[P2P-F] Fwd: the Chiang Mai digital neo-nomad scene

[Michel Bauwens]

---------- Forwarded message ----------
From: Asser Christensen <asser at f5.dk>
Date: Thu, Aug 18, 2016 at 2:24 PM
Subject: Re: Chiang Mai



*Working under the palm trees in Thailand*


*These days, it’s a common complaint that we are all chained to a screen
during all of our waking hours. For some, however, the screen has meant a
completely new freedom.*
There is an expectant buzz in the tiny health café in the neighborhood of
Nimmanhaemin. The café is filled to overflowing with young Westerners. Some
haven’t even managed to get a chair.

Most look to be somewhere in their 20s. They are wearing traditional
backpacker threads: shorts with cargo pockets and loose T-shirts. The crowd
is not made up of backpackers on sabbatical, however. Instead, they are
so-called digital nomads. A growing segment of young people, who are
trading the 9-5 grind for the opportunity to work from exotic locations
abroad where the cost of living is low.
The man everyone has turned up to see gets up on the makeshift stage to
great applause.
Johnny F. D. is an American with roots in Taiwan. He is a celebrity of
sorts among the growing number of digital nomads in Chiang Mai, and he has
thousands of listeners to his podcast Travel like a Boss – Listeners that
dream of living his life and trading their drab offices for palm trees and
perpetual summer.

Every Friday, a large group of the digital nomads meets at the café to
network and share success stories.

Today, Johnny F. D. is going to share why all other digital nomads should
have a podcast. »When I started, I had no idea how to do this«, he says.

»But today I estimate that the podcast contributes about 5000 dollars to my
income every single month«, says Johnny, who by now have produced more than
90 episodes of his program, where he interviews others who – like himself –
travel while they work.

The digital nomads are soaking up the message. With a podcast, you attract
more traffic to your personal blog and thereby even more potential
customers for your webshop. Their nodding expressions seem to indicate that
this makes sense.


Reliable Wi-Fi is More Important than an Office
It’s hard to pinpoint exactly when the digital nomad movement began. In
2008, however, one cornerstone was laid when American author Tim Ferriss
published his bestseller, The 4-Hour Workweek.

The premise of the book is that we all have the option of leaving behind
the rat race and the inhumanely long hours spent in the office. Instead,
you can move abroad as an online entrepreneur. Make your money go further,
work less. Hence the four hours in the title of the book. Whether any
entrepreneurs really put a mere four hours a week into their businesses is
something about which most people in the community have their doubts,
however.

While the book and the basic concept were received with quite a bit of
skepticism around the time it was published, today it has gained renewed
momentum, as online portals like Uber, TaskRabbit, Upwork, and Fiverr have
gained ground. Ever so quietly, they are transforming the labor market into
the so-called gig economy.

A study by the American software company Intuit estimates that 40 percent
of the American workforce will be employed on a freelance basis by 2020.
The study concludes that companies increase their efficiency and
flexibility with loosely associated employees, while,

»on the other hand, the freelancers have more of a say in regard to when
and how much they work, giving them a better work-life balance«.

This development, combined with the fact that most jobs today can be done
anywhere, as long as there is a reliable internet connection, has enabled
the new lifestyle as digital nomad in Southeast Asia.

Chiang Mai in northern Thailand is emphasized as the unofficial capital for
the movement, and at this writing, the Facebook group for digital nomads in
the town has more than 8000 members.
It is obvious when you walk around Chiang Mai that something unusual is
going on. Especially the neighborhood of Nimmanhaemin, where most nomads
settle, is filled with cafés with latte art and shabby-chic decor. All
over, you see Europeans and Americans sitting with their MacBooks, working
on home pages or other projects.


*Said goodbye to it all in three months*
Aske Ertmann is one of the digital nomads. Six months ago, he said goodbye
to a promising career as web developer at the MOC agency in Copenhagen.
Here, he had been behind projects like homepages for the Ministry of
Environment and Food of Denmark and the political party Venstre. Instead,
he threw himself into this unknown, but strangely alluring, lifestyle.

