder and owner of Freedom Holding Corp.

Turlov is an entrepreneur and financial expert who established Freedom Finance in 2008. Becoming part of Freedom Holding Corp. in 2015, the company is a leading retail brokerage and investment bank in Central Asia and Eastern Europe. Turlov is a specialist in the US stock market and regularly comments, reports and lectures on financial and economic matters in business publications.

Timur Turlov, CEO of the Freedom Holding Corp.

LUX: What age were you when you thought you might go into business as a career?
Timur Turlov: I was hungry to earn money when I was at least 13. At 15 or 16 I had my first more or less serious job (as a junior media analyst) with an ‘adult’ salary.

LUX: Who were your inspirations in business and how and why did they inspire you?
Timur Turlov: I am not sure that I really can name any. I started my own business not because of my ambitions, but because my employer closed its investments arm.

LUX: What were your first steps? Which companies did you work for, how did you train and did you do any formal business education?
Timur Turlov: I have no formal business education. I started my career in the stock market industry in Moscow at a small proprietary trading firm founded by American who was a former Soviet Union citizen. Then I switched to a retail brokerage firm that was part of a medium-sized commercial bank, and became the youngest TOM manager by my third year. Then the investment arm closed after the 2008–09 crisis.

Read more: Prince Robert de Luxembourg on wine, gastronomy & storytelling

LUX: What were the most important parts of this learning phase of your business life?
Timur Turlov: I always was very practical. I learned a lot from my colleagues and partners, from googling and reading the necessary information to solve specific tasks.

LUX: What motivated you then and what motivates you now?
Timur Turlov: We live in a world where the winner takes it all and you need to be the best in the industry just to survive.

LUX: What are the unique challenges of business and enterprise in Kazakhstan?
Timur Turlov: The main challenge is being almost alone in your industry. A weak competitive landscape can be a problem when you eat your bread alone. And that’s an opportunity as well, of course.

LUX: What advice would you give to foreign companies coming to Kazakhstan?
Timur Turlov: Kazakhstan is a country of open doors. It’s very easy to get here and you will be warmly welcomed, but you have to manage expectations extremely carefully.

LUX: What is the secret of success in business and what keeps you going?
Timur Turlov: My ability to build relationships, to sense the direction the wind is blowing in and to create products that are in demand. And, of course, luck.

LUX: What are your plans and business dreams?
Timur Turlov: We need to expand more actively into the EU and from there, globally. Competition in my industry is already global and we need to grow to be competitive enough tomorrow, to be attractive enough to become a target for acquisition, or to acquire our competitors worldwide.

LUX: Who are your business heroes now?
Timur Turlov: My team, my competitors… No stars.

LUX: When did you first hear about YPO and from whom?
Timur Turlov: From my friend and client, Marat Shotbaev, three or four years ago.

LUX: What were your perceptions of YPO before you joined and what made you want to join?
Timur Turlov: I knew it to be a club of successful people from the business elite in our country.

LUX: YPO seems to be a unique business organisation. Is this true, and if so, how and why?
Timur Turlov: The spread across medium and large enterprises in Kazakhstan seems to be wider than usually found elsewhere in the world. So here, YPO is a club for large businesses.

LUX: In what way does being a YPO member support and help you personally?
Timur Turlov: Through the unique experience of the forum meetings, which unfortunately have been less frequent over the past year because of the Covid-19 pandemic.

LUX: How does being a YPO member support your business?
Timur Turlov: Business is always about the development of relationships, and YPO helps to develop it much further.

LUX: Does YPO membership help you with international contacts as well?
Timur Turlov: I have never tried to use the international power of YPO.

LUX: What does being a YPO chapter member involve? How frequently do you have formal meetings, and international meetings?
Timur Turlov: Unfortunately, I have never participated in any of the international meetings, but this is only my second year of membership and international travel has been restricted, of course, for most of 2020.

Find out more: ypo.org

This article features in the Autumn Issue, which will be published later this month.

ionic cars makes over classic cars with high performance, zero-emissions electric power

LUX discovers how UK start-up ionic cars is replacing the original engines of classic cars with zero-emission electric power

According to government figures, cars currently account for just over 18% of UK emissions. Aiming towards the goal of cutting emissions to net zero by 2050, there have been dramatic shifts towards the production of electric cars with Mini, the Vauxhall Corsa and the Fiat 500 most recently launching electric models. For classic car lovers, however, eco-friendly options are hard to come by, which is where ionic cars comes in.

