Hotel Rating Systems: Stars vs. Diamonds & Which Matters More

1. The Star Rating System

The Star Rating System is the most recognized hotel classification method worldwide. It helps travelers quickly assess the quality, service, and amenities offered by a hotel. However, there is no universal standard, and rating systems vary between organizations and countries.

How It Works

Hotels are assigned 1 to 5 stars, with higher ratings reflecting more luxurious accommodations:

• 1-Star: Basic lodging with minimal amenities.
• 2-Star: Simple hotels with modest comfort.
• 3-Star: Mid-range hotels with a balance of affordability and services.
• 4-Star: Upscale hotels with premium services and fine dining.
• 5-Star: Luxury hotels with world-class hospitality, personal service, and high-end facilities.

The Forbes Travel Guide is renowned for its strict evaluation process and awards up to 5 stars to hotels, restaurants, and spas. National tourism boards in countries like the U.S., UK, and France also use star ratings, but with their own unique criteria.

Since there is no universal standard, a 4-star hotel in Europe might not have the same luxury level as a 4-star hotel in the U.S. According to SiteMinder, European hotel ratings follow a harmonized classification system, whereas Asian and Middle Eastern hotels often self-assign ratings based on their own criteria.

2. The Diamond Rating System

The Diamond Rating System is exclusive to North America, managed by the American Automobile Association (AAA). This system is widely trusted by U.S., Canadian, and Caribbean travelers.

How It Works

Hotels receive 1 to 5 Diamond ratings, with 5 Diamonds being the highest level of luxury. AAA evaluates over 27,000 hotels each year, using professional inspectors who conduct on-site evaluations.

• 1 Diamond: Functional, budget-friendly lodging.
• 2 Diamonds: Enhanced amenities, but simple design.
• 3 Diamonds: Comfortable accommodations with stylish elements.
• 4 Diamonds: Upscale properties with excellent service.
• 5 Diamonds: Ultimate luxury, exceptional service, and personalized experiences.

Unlike star ratings, AAA has a consistent evaluation process across all properties. Hotels must meet strict cleanliness, service, and amenity standards to earn a rating. The AAA Diamond Program ensures transparency and reliability in the North American market.

One unique factor in AAA’s rating guidelines is that less than 1% of hotels earn a 5-Diamond rating, making it a highly prestigious achievement for properties.

3. Key Differences Between Stars and Diamonds

While both rating systems help travelers choose hotels, they have distinct differences:

According to AAA’s newsroom, the Diamond system focuses on North American standards, while the Forbes Travel Guide provides a more international perspective. This means that a traveler in Europe may find the star rating system more relevant, while a traveler in the U.S. or Canada may rely on AAA’s Diamond ratings for consistency and accuracy.

4. Which Rating System Matters More?

For International Travelers

Star ratings are more widely recognized globally, making them the preferred system for Europe, Asia, and Australia. Since many countries have national tourism boards that assign stars, it provides a familiar standard for travelers.

For North American Travelers

Diamond ratings carry more weight in the U.S., Canada, and Mexico because AAA inspects thousands of hotels annually. The AAA Diamond system is trusted by domestic travelers looking for consistent service quality.

For Hoteliers

Hotels compete for both ratings because achieving a 5-Star or 5-Diamond rating is a prestigious honor. According to Hospitality Net, these high ratings increase revenue, attract elite travelers, and boost a hotel’s brand reputation.

Final Thoughts

Both Star and Diamond rating systems serve the same purpose—to help travelers find the best accommodations based on their needs and expectations. Are you a hospitality professional? Understanding these rating systems is crucial for working in high-end hotels and meeting guest expectations.