»I had worked at the same place for quite a few years, and I really didn’t
feel like saying goodbye to all of that, but at the same time, I really
wanted to try something else. And little by little, the possibility of
combining travel and work became more and more relevant to me«, says Aske
Ertmann, who went straight from secondary school to the labor market and
didn’t have a chance to take a sabbatical like a lot of his peers.

He had first read about the lifestyle on Twitter. Slowly but surely, he
started researching digital nomads on various blogs and fora, and once the
decision was made, he was ready to leave Denmark three months later.

»The hardest decision was probably to quit my job. Not because I was
leaving my comfort zone, but because I didn’t feel like it. I had been at
the same place for six years, had made partner, and I liked coming to work.
Taking the step from that into the unknown, that was hard. However, at the
same time, the point was also to find new challenges«, he explains.

Aske Ertmann made an agreement with his former employer that they could use
him one day a week, if they needed it, and after that, it was farewell. So
far, the trip has brought the 25-year-old web developer to Germany,
Switzerland, Spain, Vietnam, and Cambodia. Well, and now, Chiang Mai in
Thailand.

Aside from traveling, he puts most of his efforts into an open-source IT
project called Neos, which he has been part of developing from the bottom
up. That is his passion. When the tide is a little low in his bank account,
he shores it up with a few freelance jobs as web developer.

»It’s a bit of a luxury, being able to do this almost full time«, he says.

Aske’s plan, however, is slowly but surely to start accepting more paying
jobs, as the trip progresses. In spite of having savings, he needs to make
sure that the journey can continue as long as possible.


>From Diving Bum to Nomad Chief
I meet Johnny F. D. once again at the popular coworking space PunSpace in a
green belt at the outskirts of Nimmanhaemin. By now, his name is becoming
synonymous with the nomad lifestyle. American business media and the entire
blogosphere have discovered this as well. The story about how Johnny F. D.
went from diving bum on the brink of bankruptcy to online entrepreneur with
a passive income of more than DKK 60,000 a month is practically a modern
version of the American dream.

Johnny, who had had enough of the rat race, went to Thailand to become a
diving instructor, train muay thai and »live the good life on a rock«, as
he himself puts it. The lifestyle only lasted a couple of years, however,
before he was just a poor American without a career in a foreign country.
He wound up writing an eBook about his experiences. The pseudonym F. D.
came from his living as Fighter Divemaster – his legal last name is Tejen.
That kicked off his life as an online entrepreneur, where he makes the
majority of his income today on a type of e-trade called drop shipping,
affiliate marketing, and online courses.

»There was not much of a community for this sort of thing in Chiang Mai,
when I got here. Nobody used the expression ’digital nomad’, and we, who
were interested in working online, found each other randomly«, he says.

»However, living as a digital nomad has become increasingly popular. Not
only has finding a job become easier, but also all the peripheral things
like housing and networking. Everyone who feels like taking a break from
his or her job for six months to a year, can go somewhere like Chiang Mai
to meet other likeminded individuals and potentially make enough money to
be able to create a life there.«

[image: johnny fd denmark]


One thing that really made the lifestyle possible is the boom that has
taken place as far as the prevalence of office communities. From being
something practiced by creative types in Copenhagen, Berlin, and New York,
it has now become a common site in a number of major cities in the nomad
circuit in Southeast Asia.

Along with his wife, Vichaya Sirisanthana founded Euam, Chiang Mais first
coworking space, PunSpace, three years ago. In the beginning, they were
unsure whether the customers would show up, but today there are four
coworking spaces in town.

»We are both programmers and would like a place for ourselves to work.
There were no coworking spaces in Chiang Mai back then, so we thought we
would make one. After a year, our first coworking space was so popular that
we started a new branch«, says Vichaya Sirisanthana.
He explains that the digital nomads are the main reason for PunSpace almost
always having all their desk spaces filled.