Follow LUX on Instagram: luxthemagazine

The bodywork is refurbished and interiors are fully customisable

The UK-based start-up transforms vintage cars by removing the original high emissions ‘old-tech’ engines and replacing them with zero-emission power. The bodywork is fully refurbished and interiors are customisable with everything from vegan leather to heated seats and matching luggage. For those worrying about the car’s collectible value, the process is fully reversible, or the original engine can be refashioned into a bespoke perspex case coffee table. ionic’s models currently include the Mercedes-Benz Pagoda and Porsche 911 with plans to expand in the future.

For more information visit: ioniccars.com

Picasso Towers is a €225m residential development including luxury penthouses and apartments

Picasso Towers is Málaga’s latest luxury residential development, featuring 213 apartments on the seafront. Conceived by Sierra Blanca Estates in collaboration with Metrovacesa – and with endorsement from Antonio Banderas – the project aims to transform the Spanish city into more than just a holiday destination. Here, LUX Editor-in-Chief Darius Sanai speaks to Pedro Rodriguez, the founder of Sierra Blanca Estates, about the challenges of the project, creating demand and Málaga’s future

Pedro Rodriguez

LUX: Can you tell us your story and how you came to work in development?
Pedro Rodriguez:  I studied tourism and I was the top producer of tourism to Spain from the United States for more than 10 years. I actually worked for Thomas Cook more than 40 years ago. And even though I was very successful as a tour operator there was something that made me consider making a change. It was actually two or three things I think. Number one and most important, was when Spain joined the European Union back in ’85. At that point, I was reading a book that was about Megatrends, which was written by a sociologist, and he came to predict what was happening already in the USA. People and companies establishing the North Industrial coal estates were moving to the Sunbelt, especially to California and Florida, looking more than anything for quality of life – obviously in Florida, as you know, they have a tax advantage also. This transformed Florida into one of the most successful states in the USA. Well, I didn’t have to be a genius to think that if I was going to make an investment back in ’85 it should be in Spanish real estate, because the same thing [that happened in Florida] was probably going to happen in Spain. So that was how I started. I invested in real estate, but from day one, I invested in only what I considered was going to be the best project for the future.

Follow LUX on Instagram: luxthemagazine

LUX: When did you decide that Málaga would be a focus with Picasso Towers?
Pedro Rodriguez:  We started to buy the project five or six years ago. At that time, people were very sceptical that we could even build this type of project. Almost everyone was sceptical, but when we explained the idea to Antonio Banderas, who is our ambassador, he agreed because he is somebody that will do anything to promote the city where he was born. So we explained the philosophy behind the project and how we wanted to contribute to Málaga as a residential destination.

Successful people want to enjoy the fruit of their success and as these people are looking to invest in real estate, they are thinking about where they want to live, but also where they want to establish their own startups, their own companies. That is what is going to help to transform Málaga not just as a vacation or residential destination, but as a community of all nationalities.

A render of an apartment’s interiors inside Picasso Towers

LUX: Is it a challenge that people do not tend to think of Málaga as a location where you’d buy a very high-end holiday home?
Pedro Rodriguez: Málaga has been projected as a cultural destination in the last 10 years, and it has been celebrated in many interesting films. Also, as you know, it’s an old city – it’s more than 2-3,000 years old. It has not only the old town, but also the Roman area. We invested and started to look at Málaga with great interest because of the way it was growing already, the attention that it was getting from entrepreneurs from Spain and all over Europe. We thought that the interest was going to bring a demand for a higher quality product, and the kinds of apartments that we are building did not exist before in Málaga. You are right that Málaga doesn’t at this point offer housing or apartments with the design or the quality that Marbella offers already, and that is what we realised.

We can already see that the demand is increasing from a variety of interesting people, who are part of the new society that it is coming to the city. It has always been my philosophy to create an end product that would be of a design and quality that will exceed whatever is on the market. There is always a demand for something very special, and the quality of the project is what generates the attention, and desire of people. I think that we are contributing a very singular, unique product with Picasso Towers, and it is helping the city to project itself as a residential destination with a quality product that didn’t exist before.

One of the towers is dedicated to luxury lifestyle amenities including three swimming pools, a premium spa, fitness centre, private cinema, playroom, co-working area and nursery, as well as incorporating the latest technology and security.

