3 Ways to Be a Responsible Digital Nomad

Last week, I went to my local optometrist for a checkup. He was an affable fellow, a dual citizen like me, and we got to chatting about our mutual love of Cape Town.

I explained that I worked for International Living, an organization that helps people find opportunities overseas.

“Well,” he said, “we certainly live in one of the most popular destinations. I mean, just imagine all the digital nomads flooding into this place. It’s as though somebody set out to design the perfect spot for them.”

Indeed... and like so many other cities around the world, the strain of that popularity is starting to show. It’s something any potential digital nomad should think about carefully before moving abroad.

In December, a local portal published an article about digital nomads in what we South Africans call the “Mother City.” The author interviewed the host of a popular afternoon drive-time radio show, who said, “Around 80% of the public reaction I get on this subject is negative.”

That puts Cape Town in good company. Barcelona, Lisbon, Mexico City, Bali, Medellin, Tbilisi, Chiang Mai… all have generated headlines about the angst caused by digital nomadism.

In every case, the criticism follows a pattern:

• Gentrification and short-term rental platforms geared to digital nomads have rapidly raised housing costs and reduced availability for locals. For example, 900,000 new apartments were built on Cape Town’s Atlantic Seaboard over the last two years. Not one of them is affordable on the average Capetonian salary.

• Because digital nomads have stronger currencies to spend, restaurants, coffee bars, night spots, and similar establishments are charging exaggerated prices, pricing locals out. Most of us wouldn’t dream of going to restaurants on the Atlantic seaboard at this point, since they charge three to four times more than those in less popular areas.

• The sheer volume of digital nomads is destroying the character of local neighborhoods, especially those that drew them in the first place. On Cape Town’s famous Long Street, you’re unlikely to hear a South African accent in the clubs and bars except from the service staff.

• Existing economic and social inequality is worsened by the influx of digital nomads. Classes and communities that had achieved mutual respect and tolerance are being driven apart by competing interests rooted in the phenomenon. (On the bright side, however, the common struggle to find affordable accommodation is uniting black and white Capetonians as never before.)

Now, don’t get me wrong... I don’t think there’s anything inherently wrong with digital nomadism. But we’ve clearly hit the point where it’s important to think about the impact of your choices if you go that route... both on the cities you choose and on the quality of your digital nomad experience.

Here are three things to consider:

• How much have housing costs risen in your target city in the last three or four years? Destinations with rapid recent increases in housing costs are unlikely to roll out the welcome mat. Consider a less popular destination in the same country… or even a smaller town in the countryside, which would genuinely appreciate your custom.

• Who is really profiting from your presence? Governments and local property owners always say digital nomads boost the economy. But there’s a big difference between an aggregate increase in economic activity and how that increase is distributed. It’s not hard to find out how wages have risen in a city. If they’ve not kept pace with that city’s economic growth, be prepared for the cold shoulder from the locals.

• Will your presence aggravate existing fault lines? Cape Town, for example, is still scarred by apartheid. The old government evicted tens of thousands of people from the central city, dumping them on barren sand dunes far away. The descendants of those families are watching digital nomads occupy those same locations, the very places from which they were forced. Those are the people likely to be serving you in local restaurants and bars.

None of this should prevent you from considering a life as a digital nomad! But rather than take the rosy projections of your positive impact at face value, it doesn't hurt to do a little digging beyond the standard questions of living costs and so on. After all, it's not a lot of fun to live in a city where most of the locals dislike your presence.

Of course, if you're a prospective digital nomad and you'd like me to help you investigate some of these issues, be sure to drop me a line & up for my consultation service.