According to the Horwath HTL Global Hotel Market Sentiment Survey, which was conducted across 46 countries in 18 languages and received a total of 2 705 responses, hoteliers throughout the world are unanimously expecting declines in business performance for 2009.

 

In the face of the global economic downturn, it is not surprising that the results of the survey indicate a tough year ahead. In fact, globally, hoteliers ranked the global economic situation as the number one factor negatively influencing the market in 2009, followed by global stock market trends, and local economic trends.

 

Globally, the general market sentiment was rather pessimistic with an average score of -34,2. The only region which achieved a positive average sentiment score is South America (+9,7). On the other hand, hoteliers in North America, which include markets hugely affected by the global economic downturn such as the USA and Canada, expected a relatively bleak outlook in 2009 as the region registered a sentiment score of -41,0.

 

The top five countries (with a sufficient response rate) with the highest sentiment scores were Indonesia (-4,3), South Korea (-7,2), South Africa (-11,9), Norway (-20,3) and Mexico (-24,5). Japan (-74,1), Slovakia (-68,4), Singapore (-64,3), Russia (-58,9) and the USA (-54,8) rounded up the bottom five.

 

With an overall country average score of -11,9 South African hoteliers concurred with their global colleagues. Participants indicated that local/ global stock market performance, global economic growth trends and global oil prices are likely to have the most harmful impact on hotel performance in South Africa this year.

 

Hoteliers in the Northern Cape held the least pessimistic outlook for the year ahead followed by hoteliers in the Eastern Cape industry and Gauteng. Hoteliers in KwaZulu Natal, the Western Cape and North West Province held the most pessimistic outlook for the year ahead.

 

Participants of the South African country survey are of the opinion that the Corporate segment will be the least affected this year. The Leisure FIT (Fully Independent Traveller) and Leisure Group segments, which are typically the most price-sensitive of the four segments surveyed, are expected to be the poorest performing segments in 2009.