VENEZUELA
learns to diversify after turbulent political times









Mr. Sebastiao Nunes, General Manager of Hilton Caracas

Hilton Anauco residencies
Hilton Barquisimeto
Hilton Margarita and Suites


Interview with

Mr. Sebastiao Nunes,
General Manager

30 of January 2001

Can you give us some background information on the Hilton group from Venezuela's perspective?

We are a subsidiary of the Hilton group, TLC. It is a privately owned company. It has been in Venezuela since 1969. There are two hotels in Caracas, Residence and Anauco (all together we have more than 1300 rooms), but also in Barquisimento as well as another one in Margarita, which we have expanded as Margarita Suites. So all together, we have about four hotels, and it is one of the largest international chains here in Venezuela. Depending on how the economy performs, we have expansion plans. Usually Hilton is a management company, so we look for hotels to manage; we are not scared about future investments, but we have to do things under strict conditions.

Is the Caracas Hilton predominant for business clients?

It is, not only in Caracas but throughout Venezuela. It is predominant as a corporate hotel. Right now, Caracas is not having tourism at all, this is for two basic reasons. One of the reasons is a problem of image, and with the disaster they had last year in Vargas it did not help. And the second problem, I would call it a problem of infrastructure, which is the lack of flights landing to Caracas or taking off Caracas. There are very few routes, and that is mainly why we dedicate ourselves to corporate business.

What are the services and facilities that this hotel offers?

The hotel offers what most five stars hotels offer; we have different products. We have two towers and we decided to upgrade the north tower, because it is the most structure. We have the normal rooms, we have executive floors, and we have corporate class. We have special services for the Japanese market, which is one of the Hatsuroya. As far as I know I think they have one of the corporate offices, because you know the Japanese market is very action filled. We offer information about Japanese finance, and we are also going to have a Japanese force, that speaks Japanese of course. We have complete recreational facilities, tennis courts, swimming pool etc.

Do all the rooms in the north tower have an Internet connection?

Right now we are implementing with Sicom, a new system. We are implementing a broadcast access, with complete access. We are in the final stages, and we should be starting in two weeks or so. To make everyone's life easier, there is just going to be a dial an extension, and they are already navigating. We also have a business center-supporting businessmen; inside there is a Cyber Café, where people can connect. We also have a sushi bar, with a Japanese chef. We have a fully equipped gym, for whoever wants to go. The gym, parking lot, and the Cyber Café are concessions; the rest is owned and operated by us. We have the largest ballroom in Venezuela, which is the "Gran Salon"; it is a theater style that can accommodate up to 3000 people, it is huge, and that is where most of the fairs and big events, congresses take place. When the meeting of the Central American governments took place, the 12 heads of states were there. We also offer a variety of suites.

Do you think that the chain of hotels offer a much better package than independent hotels?

There are very few independent hotels, most of the hotels are related to chains ; even Eurobuilding is now a Radisson. I think that everyone is binding for the distribution system because otherwise independent hotels have a disadvantage as compared to the chains, which are extremely known.

The independent hotels are nice but it is different because you know the structure that international chains involve - the thinking hats and all the technical expertise and they cannot match this. Of course, they look to offer a more personalized service, but technically they cannot compete with international chains.
In Venezuela, why should I as a business traveler, should choose to come to the Hilton instead of one of the other groups that are here?

I would come to the Hilton because of the brand. We have a brand that is one of the most recognized brands around the world. The Hilton brand in any of the contest or research done has been among the top 50 brands such as Coca-Cola, Mcdonalds. That is a difference because a brand has a commitment and the clients trust this. That is why they come here: for the same reasons that you ask for a Coca-Cola and not another brand. There are also the incentives that Hilton offers to its loyal customers, through its membership cards. Besides that, there is also the experience that they have acquired somewhere else. So, I think the difference lies in the brand. We deliver! Plus, it is no surprise, so the client knows what he can expect and when something goes wrong they can go to customers affairs, because the consumer becomes more demanding with the time.

Could you elaborate on your training program?

We are always training our staff. Hilton always told us we should prefer the locals. If you are coming to Venezuela, you want to have a picture of Venezuela so that you can feel that you are in a different part of the world. We train our people to know everyday more about the worlds changes. The world is more liberal nowadays and we have to expect differences, maybe you will find some one that is not dressed as a businessman would be expected to, but that does not mean he is not a client. We teach our staff the way to act with clients and approach them. We try very hard to know what to expect from our customers. The Hilton international group is more and more looking after its natural staff. This is what makes the difference and they will try to remember. But you need to have an education, so they can meet the Venezuelan that is amiable, polite, friendly because that is how a lot of people here are.

How would you rate your image in Venezuela?

I think we are delivering as a first class hotel. We try not to disappoint the clients, and always live up to their expectations. If we can manage that, I think we can take care of the rest. Right now we are going to uphold a process of change, there is new management, there is a new setup, there will be a lot of changes.

What expansion plans does the Hilton have for Venezuela, for this hotel or any other in particular?

I do not know this will depend on how the economy goes. I think there is great potential, but Venezuela must do its homework too, and by that I mean we need to have a very serious economic plan, so the world will see we are taking interest. I think it was great what happened to the privatization, this is the kind of example that Venezuela needs to give more to the entire world that this country is serious about its development. The country has huge problems and is aware of it. It might take a generation to put this county back on track.

What message would you address to our readers?

We want our chain to be in all parts of the world. For Latin America there are more of us coming up, we are going to have a state of the art Hotel in San Paolo, it is an apartment room hotel, and it is a 100 million USD in direct investment. I think Brazil is going to kick off because of reforms that they have implemented; it is a new beginning. The country has great potential. The challenge should be very interesting. The entire Latin American continent has an opportunity because of its potential. I believe Venezuela in particular has this potential, partly because of its oil. I am sure that in a couple of years from now, Venezuela, Argentina, Brazil, Chile, and Mexico will be countries completely different from what they are today.
We cannot fool ourselves, we are part of the picture weather we want it or not. So we have to do our best

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© World INvestment NEws, 2002.
This is the electronic edition of the special country report on Venezuela published in Forbes Global Magazine.
April 2002 Issue.
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