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StumbleHarrah’s uses resort fees to take swing at competitors
Tuesday, Jan. 5, 2010 | 7:10 p.m.
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Struggling under a mammoth debt burden in penny-pinching times, Strip casino giant Harrah's Entertainment is taking the offensive with a press release informing consumers that none of the company's Las Vegas hotels charge so-called mandatory resort fees.
The release also takes a broad swipe at the competition, including the many Las Vegas hotels that charge such fees.
"These resorts offer competitive promotional rates; however, in many instances, an additional resort fee is assessed when booking the reservation online (that) may be in excess of 40 percent of the base room rate," the release states.
A competitive advantage is all for naught if consumers don't know about it, which is why the company is trumpeting its no-resort-fee policy, a little-known practice that the company says has existed for several years in Las Vegas.
Resort fees are automatically tacked onto the final cost of a room and can include such services as high-speed Internet access, newspapers, gym access and telephone service. The fees have been widely criticized by consumers.
"Resort fees aren't always obvious to the customer," especially if the charge doesn't show up until checkout, said Marilyn Winn, regional president overseeing the company's Bally's and Paris casinos. "You may be paying for things you didn't want."
Instead of charging a fee for bundled services, Harrah's-owned properties in Las Vegas individually charge guests for products and services they use during their stay, Winn said. That's what consumers prefer, she said.
"Maybe you didn't bring your computer for Internet access because you came to (gamble)," she said.
Many Las Vegas hotels charge resort fees ranging from a few dollars to about $25. There's nothing illegal about charging such fees, so long as they are properly disclosed.
Major hotel chains have settled lawsuits in recent years by consumers alleging that such fees weren't disclosed to guests until it was too late for them to alter their purchase.
Some customers have complained that they weren't aware of the fee until they were charged for the purchase of a room. Resort fees may not show up in the initial price of a room booked online but are included in the final cost.
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MGM Mirage is famous for these fees. Luxor for example often promotes a $39.95 promotional rate, per nite but on top of that add an additional $12.95 resort fee. It's totally outrageous. Do they think we are dumb? Kudos to Harrah's for a promotional rate that doesn't require the aforementioned ripoff.
While the resort fees are ridiculous, I'm a little surprised that it has taken Harrah's this long to use this as a marketing tactic. Aren't they filled with Harvard MBAs or something?!!?
i see gloves are coming off against other casino. i like it. it going to dog eat dog world next year with the casino
One reason Harrah's hasn't used this info in the past is that Harrah's also started charging resort fees, but backed off. For a brief period, the Flamingo charged a resort fee (I believe $10), although it was inconsistently applied.
This is truely revolutionary, whats next, taxis that don't take you the long way round?
This is a great example of how markets will correct themselves with time. Harder times call for cost-cutting and increased competition. This exposing of hidden costs that consumers are more or less forced to pay will ultimately benefit the consumer, which in turn will stimulates more visits by tourists to our city. This period will be a cleansing process that will be good for Las Vegas.
-=- christopher
Why does Harrahs try to charged me for a "reservation fee" when I try to book my offer. However, they say I can go online and not pay the fee, but yet my offer online tells me I can't book online and i have to call the number, the same number that told me to book online!!! I had to pay a reservation fee because I was booking with an agent over the phone. It was only 4 dollars, but that's what Harrahs is counting on.
Harrah's actually does charge a resort fee, it's just paid on the backend, upon returning from Vegas, as a COPAY to your doctor for the prescription scabie ointment after staying in one of their pre-stocked "luv tub" rooms....;)
Wife and I stayed 3 nights at Monte Carlo recently. No charge, except for $31 resort fee.
Told me up front, before I booked. No problem!
$10 per night and $100 free slot play (on which we earned $60 in cash). For $10 a night, I'm in!
Rub-a-Dub-a-Dub...Theres critters in that tub...And you thought you were gonna get away without a sovenier...
Another interesting way to skirt paying any addtional room taxes to the LVCVA as well. Resort Fees are not considered a part of the room rate that is taxed, which then leaves even less money for the fat cats on Paradise to spend. Planet Hollywood was charging a resort fee as well, I wonder when Planet Hollywood was even considered to be a resort in the first place?
Greed has killed Vegas many times and now here is another way where Greed is getting in the way of making amends for Vegas demanding $200 + room rates for a run down Tropicana Guest room facing the parking lot during a convention.
