Pestana Hotel Group: A Testing Ground for Technology IN ASSOCIATION WITH
Pestana Hotel Group
DIGITAL REPORT 2020
02
NOVEMBER 2020
Pestana Hotel Group: A Testing Ground for Technology WRITTEN BY
WILL GIRLING PRODUCED BY
MIKE SADR
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PESTANA HOTEL GROUP
Gonçalo Marques Oliveira, CIO, discusses how COVID-19 may change hospitality and why Pestana Hotel Group believes in a managed approach to technology
I
f one was to consider the industries most affected by the COVID-19 pandemic, hospitality would probably feature
prominently. The prolonged closure of buildings, the 04
introduction of new ‘spread prevention’ measures, and international travel restrictions have all conspired to make operations much more difficult. Despite this, there remain some prominent examples of companies that have combined perseverance with a highly innovative mindset to achieve profitable outcomes and positive customer experiences. Pestana Hotel Group (Pestana) is one such company. Founded in 1972 and headquartered in Funchal, Portugal, Pestana is a chain managing 100 hotels across three continents (Europe, South America and Africa), as well as six golf courses, two casinos and more. A proudly Portuguese entity, the company even began a collaboration with Cristiano Ronaldo in 2015 to open a hotel chain under his ‘CR7’ brand - the first of which opened one year later in Madeira Island.
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PESTANA HOTEL GROUP
1972
Year founded
Gonçalo Marques Oliveira, Chief Information Officer, joined Pestana in March 2020, just as the pandemic was escalating to lockdown. “The initial
$450mn+ Revenue in US dollars
7,000 06
Number of employees
impact of COVID-19 on the company was huge,” he recalls. “We closed almost all of our units in 15 countries between mid-March and April.” However, Oliveira adds that, despite the unanticipated disruption, Pestana was still thinking several moves ahead to ensure a swift resumption of services as soon as they were able. “Everyone acted in a very professional way and in expectation that we would be ready to reopen at any point; we wanted to make sure that the conditions were right.” Oliveira’s career has been diverse but consistently marked by strong business development and analytical skills, which he has honed at several world-leading organisations. Beginning his first technology-related role in the early 2000s, Oliveira states that he was initially reticent: “My first reaction was to say, ‘I’m not the best guy to do it.’ Fortunately for me, my boss at the time said, ‘No, let’s give it a try,’ and I was subsequently able
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Pestana Worldwide CLICK TO WATCH
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to specialise myself in a number of technological trends.” When the opportunity to work at Pestana presented itself, he says that he was “immediately struck” by the chance to combine what he’d learned in a
“ The initial impact of COVID-19 on the company was huge” — Gonçalo Marques Oliveira, CIO, Pestana Hotel Group
customer-centric framework that augmented experiences via technol-
initially found himself - made it readily
ogy rather than overwhelming them.
apparent to him that Pestana’s tech
“Because it’s the service industry, peo-
partners are indispensable to the
ple want to see and interact with you:
company. Reaching out to them with
they want to experience your hotels.”
two goals in mind (securing both opera-
The difficulties of lockdown - the
tional and financial support, if needed),
operating milieu in which Oliveira
Oliveira says that the result was largely www.t e c hno l www.pe o gyma ga stzan in ae.. com
PESTANA HOTEL GROUP
Pestana Hotel Group | Overview CLICK TO WATCH
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7:09
08 a highly positive one that underscored
have a very distributed network
how trust is almost as foundational
of hotels that requires real-time or
as the tech services themselves. “I’m
near real-time communications,” he
proud to say that the majority of our
explains. “Our responsiveness is one
partners supported us both techno-
of Pestana’s trademarks and Altice
logically and financially during the
Portugal has been essential to main-
lockdown period, which is a testament
taining that.”
to the kind of industry where we work;
However, Pestana’s distinctly high
where people understand the value
level of customer service doesn’t
of longer term relations, instead of
come from technology alone. On the
just the immediate benefits of selling
contrary, it is the company’s outstand-
software.” Portugal’s largest telecoms
ing workplace culture that ultimately
provider, Altice Portugal, is one such
drives its success; technology acts
company that Pestana shares an
simply as an enhancer. Operating in
especially close partnership. “We
a ‘reverse pyramid’ structure, Oliveira
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E X E C U T I V E P R O FILE :
Gonçalo Marques Oliveira Title: CIO
Company: Pestana Hotel Group
Industry: Tourism
Location: Lisbon
Gonçalo Marques Oliveira holds a Management Degree from the Portuguese Catholic University and an MBA from INSEAD, in Fontainebleau. Before joining the Pestana Hotel Group, the largest multinational hotel group of Portuguese origin, Gonçalo was the COO/CIO and Executive Board Member of Tranquilidade, an insurance company. Previously Gonçalo had served as CIO at Galp Energia until 2017, which followed his 12 years at Portugal Telecom (PT), where he was, among other, Head of Information Systems and Board Member of PT-SI (the IT branch of Portugal Telecom). In March 2020 he joined the Pestana Hotel Group as member of the Executive Committee and CIO. During his professional career spanning over twenty years, Gonçalo Oliveira had several responsibilities in the fields of Digital Transformation, IT, Operations, Customer Care, Strategy and also in Consulting, having worked at McKinsey & Co. Gonçalo lives in Lisbon with his wife and two young children.