»The vast majority of our users are digital nomads. Many of them are
freelancers in programming or graphic design, but quite a few do online
marketing and e-trade«.
A coworking space, he says, is a better place to socialize than cafés,
where you don’t see the same people every day or know if they are digital
nomads. With a coworking space, you are sure to get human contact and fast,
reliable Wi-Fi. These are two of the main concerns of people who work
online.

Vichaya Sirisanthana estimates that several factors have been instrumental
in attracting the digital nomads to Chiang Mai. Basically, however, it is
just a very pleasant town to live in. It is neither too small nor too
large, the prices are low, and the weather is nice year-round.

»But things like Johnny’s blog have also contributed to spreading the
news«, he explains.
Chiang Mai and the rising population of competent western workers are also
starting to show up on the radar of several American online giants. A short
time ago, Amazon stopped in at PunSpace to talk about the company’s new
e-trade program. The freelance portal Fiverr and the online payment service
Payoneer have also had networking events in town recently.

Vichaya Sirisanthana believes the future is bright for coworking spaces in
Chiang Mai. He believes the trend is sure to increase in volume.

»We meet many who just quit their jobs and have come to Chiang Mai to
become digital nomads. Most have been employed in a company previously, but
are choosing to try this lifestyle, because they want to travel and be
free. As a digital nomad, you don’t need to work five days a week. Instead,
you can follow your own program, and perhaps work hard for two weeks, and
then take two weeks of vacation afterwards. At the same time, you can
travel and experience a new culture. Many young people are attracted to
that«, he says.



<https://1.bp.blogspot.com/-OM2LOoLiWjE/Vs1n7r1b6rI/AAAAAAAAimM/AujkCAw3IHQ/s1600/Vichaya%2BSirisanthana%2B.jpg>
Vichaya Sirisanthana owner of PunSpace, Coworking

The best decision ever
The lifestyle definitely appeals to Aske Ertmann. With no hesitation, he
says that becoming a digital nomad may be the best decision he ever made.
And he is planning to continue to travel around the world while he works
for quite a while yet. Only one of those big life-altering events, like a
relationship or a dream job, for instance, can put an end to the trip.

»The awesome thing about it is being your own boss. That there are no
clients or deadlines, and you can work whenever you feel like it. I work
anyway, though, usually 30-35 hours a week. But now I work when it suits
me. For instance, I can be off and do things in the daytime, while it’s
light, and work in the evening instead«, he says.

»It’s not the way it used to be, where you worked every day during the week
and looked forward to the weekend, and it provides a lot of freedom.
Yesterday, I rode my mountain bike all day, and then I worked in the
evening instead. That kind of flexibility is awesome. That it isn’t just 9
to 5«, he says.
Aske Ertmann does acknowledge, however, that it’s not a lifestyle
completely devoid of stress. When you get to a new place, you have to start
over and relearn all the practical things.

»It takes energy and time to find out how things work, find a place to
live, find a place to work. Get to know the new customs and rules. How to
handle the basics like shopping and laundry. The payoff is great, though.
You get a lot back by being in a new place. Everything is interesting.
You’ve never done it before. And there is always something new. You get
away from the habitual«.

Precisely Chiang Mai does take a little less energy than many other places,
Aske Ertmann explains. He succeeded in finding a so-called serviced
apartment within half a day when he first arrived in town. It is a hybrid
between a hotel room and a furnished apartment.

»It makes it incredibly easy to move in for a short time, just as long as
you’re here for a month. Typically, hotel rooms are more expensive, and you
get an inferior place to stay«, he says.

According to the Danish web developer, however, the main attraction of
Chiang Mai is especially the other nomads.

»It is very easy to meet people here. Most nomads live within a radius of a
kilometer, so you are always running into people. A great many are open to
meeting new people and forming new friendships. People here are not as
closed as Danes are usually«.


