As the oil spill creeps closer to the Gulf Coast, hoteliers’ fears and concerns continue to grow and many indicate their group business has already been affected. Earlier this week, hospitality data and research firm The Knowland Group conducted a survey of 50 hotels across the Gulf Coast from eastern Texas to the Florida Panhandle and down to Key West. Forty-two percent responded that they’ve already experienced group booking cancellations, up seven percent from a similar survey conducted two weeks ago by Knowland.

Future events, according to the survey, are also being affected: Sixty-four percent of hotels said the impact has been minimal; eight percent called it moderate and 14 percent significant.

“Right now the spill seems to be impacting bookings between the present and the next six months, which gives hoteliers time to plan ahead to ensure they maintain business,” said Knowland Group CEO Mike McKean, whose firm conducted the survey of hotels across several different brands, from Ramada to Holiday Inn to a Grand Marriott and more luxury resorts, all with more than a 1,000 square feet of meeting space. “If things do get worse, hoteliers should consider new ways to proactively increase their sales and needed revenue.”

Fifty-six percent of the hotels surveyed responded that media hype surrounding the spill was the reason for the cancellations, while 48 percent said it was the spill’s potential effect on the beach causing the cancellations. A representative from the Pensacola Bay (FL) convention and visitors bureau yesterday said “our beaches are open and as beautiful as ever,” adding the oil spill is approximately 75 miles southwest in the Gulf. Earlier today the Associated Press reported foul-smelling oil had begun coating the reeds and grasses along Louisiana’s wetlands near Grand Isle, approximately 300 miles west of Pensacola.

Pensacola Beach in Florida has been unaffected by the oil spill.

The oil began flowing into the ocean after an April 20 explosion of a BP-leased rig and the oil continues to gush despite multiple efforts to stem it. BP recently gave a $15-million grant to Mississippi to help promote tourism and counter negative media coverage. Similar grants were expected for Alabama and Louisiana and the much larger Florida could get $25 million.

The survey indicated some hotels have had increased transient bookings because of the oil spill. Forty percent have seen bookings from environmental groups and 36 percent have booked guests associated with the petroleum industry. Fifty-six percent of hotels said they had a specific plan in place to deal with the spill, while 44 percent did not. A hotel in Orange Beach, AL will be running special rates for government officials and has volunteer teams already set up to help with the cleanup and as soon as the oil reaches land, the hotel will contact BP asking for immediate assistance.

The same hotel, like the Pensacola visitors bureau, is also posting information on its website to let people know the beaches haven’t been affected.