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“ Because it’s the service industry, people want to see and interact with you: they want to experience your hotels” — Gonçalo Marques Oliveira, CIO, Pestana Hotel Group
how important I am, my first job is to listen to those employees and enact changes from their feedback. That kind of leadership underscores what makes Pestana a true leader in the service industry.” The company also utilises review search engines as a resource for quickly determining needed improvements or service additions. In some
states that the opinions of every
sense, Oliveira suggests, the lockdown
employee form a crucial cycle of feed-
period was advantageous for Pestana
back that helps determine Pestana’s
as it allowed the company to implement
future direction. “Our staff are trained
long-term strategic objectives with
and encouraged to be close to our
greater focus, as well as accelerating
thousands of customers. No matter
its digital transformation.
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PESTANA HOTEL GROUP
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NOVEMBER 2020
“ The ability to leverage technology is becoming an increasingly distinctive factor for customers” — Gonçalo Marques Oliveira, CIO, Pestana Hotel Group IoT (internet of things), AI (artificial intelligence) and AR/VR (augmented reality/virtual reality) are three key technologies being actively explored in hospitality, and Oliveira states that Pestana is equally interested in exploring their use. “The ability to leverage technology is becoming an increasingly distinctive factor for customers, particularly where you have a number of companies using it extensively,” he notes. AI is particularly applicable to Pestana’s vision of constantly-improving services, albeit with restrictions on what kind of customer data is collected and how it’s used. COVID19 has also accelerated its interest in experimenting with a number of IoT-based technologies. Pestana’s dedicated app, which launched in July 2020 (available on both Android and www.t e c hno l www.pe o gyma ga stzan in ae.. com
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PESTANA HOTEL GROUP
“ The hospitality industry is a testing ground for understanding how people interact with technology” — Gonçalo Marques Oliveira, CIO, Pestana Hotel Group
iOS), is its most concentrated effort in this area: empowering customers to make a reservation, check-in, check14
out, and engage with hotels digitally (or not) in the capacity that they are comfortable with, the app is important for realising the hospitality sector’s need for tech-enhanced, COVID-secure operations. “We’ll also be investing
ownership by shareholder Dionísio
some money in VR to provide a virtual
Pestana, son of one the original found-
3D tour of our properties instead of
ers Manuel Pestana, which Oliveira
just looking at pictures,” Oliveira adds.
believes adds a sense of ‘trademark’,
If a piece of technology can result
integrity and far-reaching industry
in a greater customer experience,
experience to its daily operations.
Pestana isn’t afraid of investing money
Having an knowledgeable individual
to explore the idea. This willingness,
at the helm could prove crucial for
in addition to its strong finances, are
navigating hospitality’s post-COVID-19
two qualities that Oliveira highlights
landscape, where many are carefully
as putting the company ahead of its
considering what the industry’s
competition. Another factor is its
future might look like. “First of all,
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Pestana believes that people will
needs, particularly as travel restric-
continue to enjoy traveling,” Oliveira
tions continue to complicate travel
affirms. “But our view is that the
plans. “Our goal is to give them the
future should enhance conveni-
experience they want,” he states.
ence and provide booking flexibility.
Looking ahead to 2021, Oliveira
Customers should be able to cancel
hopes that the company will resume
a booking without penalties, while
its plans for further expansion in
also being provided with benefits
growth. “Right now, the industry
and advantages, even if they are last
itself is very fragmented. However,
minute bookings.” This demonstrates
I believe that Pestana, because of its
Pestana’s refreshingly understanding
solid operating model, will benefit in
and perceptive analysis of customer
that environment.” While it remains www.t e c hno l www.pe o gyma ga stzan in ae.. com
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unclear where and how opportunities for controlled growth will present themselves, he remains confident that the company’s dedicated commitment to the industry will enable Pestana to broach new geographic regions and create a more balanced global portfolio. Moreover, the Group will continue to explore potentially revolutionary tech-based service enhancements for its customers, maintaining its status as a hotel brand at the cutting edge of digital capabilities. “The hospitality industry is a testing ground for understanding how people interact with technology,” Oliveira concludes. “Everyone at Pestana is thinking in the long-term, and we believe hospitality is a really exciting industry to work in right now.”
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PESTANA HOTEL GROUP RUA JAU 54 1300-314 T 00351 21 844 2001 E GUEST@PESTANA.COM
www.pestana.com
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