<https://3.bp.blogspot.com/-c_NdOa7D4-Y/Vs1oyNWNP3I/AAAAAAAAimY/0Q1r6L5wnpg/s1600/Amagertorv%252C_Copenhagen.jpg>
Copenhagen. Denmark

A legal gray area

There is no doubt that many Westerners love Thailand. This love is not
always mutual, however. Just over a year ago, about 20 police officers in
riot gear busted in and arrested most of the nomads at PunSpace. They were
placed in paddy wagons and were brought to the immigration office. All
nomads were released after a few hours and could return to the coworking
space.
Johnny F. D.’s variation of the story is that it was a big
misunderstanding. The police thought that the digital nomads were working
for PunSpace, which would be illegal. When the authorities found out that
they were instead working on various online projects, there were no
problems.

This variation is naïve, however, according to several in the community.
Westerners who live and work in Thailand are basically personas non grata
to the country’s military junta. Since the junta seized power in a coup in
2014, it has drawn attention with several peculiar laws and regulations.
Among other things, reading George Orwell’s book 1984 in public is illegal
today. Although nomads might contribute to the economy, they are not part
of an ‘authentic Thailand’.

The blog Chiang Mai Buddy claims that the local authorities are currently
gathering proof and building cases against the most high-profile digital
nomads in Chiang Mai. Meaning people like Johnny. In principle, the
authorities could start court proceedings and deport unwanted elements
anytime.

And that may be a bomb under the digital nomads in Chiang Mai. The vast
majority of them are in Thailand on a tourist visa, which really prohibits
all types of work.

This also means that every three months, they have to do a so-called visa
run. A quick trip to Laos or Malaysia, a visit to the Thai embassy, a new
stamp in the passport, and then back for another three months.

This type of thing has become increasingly difficult over the past few
years. The visa regulations have been tightened. The latest example was
doing away with the popular ‘multiple entry’ visa in favor of a visa, which
on paper is a much more difficult to get for somewhat poor, young
Westerners.
The authorities do not understand digital nomads

»Basically, the Thai authorities do not understand the community, and their
laws are from a time when there was no such thing as digital nomads. They
don’t quite know how to handle us, although we are basically tourists«,
says Johnny F. D.

»Even though it is not legal for us to work here, the authorities are not
enforcing the law right now, because we bring a lot of resources to the
local economy. None of us is taking jobs from the locals, so they have no
reason to want us gone«, he says.

One of the places benefitting from the digital nomads and their seemingly
endless cafe latte budgets is the café Healthy B., where Johnny F. D. and
the other nomads hold their weekly networking events. In addition, a
subgroup with a particular interest in the new hot online marketing
technique, search engine optimization, have begun to hang out at Healthy B.
every single Thursday.

»I opened the café three months ago, and I didn’t know much about the
digital nomads«, says proprietor Poohwena Sri.

»Today, however, they are the most important segment for our business. When
new nomads come into town, they participate in the Friday meeting, and then
they’ll be back later to work from the café for an entire day. Close to 100
percent of our new customers come from that community«, she elaborates.

Johnny F. D. believes that the only sensible solution for Thailand is to
create a visa specifically intended for digital nomads. This is because he
believes they spend more money in the country than, for instance,
backpackers or retirees.

»We live in luxury apartments and spend money on food and locally produced
merchandise, and we are not taking jobs from the Thai. We definitely
contribute to the economy«, he says, pointing out that today, he is unable
to hire local workers, and instead he must settle for a virtual assistant
sitting in the Philippines in order to avoid problems with the authorities.

»The beautiful thing is, however, that we’ll just move if it becomes more
difficult to be here. I love the food and the culture in Thailand, but with
one post on my blog, I can just say, ‘off we go to Bali or the Philippines
instead, and thousands will follow me there«.


<https://4.bp.blogspot.com/-UoGzEEtYDVI/Vs1pSIL_w8I/AAAAAAAAimc/pCf71bIQvPA/s1600/Poohwena%2BSri.jpg>
On left Poohwena Sri owner of Healthy B. Cafe
’The new rich’ or a precariat?
In The 4-Hour Workweek, Tim Ferriss describes the members of the new
movement as the new rich. Instead of just being rich on monetary resources,
they also have plenty of leisure time. This, as opposed to many other
wealthy people, they can actually take time off to enjoy their wealth.
Since then, however, quite a bit of contention has developed around that
view. Among others, professor and labor market economist Guy Standing
believes that freelancers make up a new form of proletariat, underbidding
each other on platforms like Uber, Upwork, and Fiverr. He has written about
this in the book The Precariat.