LUX: A few years ago, you published an article about how people were opposed to one of your projects in Marbella because they thought it was too big, too sophisticated for the location. Have you had similar challenges with this project in Málaga?
Pedro Rodriguez: When you are creating something unique or special that the city’s society is not familiar with, you have to accept that you will have people who don’t really believe in it. But that is normal. If you create – in whatever area or industry – something that’s special, you cannot expect the majority of people to agree and understand what you are creating otherwise it would not be original, it would not be special. That was my idea in Marbella, yes, when we began to build the Sierra Blanca. It is a special destination in Marbella, and people were thinking that it was crazy because we were investing 20 or 30 million euros of today’s money [the project was 30 years ago]. In Málaga, when I was conceiving the idea for Picasso Towers, people were sceptical as to whether Málaga was ready for that kind of project. They were proven – and we are still proving – that they were wrong. Fortunately, there is a growing number of local and international successful entrepreneurs that are changing Málaga day by day.

Read more: Why you should go to St Moritz now for perfect snow

LUX: Is it true that Málaga is becoming a tech and business destination as well?
Pedro Rodriguez:  Absolutely. New and important international companies are being established quite frequently in Málaga. It is happening almost everyday.

LUX: Are you expecting the buyers of Picasso Towers to be international?
Pedro Rodriguez:  We haven’t really started the international promotion yet, but right now, we already have Swedish or Finnish investors, but mainly Spanish. We have Real Madrid soccer players that have invested in at least four or six apartments. Eventually, it will be home to a great variety of people from almost anywhere.

LUX: Finally, what other developments do you have planned for the future?
Pedro Rodriguez: We have an excellent project under construction right now in Marbella that it is without question, the best apartment project to be built in the city in the last 20 or 30 years at least. We are really proud to say that we have come to an agreement of doing branding with Fendi Casa, and the apartments are excellent alternatives to luxury villas. It is obviously a nice apartment, but at the same time, we want to create a country club lifestyle.

The first phase of Picasso Towers apartments will be ready by the end of 2021, and the whole resort is expected to be completed by 2023. For more information visit: sierrablancaqualityestates.com; metrovacesa.com

British model and founder of Wilder Botanics Rachel Boss. Image by Aaron Hurley

LUX contributing editor and model at Models 1, Charlie Newman continues her online exclusive series, interviewing her peers about their creative pursuits, passions and politics

Charlie Newman

THIS MONTH: British model Rachel Boss has had a longer career than most, shooting with industry legends including the late Peter Lindbergh as well as appearing in all the Vogues, the Pirelli calendar and numerous fashion brand campaigns. Alongside her husband, she recently founded her own brand Wilder Botanics, which specialises in holistic products created from organic, wild ingredients. Here, Rachel opens up about the tough side of modelling, becoming an entrepreneur and her aspirations for the future.

Charlie Newman: Let’s start at the beginning. What was your childhood like?
Rachel Boss: I grew up just outside of Manchester. I had the perfect mix of countryside and being on this great music city’s doorstep back in the late eighties early nineties, so I was constantly going to gigs when I could. We lived in this beautiful old farm, not that we used it, but my mum only ever cooked using home grown vegetables. I went to a convent which wasn’t great! I went there from 3 to 18 years old as a day pupil. Looking back it had a huge effect on me with the guilt that comes from Catholicism. It was awful, it was heaven and hell, it was retribution. My mum stuck up for us by not letting us do confession: what 7 year old has anything to confess? That’s why I had my confirmation much later because you can’t get confirmed without having confessed. I haven’t been to church in a long time now but it’s still in there. I remember going to school and seeing these propaganda posters and being so appalled by these extreme elitist views, but in reaction to this quite a few of us were rebellious. The young nuns were slightly more liberal singing Kumbaya with us, whilst the elder ones were just dreadful. The only two male teachers were science teachers which meant that we really weren’t pushed to do science – things have changed hugely since then. Safe to say, I would never send my children to a convent, in fact I went the complete opposite and sent them to a school where they call the teachers by their first name!