Any wonder why no one is reading about major conventions moving to Vegas anymore?
I love that these bastards are turning on each other. Makes for great competition and better pricing. The 3 local casinos on Boulder Highway (SamsTown, Boulder Station and Eastside Cannery) are just heating up. Let the competition begin and may the consumer come out the winner!
I generally stay at Harrah's resorts. Usually the lower priced ones (I.P.) Used to be very loyal to Stations but not with the resort fee. We did stay at Luxor last year, only time I ever paid resort fee. They did give us a $25 meal credit, But that $13 dollar a day USA Today wasn't worth it. If enough of us refuse, they will back down. Congrats to Harrahs for throwing the first punch. Maybe now Luxor will upgrade their paper to the RJ or Sun to increase the value of the resort fee. Imperial Palace doesn't even charge the $1.00 a day telephone fee that they used to. (We never take the luv-tub rooms).
I took my car to the dealer today for a complimentary oil change and tire rotation. I declined the $29 air filter they said I needed.
Why doesn't Harrah$ talk about how their casinos are notorious for having the worst payout percentage in the entire state on their table games?
I can only imagine how bad it is on the slots.
Leaave it to Harrah$ to take a standard game of blackjack that could have a .25% house edge and tweak it until it's around 2.5%.
They'll get that $10-20 out of you in probably 15 minutes if you hit a table.
I'm waiting for some marketing genius to come up with a ad saying " Slots now 25% looser." and mean it. That will be the start of a revolution. I'm so tired of loosing everything the first day.Free wi-fi, looser slots, cheaper meals that will bring them back. That was what built Vegas. Pencil pushers and other so-called "experts" have made it unfun and unaffordable to come more than once ever year or two. We normally come 2 to 3 times a year but we are down to once ever year and a half. We set our limit to $2000 per year to loose gambling and $5000 for vacations but because we loose the gambling budget so quickly, Vegas doesn't get the mutiple rooms, meals and other money we normally spend that isn't in the "gambling budget". We use it other vacation places without the "one arm bandits". We end up taking the family to see the "mouse".
Vegas has out priced theirselves. As George Maloof would say "Let'em play." Loosen the "one arm bandits"!
palace station charged room fees for about 5 bucks last year - I called the front desk and they said its for room cleaning etc. OK - I said that I havnt had the cleaning people in my room for 2 days - got my own towels - so they took it off my bill. You have to watch these folks - even when they send u free nights - if you dont gamble what they expect from you - they will charge you for the room. They always ask for your charge card - OH we wont charge it - so what I suggest is this - go to the mall and get a charge card with 50 bucks on it - thats all they will be able to get once you leave and are long gone. Fee FEE - isnt that a poodles name FIFI
I would love to stay at the red rock or the Aliante. The rooms they advertise on the big road signs sound fair, but then.......o la la, together with all fees and the resort fee plus tax this is no longer a great deal. I am sure that a big part of Station's losses comes from the fact that many people turned their back on Station after realizing that paying 25 dollars for a newspaper and a non-used internet access plus perhaps a 20 per cent discount in the gift shop just won't make up.
It's sad as I used to be quite a loyal Stations patron, till they came up with this. Next came Boyd with its fee. At the beginning, the 10 dollar fee included the use of that spa (at least the hot tub plus steam room was included), so it was ok. Now they removed this facility from the list of the items you get for paying the resort fee. Instead, you must pay that extra. Well, even the Boyd crew got quite tight and will lose customers. Could be that this is THE CHANCE for the Strip properties to get people back to the Strip who otherwise stayed off-strip.
From Switzerland
Good for you Harrahs! get the rest of the greedy corporate pigs in line..
This is very good news. Regardless of what other faults Harrah's has, this is clearly an upfront policy and consumer friendly.
I am booked at Flamingo and IP in April and now I won't worry about a surprise resort fee. I know what I am paying upfront.
Cricus Circus in Reno is also advertising this way.
Circus Circus in Vegas is being listed as charging $3.95 or $4.95 by brokers selling the discounted rooms, but so far this fee is not in place. Perhaps they will take Harrah's lead.
Resort fees may or may not be taxed, depending on the casino. Red Rock is taxed and that brings it to almost $28
However, Station casino patrons report that it is easily waived with play.
