“Luxury is not just about big rooms, marble floors or three swimming pools. It has to come from the location where the property is—the ability of the owner to provide to the guest, the best of the culture of the place where the hotel is located,” says Laurent Gardinier in his French drawl. The newly appointed President of Relais & Châteaux was in Sri Lanka recently where over two days he met 20 Indian, Sri Lankan and Thai hotel managers, chefs and owners—just some of the representatives of the 580 luxury hotels and restaurants that are members of the France-based global non-profit association.
The luxury hotel business has returned in full force after three years of the Covid-19 pandemic. According to an EY report, in the US, revenue per available room (RevPAR) was up 8.1 per cent in 2022 from 2019, and Europe was up 6.1 per cent for the same period. In India, the RevPAR in June 2023 was 25-27 per cent higher than June 2019, per the Hotels and Hospitality Overview by HVS Anarock, an international hospitality consultancy.
With both international and domestic tourists being back—and not just in India but across the globe—Gardinier says 2022 was a record year for most association members. “There has been a change in the way people in the luxury category are travelling. They are travelling in smaller groups, with just friends or family and are looking for smaller properties and unique experiences, away from bustling crowds,” says Gardinier, in effect describing a typical Relais & Châteaux property, such as Cape Weligama on the southern coast of Sri Lanka, which offers 39 suites and villas up on a cliff. Focussing on small boutique hotels with less than 40 rooms, generally family-run, the common theme at all Relais & Châteaux properties is the exceptional quality of service with a local touch.
“Every detail is important. Whether it is service, quality of food, wine list, amenities in the bathroom… every part of the guest experience has to be consistent and reflect the culture of the place where the hotel is located,” explains Gardinier. The DNA of Relais & Châteaux, he adds, is to have relatively small properties but with a huge focus on gastronomy. Little wonder, the association’s nearly 800 restaurants—including standalone restaurants—have roughly 350 Michelin stars between them. Some famous Relais & Châteaux restaurants include San Diego-based three-Michelin star restaurant Addison, two-Michelin star Italian restaurant Arnolfo in Siena, and three-Michelin star Spanish restaurant in San Sebastian called Akelarre. In India, Mumbai-based Masque is the only standalone restaurant to be a part of Relais & Châteaux.
Typically, Relais & Châteaux guests are in their 40s. “We have around 600 villas, so we are focussed on families. Our properties are generally outside the cities. Nearly 80 per cent of all our activity is dedicated to family, friends and standalone couples or individual travellers,” says Gardinier. “We’re not only selling you rooms, we’re selling the experience... of travelling. It’s not just about being on the beach and spending hours on it; it’s the possibility to explore the world,” says the Parisian hotelier, the youngest of three brothers running the Gardinier group that comprises businesses across France.
In India, six properties are part of Relais & Châteaux. These include Bengaluru-based Shreyas Retreat, Ahilya By the Sea in Goa, Mihirgarh and Sujan in Rajasthan and Niraamaya Surya Samudra and The Malabar House in Kerala. Gardinier says he is keen on more members from India, but finding the right property is essential. Established in 1954 and now operating in 65 countries, the non-profit Relais & Châteaux is fussy about which property it lets into its “family”. Gardinier says each year it receives more than 500 applications globally but accepts an average of only 20 members. “We try to find the best local experience offered by the operator. But most of the time, we refuse anyone who is not connected with the local culture of the place.”
The entry process is stringent and takes anywhere between six months to a year. It involves an inspector making an anonymous visit to the property and then recommending it to the board. Average annual membership fee depends upon the hotel’s size but tends to be in the €20,000-40,000 range. Members also need to pay approximately a 10 per cent commission on all bookings they receive through the network. Relais & Châteaux itself has a staff of about 100, most of whom work in France, with some based in the US, Italy and Japan. “We provide nearly 60 different services. Of course, the most important is the use of the brand,” says Gardinier who became President this year, but has been a member of the board for 17 years.
And how beneficial are these? “Very”, says Yeshwant Rao Holkar of Ahilya By the Sea, a boutique property in Goa. “Interacting with hoteliers from across the globe, cross-pollination of ideas and learning from their experiences is very helpful.” They can also use each other’s resources. Holkar gives the example of how he invited a Mi[1]chelin star chef from a Relais & Châteaux member hotel for a charity event in India. “The Relais & Châteaux brand really counts. Globally it’s well established and the guest knows that he/she can expect a certain level of service and experience.” However, when it comes to bookings through the Relais & Châteaux site, Holkar says most inbound tourists book via travel agents as they come on a multi-city tour, while Indian tourists book directly through the hotel’s website.
Adds Joerg Drechsel who runs The Malabar House in Kochi, Kerala, and has been a member since 2007—the first Relais & Châteaux member in India: “Being a part of Relais & Châteaux is like being part of a private club. There is constant feedback from other members on best practices, on sustainability issues, etc.” Also having the brand helps significantly with sales. “For someone coming from the US, UK or Europe, the brand name gives them confidence.”
While more than 40,000 people are employed across Relais & Châteaux’s member hotels and restaurants, members are facing a shortage of trained manpower. “Maintaining the level of service is a challenge as worldwide we are facing a shortage of people wanting to enter the hospitality industry,” says Gardinier. However, Gardinier says the bigger challenge is sustainability. It’s important not only for the hotel but also guests, who themselves are demanding to stay in a more sustainable property. “At every step of the guest experience, sustainable choices need to be made.
Whether it is choosing paper over plastic, or offering local food, or having gender equality of staff or saving water.” Gardinier says in the beginning sustainable choices are more expensive. “The challenge that we have is not to introduce sustainability at the cost of reducing quality and to make savings. The challenge is to maintain the same level of quality, but in a different way,” says Gardinier adding that in the long term “the strongest economics is to have a happy guest in your hotel”.