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Charlie Newman: How did fashion come into your life?
Rachel Boss: I can remember always being taller than my peers and everyone telling me I could be a model but I never even considered it because modelling wasn’t a career back then. I saw fashion as my escape, it was my ticket out of Manchester. Interestingly, people from Manchester generally always stay there, they don’t often move. I don’t know whether that’s typical of most towns but I couldn’t wait to get away. University was never on the cards for me, it wasn’t even something I wanted to do and I don’t know why because later on I went to study off my own back. Even though I didn’t go to university straight after school, I still want my children to because I hate the idea of them being out in the world without a purpose. When I left school that’s exactly how I felt, so when I got asked to be a model I took the chance. I was staying at a friends house in Dublin and then somebody asked me to do a show for John Rocha. From that show an agent picked me up, it’s not a very glamorous story! In that first season I worked for John Rocha, Katharine Hamnett and a few other Irish designers. After that, I came back to Manchester and then moved to London at 19 years old so I was a late starter for a model.

Charlie Newman: What were your early experiences of modelling like?
Rachel Boss: Once I signed with an agency I was whisked straight away off to Tokyo, and I didn’t really like it. Whenever I see friends who were also models at the time we look back now and realise that actually we really weren’t treated right as teenagers. Thank goodness for the way my mum brought me up else I would have ended up in some compromising positions. People were always saying to me, ‘Why don’t you relax? Why don’t you go to that club? Why don’t you go out for dinner with them?’ But I wasn’t having any of it which meant that I was spending a lot of time on my own. My first trip was to Tokyo for 4 weeks which was a real eye opener, it was like a cattle market. We weren’t marketed as human beings, never having time to eat or break. Then at night we had to go to club openings which was just not my thing. I left Tokyo with not very fond memories and from there went onto Paris after a brief stint at home in between.

Read more: Artistic visions of Louis Roederer’s Brut Nature 2012

Charlie Newman: Paris is the centre of old school fashion houses, and with it often comes an old school mentality. Did you come across this and how did you deal with it?
Rachel Boss:  I really struggled in Paris because the French bookers were always the toughest. We’d be staying in a model apartment 25 years ago for 600 euros a month and it would be a mattress on the floor, with no light bulbs, nothing in the kitchen and with 6 other girls in the flat, it was completely wrong. Even though I was a tiny bit older than my peers, I felt a lot younger because most of my friends within the industry were from cities so were a lot more streetwise than me. They were in the right crowds immediately, whereas I was very far from it. I must have been really hard to manage because I was forever saying, ‘Sorry but I’m going home now!’ I realise now that I was suffering with anxiety without even realising it because anxiety disorders weren’t discussed then. I remember berating myself thinking, ‘What’s the problem? All you have to do is get on that plane, go to the hotel, get up and go to the job.’ I remember forever talking myself through it and every time on the plane home I’d congratulate myself. So it wasn’t an enjoyable period for me but then again I did have a couple of years which were just incredible. That was when everything changed.

Image by Aaron Hurley

Charlie Newman: What changed exactly?
Rachel Boss: I moved to New York in 1991 where I stayed for a year, and then I moved back there at the age of 25 which was just fantastic because there was a real resurgence of health in fashion. The heroin chic look was out and the more healthy, robust girl was in. People were waking up to the benefits of nutrition and that really opened my eyes to what I wanted to do. I went to an amazing Ashram in upstate near Woodstock, where I learnt the teachings and philosophies of yoga and meditation. I had the time to really read and expand my knowledge whilst I was in New York purely because all of my work was based there and I didn’t have to catch a flight all the time. But by the age of 26 I was moved to the ‘Classic’ table and was told I was past it. That had a real effect on me mentally because I suddenly woke up to the idea that I was a woman and I needed to have a family. I was being portrayed as a 46 year old woman at 26 which I wish I hadn’t agreed to. Afterwards, I just tucked myself away and studied and studied at the Holistic Health college. I was studying to be a Naturopath alongside Nutrition, Homeopathy and Iridology which is recognising genetic traits through Iris formations. I love it because it’s one of those subjects where you’re forever learning.

Charlie Newman: You published Super Herbs: The best adaptogens to reduce stress and improve health, beauty and wellness in 2017. How did that come about?
Rachel Boss: I was approached by The Little Brown publishing house after having just given birth. I remember being so incredibly exhausted at the time and without thinking I went along to the meeting. I remember thinking in the meeting at this really smart office, ‘What the hell am I doing here? I am so tired, and here I am saying that I can write a book!’ I think it must have been the endorphins that come with breast feeding! I wrote it like a job, or studying, so I was really strict with deadlines. I so enjoyed writing it. The book focuses on the history of the herb. It’s a really easy read and helps direct you on how to slot herbs into your life and make you feel better. When you have a chronic illness quite often you get used to it (unless it’s acute) and you end up ignoring it, like chronic digestive issues for example, but in my book I explain how herbs can help you. I also highly recommend reading Rosemary Gladstone and Christopher Hedley’s books. Christopher was my tutor and is simply amazing.

