SI Magazine: Mr. Goar, why is Vail Resorts investing in Switzerland of all places? Are other countries not interesting?

Mike Goar: Vail Resorts takes a disciplined approach to acquisitions. We look for resorts that are complementary to our existing network, and not duplicative, in terms of both experience and location.

Our acquisitions in Switzerland align to our growth strategy to expand our resort network in Europe, creating even more value for our pass holders and guests around the world. There are other countries and regions that offer that same value, and we‘ll continue to look at those opportunities as we build and strengthen our resort network.

Critics say, the ski market in Europe is shrinking. What do you think about the market potential?

We see great potential in the European ski market and that is one of the main reasons why we want to invest. Growing the sport is a large priority for our company and we believe growth for our industry means diversifying the participants.

This includes ensuring our sport remains accessible and inclusive of all people. If we do not manage to make it afforadable for everyone, we are going to face big problems in the future. Because then there will not be any young skiers, to activate the market. Of course we also have to minimize the enviromental impacts but that is something Vail Resorts is already taking very seriously.s, a ski school and a sports shop.

So what criteria must a ski resort meet to be considered for investion by Vail Resort?

Vail Resorts is thoughtful, strategic and disciplined about the resorts it acquires. For example: We do not invest in small ski resorts, except when it is in the surroundings of a bigger city – we did that in the USA to provide access for kids learning skiing.

However, usally we look for medium or big ski resorts that are well established and are going to fit in the Epic Pass network. A strong community is also important. We want to work together to create long-lasting partnerships to help build strong resort communities.

Another important criteria is the opportunity for vertical integration. Of course we do not want to own the whole mountain to keep up competition, but we want to create great packages and experiences for our guests. In Andermatt-Sedrun we own nine restaurants, a ski school and a sports shop.

Let‘s talk about Andermatt: What have you been able to archieve so far?

We entered our partnership at Andermatt-Sedrun the same way we intend to now at Crans-Montana Mountain Resort – with a focus on listening and learning from our partners and the community.

At Andermatt-Sedrun, we took the time to really understand, appreciate, and honor the culture and norms. A good relationship with villages and communities is important for us. For example, our employees are locals – we only extended it with a few Americans for synergies with Vail Resorts. We plan to improve the infrastructure on the mountain with improved snow making and invest in the mountain gastronomy.

So what have we archieved so far? We are delivering a positive guest experience with strong community support. And, far more American skiers contributing to the economic vitality of the community.

And Crans Montana?

Similar to Andermatt-Sedrun, we approached our acquisition at Crans-Montana with a focus on listening and learning from the community. We make decisions locally and the community‘s insights are key in determining priority investments. We have a masterplan for snow making, restaurants and accomodations of course.

Are there any differences in managing swiss resorts in comparison to american resorts?

I get asked this question quite often but it is a good one. There are many similarities in management.

But if I have to mention one mayor difference, it is the number of employees. Let me give you an example: In the US there typically two people in each station of the lift, because we want to make sure that the capacity of the lifts is maximized. This also happens in Andermatt-Sedrun and Crans-Montana but with less employees at the stations.

Also the ticket checking process is different then in the US. What I learned from my time in Switzerland: We have to consider many operational things, if we want to replace a chairlift or a cable car. Of course they are important for safety, but we first had to understand the complex processes.

Another difference I found is the operation of the ski schools. In the US there is one ski school per mountain and its operated by the ski resort itself – that is not the same in Switzerland.

And when it comes to the gastronomy offer, I thinkthat the experience is just different. In Switzerland, a relaxed lunch-break with traditional dishes is an integral part of a ski day.

What synergies do you see between Vail Resorts and the two Swiss ski resorts?

We own and operate the most renowned destination resorts in the world as well as regional and local ski areas outside major cities, and connect them all through one unrivaled network. There is strength and stability in being part of a larger entity focused on the mountain resort business.

We exchange our experiences and practices. Our effort concentrates on making the ski resorts Andermatt- Sedrun and Crans-Montana unique, what is really important in Europe to remain competitve.

We are partnering with local businesses and care to create a great experience for our guests. We also share our ideas on snow production and lift infrastructure.

What are your plans for summer in Andermatt and Crans Montana?

In Crans-Montana we already have a broad variety of summer activities. Of course it could always be improved, but we have to consider which impact it will have to the community. In Andermatt- Sedrun, there are opportunities for expansion in summer activities and we are currently working on a summer masterplan.

And how we approach it: We ask the community: Shall we continue to build it or not? But I must say the process is easier in the US. Most of the land is owned by the ski resort or by the Goverment.

As an US investor you inevitably encounter reservations in Europe. How do you approach stakeholders, locals, competitors?

I think an advantage in Andermatt-Sedrun and Crans-Montana is that both resorts were previously owned by international investors. But our main strategy for our Swiss resots is: We want to be a good partner for the community and a good employer and we communicated that from the start.

What are your pricing stategies for Crans-Montana and Andermatt?

Our main focus lies on the Epic Pass. We want to integrate Crans-Montana into the existing network, as we already did with Andermatt-Sedrun (and Disentis). Regarding the prices: We will remain competitive with our ticket product and pricing. It‘s important to acknowledge that ticket prices could increase due to inflation or expenses such as electricity.

To sum up this interview: Are there other ski resorts on your shopping list?

We are always looking for opportunities to enhance our overall network strength. The Alps continue to be one of the regions of focus for us as we build and strengthen our resort network. That said, I cannot speculate on possible acquistions.

Interview held by Johanna Janisch