michelin โExpands Beyond Tires, Restaurants & Hotels with New Rankings
The Michelin Guide, renowned for its restaurant stars and now its hotel “keys,”โฃ is continuing its evolution beyondโข its โคorigins as aโข tire company promotional tool. Michelin CEO Florent Menegaux highlighted the group’s growing influence, noting its ownership of Robert Parker Wine Advocate (acquired in 2019), while โขemphasizing, “The michelin โฃbrand is much more powerful” โคand โthat the Parker brand would not be absorbed.
Originally facing difficulties in the โearly 2000s,the guide is now profitable and โoperates in 70 โcountries,having successfully transitioned to a digital presence alongsideโฃ its traditional paperโ guide – though the paper guideโ is now a “negligible” part of the economic model. Today, Michelin’s revenue streams primarily come โฃfrom partnerships (with 40 countries currently) seeking to promote their destinations and brands, and increasingly, from reservations.
Michelin’s foray into hotel reservations began with the 2018 acquisition of โTablet โHotels, a specialist in โคluxury and charming accommodations, โคandโฃ launched fully in 2024. This expansion โคlead โto the creation of the Michelin โKeys, โฃthe guide’s firstโ hotel ranking system.A first French โขselection was presented in April 2024, and the guide will unveil its first global hotel rankings this Wednesday.
Like restaurants, hotels are evaluated by anonymous inspectors. Thoseโ distinguished by Michelin can opt to utilize the guide’s reservationโ system, which isโฃ also open to accommodations without โa Michelin Key. The guide charges โฃa commission of 10-15%โ on reservations, a โขrate Gwendal Poullennecโ statesโค is “lower than what the โฃmajorโ hotel reservation platforms practice,”โฃ and more lucrative than restaurant reservations through platforms like โคThe Fork or opentable.
The rankings are also strategically designed to bolster the guide’s reservation โsystem, though Michelin โคstresses maintaining “tightness” between its sales and selection teams. Julianna Twiggs explained that partnerships with countries – like the new one โคwith saudi โฃarabia, set to receive its first restaurant selection at the end of the year – are established “when the local culinary scene is considered mature enough,” and can include accommodations asโ well.