Read more: Designer Philipp Plein on mixing business with pleasure

Charlie Newman: You’ve had such a long and diverse career in an industry that is notoriously short. How has your career developed as you get older?
Rachel Boss: I was more editorial at the beginning, but then I really pushed for it to become a money earner. When I came back to London I was doing the likes of John Lewis, Marks & Spencer and Next, which was great money! There was a time when I was doing everything in London and it was just fantastic, I could drive to work, I absolutely loved it. But then of course they move on as they always do and have to. I’m also very aware that I’m extremely tall to be doing commercial work. I’m just over 6 foot so I’m extremely grateful to them for being so kind to me, most of the other models were 5’9. However, the other day I did my first editorial shoot for a while with the wonderful Renaissance magazine. I met this amazing guy who was Turkish but brought up in Sweden, the hair and make up was from Tokyo and the stylist from America – we all just couldn’t stop talking! I’ve always loved that part of fashion, every shoot has a real mix of people from all over the world. Perhaps it’s because I’m older and more confident, but I feel as though I’m no longer seen as an object that has to be moulded to other peoples desires. I am my own person whilst modelling now.

Charlie Newman: Looking back at your career now, what do you wish you had done differently?
Rachel Boss: My career has forever been in flux between forcing myself to do the job and then retreating. Even when it was French Vogue or shooting with Peter Lindbergh, it was terrible because in my head I just wanted to run for the hills. I look back now and wish I just got on with it for four years and then left. But instead I dragged it out over decades! Often when I left a city I would leave an agency too because then I felt like I could always start again and have a fresh start. The agencies were always very damning of my opinion when really it should have been a joint decision, but luckily I had one wonderful agent who understood that when I said no, I meant no. I became very good at saying no because for years I’d forever been a yes man. As a result, I had a reputation for being difficult. It’s been an interesting journey. Talking and reading about the past now amongst friends and colleagues makes you realise how intense it is as a job.

Charlie Newman: What advice would you give to young models now starting out?
Rachel Boss: Please enjoy it and don’t take it too seriously. I was forever being told that I was ungrateful because I didn’t want to do the jobs, but really there’s alway someone else who will do the job. If it’s not your route or desired path don’t do it.

Charlie Newman: What has been a career highlight for you?
Rachel Boss: I think it’s got to be living in all the cities. I loved working in New York and Morocco and even though living in Paris was hell, I’m so pleased I did it. Now I know all the areas and I met Yves Saint Laurent and so many other incredible people. I was lucky enough to have a good wage so wherever I was, I did whatever I wanted. If there was some restaurant I wanted to go to, I’d try it, if there was anywhere I wanted to go to, off I went. I was very, very happy with my own company, which was hugely beneficial for me because I’d got into such a huge state of panic before where I felt as though I always needed to be with someone, so that was a huge turn around for me. It’s so important to have times in your life, especially when you’re young, to go off and do your own thing because you’ll probably never have that time again. Even if you do get the opportunity to do it when you’re older, your mind is constantly elsewhere and wanting to be with your children. So for me to have had that time was something I really relished. It’s so important as a human being to sit by yourself and be happy.

Rachel and her husband Charlie co-run Wilder Organics, doing everything from the making of products to the selling.

Charlie Newman: What made you decide to start your own company?
Rachel Boss: The company was talked about for years. I was so aware that herbs were still seen as something a bit odd or witchy or something that only people wearing linen and blankets could prescribe to and I didn’t like that! It was the same with when I went to my lectures too. It was all too intense and I wanted to prove that you could be interested in Naturopathy, whilst also enjoying a glass of wine with a steak. The whole idea for Wilder Organics was about bringing herbs into the contemporary lifestyle and fitting it into the everyday. Before it was only really Neal’s Yard, but within the past 5 years I’ve seen a huge surge in interest.