Some comped players in some places automatically have resort fees waived just as they may get food and beverage charged to the room free. There are reports of fees waived when using postcard offers, but having a host works better.
Some, like Stations, waive the fee but still provide the amenity, so comped players get free wifi.
For the poster who could not book on line, but was charged $10 processing fee for booking on the phone: Harrah's will waive that process fee if you can't seem to get the internet to work, and call and tell them you can't get it to work.
It is very common because when booking two Harrah's properties on different dates in the same month, their computer has a glitch and will tell you that you already have a reservation.
Boyd's fee is not yet up to $10. Sam's is $4.50, Gold Coast $3, and Orleans $5
Please keep complaining about Resort Fees verbally and in writing. It makes a difference. M casino also pulled back on these due to customer pressure.
I am collecting Resort Fee information and discussion here:
http://vegasresortfees.blogspot.com/
Booking through an online service such as Expedia seems to avoid any such "resort fees", unless they are already built right in the price you see and pay. At least you know exactly what you are paying, and it is nice to check in and know that your room is already fully paid for your entire trip (just in case you lose your wallet or spend more than you expected).
I love traveling, hence my nickname and i visit Las Vegas about 5 times a year. I stay all over Vegas to spread the wealth to all in town.
I dont buy any of this from Harrah's. They are trying to pump up their business in a time where people arent come their way.
I am not opposed to paying a Service Fee if i know about it. Since nearly all include free internet, it is a great deal because otherwise i would be paying $14.99 for 24 hours of use so the service fee actually is a bargain!!! So dont forget this Harrah's when you gouge your guests a la carte for ALL the individual services the others will now include in their service fees. Your guests will now probably pay more than any of the listed fees.
I just went on to websites at all hotels and here is what i found. Hotels like Excalibur, Treasure Island and all of Station Casinos Hotels tell you about the service fee upfront right as you are looking to obtain rates. I also went on to Expedia for the hotels above and those third party websites also clearly told me about the service fees. So no issue at all about disclosure. It couldnt have been more clearly displayed.
Sounds like those complaining are those who really just dont want to have to pay it? But you cant say that the hotels arent telling you about it up front. You just choose not to like it. But if you accept the terms then you know about it and you pay for it just like any other purchase you make in life.
So let me throw this one out there. Ever rented a car before? Have you seen their charged fees? They charge you a gas cap fee, a gas pedal fee, a windshield wiper fee, etc, etc. Dont hear anyone complaining about those fees??
And lets get to the best one of all. Airline baggage fees. I just went on a Delta flight and had three bags and paid $20 per bag each way. So my bags cost me on my vacation $120 round trip. And they never even got any peanuts or a free beverage. But the flights are full and i hear no one complaining. Its just something you do. Lets put it this way. You are helping to stimulate the economy in one way, shape or form.
So everyone, please, start supporting the city of las vegas. Your griping wont do anything to help Vegas. It will only hurt it. If you dont like it, either dont come to Vegas or if you currently live here and dont like it, leave. Stay away and go visit some other city that enjoys your ranting and raving. But just promise you will leave Las Vegas, the greatest city in the world, alone!
2010 is the year of Optimism. Vegas will do it without you. Preferrably with you. But we will get it done either way!
Viva Las Vegas!
BRAVO TO HARRAH's!!! I stayed at Monte Carlo for 3 nights recently because after doing a search on Expedia, it did not appear that they had a resort fee in comparison to other mid-tier resorts of which I was targeting. When I checked in....there was the resort fee! I was livid...not because of the fee, but because of the practice of charging consumers for services that they might not ordinarily utilize or have no desire to. I never even got my newspaper!
BTW, has anyone noticed the $4 ATM fees at ARIA? Is this standard in LV? I was appalled.
It is greed, plain and simple. Whether it's the overpriced airport parking, the extra rental car fees, the baggage fees, the $14.00 hamburger at MGM, the $6.00 bag of popcorn, the $5.00 soft drink or the resort fee...it's all just taking advantage of the consumer! Shame on the businesses and government that treats people like that. Eventually, people will wise up and stop supporting them!
i used to game exclusively at harrahs 1998-2002. then they sold their property near where i live in shreveport louisiana to boyd (sams town). they didnt change anything but the name on the napkins. great bj rules, loose slots, etc. so ive been gaming there from 2003-2010. but when i go to vegas a couple of times a year and want to try the harrahs name again i came to like so much i see the 6/5 blackjack, slots so tight you would think some one stole your wallet. so now when i go to vegas its either the mgm, the planet hollywood, or the hilton. in the last seven years this company has really lost it. any serious gambler would know their being taken. that only leaves the naive and 1st or 2nd timers to prey on. one more thing, in the early 2000s once you bought in for 10k in a year you were diamond for the rest of the year no matter what. now your points lapse every six months and is only decided by amount gambled or coin in, not buy in. but thats at just about all casinos now. just wanted to bitch.