»The group belongs to the precariat, which is characterized by uncertain
work conditions, variable income, and little chance of developing a career
or professional security«, Guy Standing has previously told Information.

And it’s not even like digital nomads with blogs or online shops are in a
more secure position than their freelance colleagues. If they become ill or
the earnings fail, they are left holding the bag. Not the welfare state or
some compassionate union. And they have to set aside their own pension as
well.
Danish futures researcher, Peter Hesseldahl is another, who definitely does
not see the future labor market as being rosy for the small entrepreneurs.

»Those who used to have a fixed salary and vacation time will have to find
new jobs as freelancers in the future. The large union middle class will be
the ones to leave their full time positions to enter a status of so-called
micro-entrepreneurs. Many of them may as well be called day laborers«, he
has previously told F5 Magazine.

Peter Hesseldahl believes that the development calls for rethinking the
Danish model.

»It is a classic job for the unions, but the problem is that the people
they want to organize don’t want to submit themselves to the
mass-industrial worldview of the unions and the view of working that comes
with it. The unions will need to consider what the job concept covers today
and in the future and create solutions that match what is being required in
order to do a job today«.


<https://3.bp.blogspot.com/-H68-ky65JGU/Vs1qfYM6PwI/AAAAAAAAimo/M7m8ZKHB-f4/s1600/Precariat.png>
According to the Daily Mail tabloid magazine

Drop your education and start an online business
Skepticism from academics and bureaucrats certainly have no influence on
the increasingly large blogosphere for digital nomads, however. Here, the
analysis says that the trend will only become more prolific. One popular
piece of advice you often see from American bloggers is that the young
people at home should skip taking an expensive university education
completely, and instead come to Asia and start an online business. It costs
a fraction, and you gain tools you can actually use in business. Just in
case, they really do want to do something other than being self-employed
someday.

»When I first started, the bias was that making money online was not
possible, and that it was a waste of time. Now, people in the United States
are more likely to think that it is definitely possible, but many have an
excuse for why they can’t do it« Johnny F. D. says.

He does believe, however, that the little by little, it will become even
harder to stick to the bad excuses.

»Over the next couple of years, we will see even more organized events and
travel packages for digital nomads. Already now, there are companies
bringing young people out into the world to various coworking spaces«.

In Denmark, we see something similar, where, among other things, the
company Refuga specializes in arranging so-called work vacations abroad for
entrepreneurs. One of the company’s next trips go to the Thai island Koh
Samui.


<https://4.bp.blogspot.com/-FaLbRXnkvmE/Vs1sFr81MdI/AAAAAAAAim8/mKFNETghp4I/s1600/thailand.jpeg>
Four Seasons Resort in Koh Samui

Still just 1 percent of the world
More and more visionary companies are allowing their employees to take
their jobs abroad, says Johnny F. D. It makes perfect sense for both
parties, but it requires an employer with quite a bit of trust.

»Letting employees travel while they work is an obvious choice, as they can
often be at least as productive as at home. If you allow Danish employees
to go to Thailand in the winter, they can be both happier and healthier,
and at the same time, the company can save money, since it’s much cheaper
to live down here«.

Actually, Johnny F. D.’s statement wasn’t pulled out of thin air
altogether. A study from Stanford University shows that employees working
from home are typically between 13 and 22 percent more effective than their
colleagues at the office.

Thus, it may sound like digital nomads are on their way to become a
mainstream culture into which most people with a relatively digital job can
throw themselves. Johnny F. D. still sees a natural limitation, however.

»The lifestyle is becoming more mainstream. We are still just a fraction of
the world’s population, however. Most normal people fear losing their
career and are fearful of living abroad. No matter what, we will never be
more than one percent of the population of the world«, he says.
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