A hotel's fate is dependent on the situation of the city it resides in. We all know the decline in occupancy and rate in Aberdeen is a result of a decrease in oil and gas business, while properties in parts of Egypt have been struggling after a spate of incidents caused a staggering drop in tourists.
But when it comes to something like Brexit there is added uncertainty because it's still unclear what it really means. It appears that this ambiguity is putting some business on hold.
Seven months since the vote, new analysis of the UK hotel sector by AlixPartners, AM:PM, HVS and STR suggests disparity between business and leisure travel.
Its Q4 2016 analysis covering October-December 2016 indicates leisure-focused properties are faring better than business-orientated hotels, increasing a gap that was identified in the immediate quarter after the vote (July-September 2016).
While currency fluctuations are helping international visitor numbers to rise and UK holidaymakers to take breaks within the UK, corporate travel is not so confident.
HVS's chairman Russel Kett told me the recent figures indicate that not as many people are doing business or staying in UK hotels. However, the analysis only covers hotels and does not consider how other accommodation types such as serviced apartments or home rental companies are performing.
Kett expects things to turn around. "I'd anticipate an improvement in business travel as Brexit moves through and people travel more to make deals that may currently be on hold," he said.
Kett discouraged buyers from taking a UK overall view to hotels as rates, occupancy and performance varies greatly by city, but generally he expects occupancy and the average room rate to rise a little in 2017.
Where travel managers may benefit, he says, is through loyalty and channel choice. "Hotels should be interested in travel managers that can deliver direct (including TMC) bookings rather than the expensive OTA channel," he explained. "For loyalty travel managers should be able to negotiate a good deal, providing that bookings are direct. The more that is direct the happier hotels are."