Read more: Island paradise at the Ritz-Carlton Abama resort in Tenerife

The Wilder Botanics boutique, Broadway Market

Charlie Newman: How did you make Wilder Organics a reality?
Rachel Boss: It started with me creating a herb infused body oil and two teas. I asked my friend Lerryn Korda, who is a beautiful illustrator of children’s books, to design the beautiful labels for me. Each type of herb has a different illustration because I really wanted to draw people back to nature and get them to recognise what they’re actually drinking, and maybe even encourage them to go and pick the leaves themselves. This was back in October 2017. I had a little stand at this wonderful sale that supports creatives called The Hand Sale in Kensington and everything sold! I didn’t know what the whole worth was of my product so that’s when my husband swooped in, and he’s totally immersed in it now. It’s just us two and one other person who comes in every so often. We do everything, from the making to the selling to the wholesaling. Everything is biodegradable and recyclable nationwide, it can even be put into your compost. All of our products are recyclable grade 7 which means all councils recycling systems will accept it, which sadly isn’t the case for a lot of other products out there.

Charlie Newman: Where would you like to see Wilder Organics in the future?
Rachel Boss: We would really love to see our beauty products in Liberty because we’re obsessed with everything in there! We have endless ideas for the future, but I’m particularly excited about delving more into women’s health. Alongside our 10 stockists, we’d also like to be stocked worldwide, but without ever losing the core values of our company.

Charlie Newman: And finally, who is your role model of the month?
Rachel Boss: It’s got to be women for me, I love women in every form. If I had to pick one individual it would probably be Julianne Moore, I think she’s just heavenly. My friend works with her who’s a make up artist and said she’s the real deal, she’s true to her persona, so kind and brilliant. I was listening to Zadie Smith on Radio 4 yesterday and I thought she was just amazing, partly because she doesn’t appear to be a people pleaser. I grew up in a generation where everything was about being liked, fitting in and not being a burden. I really rock boats with that even now. I hope my children are like that, I tell my children all the time, just because someone’s an adult it doesn’t mean they are right.

Discover Wilder Botanics’ range of products: wilderbotanics.com

Spring Place Beverly Hills is housed in a building designed by Belzberg Architects

Francesco Costa

Is he the new Nick Jones? Is he the new Adam Neumann? Or is Francesco Costa a totally different type of entrepreneur to the founders of Soho House and WeWork? His Spring Studios and Spring Place businesses, which operate in New York, LA, London and, soon, Milan, offer hip coworking spaces, club membership and studios for shoots, and are becoming a creative force in themselves. Clients include Procter & Gamble, Louis Vuitton, Estée Lauder, Marc Jacobs and Tom Ford. Milan will represent another big step in the global reach of a group that is harnessing the creative energy of its members in a way that might just be making the all-conquering Soho House group feel a little envious. LUX Editor-at- Large Gauhar Kapparova, a Spring member, fires some questions at the Italian creative rainmaker over lunch in London

Gauhar Kapparova

LUX: Does anything else like your business model exist, and how did you think of it?
Francesco Costa: There is nothing like it, we put together workspace, creative agency, production, events and content creation.

LUX: Did you always intend to create Spring Place even when you were creating Studios?
Francesco Costa: No, the idea came later when we saw there was a request for space from our friends and associates.

LUX: How important was the buy-in of creative leaders?
Francesco Costa: Very. Spring is a platform created for them.

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LUX: Spring Place is set to open soon in Milan, following on from NYC and LA. Why is this model so successful?
Francesco Costa: Because the community we serve has many occasions to meet socially, but not so many to meet and interact professionally.

LUX: Why Milan?
Francesco Costa: Milan has an incredible energy. Milan was the art capital of the world in the 1960s, then the fashion capital of the world in the 1980s. Today, it is the centre of design. And, I am Italian.

The meeting space and bar (above) in the LA building

LUX: Did you need to get the buy-in of the big fashion houses for Milan and how did you do this? Who else? Agencies? Celebrities?
Francesco Costa: Most of the fashion houses in Milan are already our clients or investors or friends. I expect a big support from them.

Read more: The opening of Turkey’s newest contemporary art museum OMM

LUX: Is there a signature look and feel to all of the Spring locations, or does the design of each space reflect the personality of its host city? How will the Milan space be different?
Francesco Costa: Every one is different, but there is a common factor: the quality of design and the modernity. Milan will be the same .

The Spring Studios building in New York City and the bar (below)

LUX: There is an obvious logistical advantage in signing up for the whole Spring ‘package’ (production, location, content, events, workspace and entertaining), but does this joined-up approach somehow open up more creative opportunities as well?
Francesco Costa: My goal is to give opportunities beyond the obvious advantage of signing up for ‘a package’.

LUX: Tell us about examples of the creative community supporting or encouraging their peers through the Spring network.
Francesco Costa: There are so many; our members just had the opportunity to invest in the real deal one year ago at one third of the actual stock price.

Each Spring Place location – from LA (above) to NYC and soon Milan – is unique, but the common factor is “the quality of the design and the modernity,” says Costa

LUX: Fashion, film, advertising, digital, media, print – is one more important than others for you? How do they work together?
Francesco Costa: They all work together, but fashion pays for everything.

LUX: How do you communicate with your community and bind them together?
Francesco Costa: By email.

Read more: Lenny Kravitz on creativity and champagne

LUX: Are you the new Soho House?
Francesco Costa: No. Soho House is where you grab a beer, Spring is where you create a new venture or idea.

LUX: Is food and entertainment an important part of the Spring brand?
Francesco Costa: Very!

LUX: What are your biggest challenges?
Francesco Costa: To find amazing buildings like the NYC and LA ones.

LUX: What’s your ten-year plan?
Francesco Costa: To have Spring in every major creative city, a Spring audience, and great brands incubated out of Spring.

Notes: Costa co-founded Spring Place with Alessandro Cajrati; Olivier Lordonnois is its CEO. Costa reinvented the Spring Studios concept after buying it as a studio facility in London.

Find out more: springstudios.com

This article was originally published in the Autumn 19 Issue.

Velocity Black offers a start to finish booking service for high-net-worth individuals 

In 2014, Zia Yusuf quit his job at Goldman Sachs and started an online, ultra-luxury concierge service with his school friend Alex Macdonald. The business is run 100% digitally through the website and app, and membership is by invitation only. We put the co-founder in the hot seat for our 6 Questions interview slot.

Co-founder Zia Yusuf

1. What makes Velocity Black different to other lifestyle services?

Velocity Black is a members’ club reimagined for the digital age and engineered for those looking to lead a limitless life. Velocity Black is built on a breakthrough technology: the world’s first conversational mobile commerce engine for the affluent consumer. Our unique technology is disrupting several multi-trillion dollar industries at once, by re-imagining and simplifying the member experience for discovering and booking travel, dining, events and experiences. Built on the principal that the only thing we truly own is our story and everything else we are simply custodians of, Velocity Black liberates members to make their story as extraordinary as it can be. From planning round-the-world trips, to obtaining the most-sought after luxury goods, a dinner that’ll never be forgotten and original experiences like no other, Velocity Black turns what-ifs, into what’s next.

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We guarantee a response time of one minute 24/7, 365 days a year. We have enabled conversational commerce for the affluent consumer delivering personalised recommendations, automatic payment and fulfilment in real-time, around the clock.

2. How do millennials compare as customers to older generations?

Millennials are the ‘experience generation’. They are bringing a shift in consumption growth away from goods to experiences, valuing a meaningful life and memories shared over material goods. There is also an increase in awareness of the wellbeing of the planet and the effect of humanity on the environment and communities. Many millennials are increasingly looking to ‘give back’. We see that our members are particularly invested in global change.

In addition, instant messaging on smartphones is the preferred form of communication for millennials and they are much more likely to use messaging while travelling. Thanks to an ‘always on’ lifestyle, millennials live in an age of immediate gratification and our guaranteed response time appeals to this.

3. Will Velocity Black ever run out of experiences to offer?

We have delivered more than 45,000 experiences in 60 countries. We strive to assist members to live a limitless life of unforgettable moments and experiences. The world is our oyster. There is always a new experience or discovery to be had and we connect members to these.

Preview the Velocity Black world:

4. Your founding members include public figures such as Gigi Hadid and Vanessa Hudgens. Why is celebrity endorsement so important for the app?

These people work on extraordinary schedules. The reason they find value on our platform is because we make experiences so easy that all they have to do is go and get on a plane, or arrive at a restaurant. Our membership acquisition is based on an outstanding reputation and incredible offering.

5. What’s the craziest experience requested or organised through the app?

Our members benefit from being part of a closed community and we take privacy very seriously. I am therefore unable to disclose the nature of any individual requests, not even the really crazy ones!

6. Where do you go from here?

Velocity Black is one of the fastest growing tech start-ups and we don’t plan on slowing down. As voice search moves from novelty to habitual routine with time poor individuals looking to optimise their time however possible, you can expect to hear Siri and Alexa booking Velocity Black experiences on our member’s behalf. We will also be launching services in health care, real estate and art, later in 2019.

Find out more: velocity.black