Just another shot fired in this Las Vegas hotel price war. What is coming up next?
Booking through Expedia doesn't waive the fee. Since it is collected by the hotel and not Expedia, they can market the room at the room rate minus the resort and make it look cheaper than it is.
And I think it's crap that a hotel would make you pay the fee on a comp. Either I am an invited guest or not!
I pretty much always stay at either Red Rock, Green Valley Ranch, or Suncoast with the rooms being comped. I've never been charged a resort fee on a comped room. But I'd rather pay a resort fee at one of those casinos than play at any Harrah's property. Crap games. As someone else posted, you'll lose the equivalent of the resort fee in very little time playing Harrah's games. Not worth it.
Never paid a gas cap, wiper or other fee when renting a car. (Try Alamo, unlimited miles).
It doesn't matter where I stay, I can game at any casino, so I might stay at Harrah's and game at Stations or MGM.
$4.00 ATM fee at Aria? I remember seeing a $10.00 ATM fee at Hard Rock in the 1990's. (There's banks all over L.V., If I need an atm, I go to a bank).
It's all a game. surf around and take the deals as you can find them. I know the resorts want all of your business under one roof, but I go where the deals are. Been in every major casino in Vegas at one time or another. On the last trip we must have visited 20 different ones. At least they don't charge you a resort fee if you just walk through, game or dine there.
By the way, Check out B.B. King's Blues Club at Mirage. Very reasonable food cost, great music, and every employee we dealt with made the experience a very pleasant one.
I live in Phoenix and have come to LV about 4 or 5 times last year alone and will be coming again in two weeks. I actually lived in LV for 4 months before giving up on the terrible non-gaming job market (and this was before the recession) and moving to Phoenix in '04.
LV is a tough town to live in but a great place to visit if you do it right.
I've had to pay the resort fees. Not a good feeling. I used to get excellent deals from Priceline, but one time I used them they put me in Fiesta Rancho. Basically $30/night turned into more like $45-50/night.
This upcoming trip I need to keep the total expenses around $600. Now for someone flying in from across the country or overseas that might not seem like much, but I'm driving 5 hours from Phoenix. Almost like being a local.
1. Staying at either Motel 6 or Super 8. Room rate under $50/night. Super 8 has free WiFi. Motel 6 has $2.99 WiFi fee disclosed upfront. Also, with these places you pay for your room upfront and they do not place a hold on your card.
2. Food: I might have breakfast at Suncoast but most meals will be at the usual fast-food outlets, I may even run to WalMart or Albertsons and get a frozen dinner or two to zap in a microwave if the room has one, or if there's one elsewhere in the hotel I can use. One BIG complaint: Las Vegas has no Boston Market.
3. ATM: If I have to, I will drive a few miles to find a credit union machine in the same ATM network as mine, but I will leave Phoenix with part of my gaming cash already withdrawn. Gaming money will be $200, maybe $250 over three days. Penny slots, maybe some quarters and if I win enough, I will try a dollar machine.
4. I haven't been in a major Strip casino in six years. All my slot play in 2009, all of it, has been in a Boyd, Stations or Cannery facility. Period (I did try South Point but anything owned by the Gaughan family I consider as almost a Boyd house). I have never gone back to Phoenix broke.
The LV Sun oughta do an expose' on resort fees in Las Vegas. Generalities such as "Many Las Vegas hotels charge resort fees ranging from a few dollars to about $25" don't halep the consumer much. Specifics would be nice.
Might win 'em another Pullitzer...
For those discussing Expedia and resort fees, Expedia states the resort fee before final booking of the trip, though you do have to look for it. I no longer stay at ANY hotel that charges more than a $5 resort fee as I feel it's a scam and hotels that scam me don't deserve my patronage, which now includes the entire Strip. Keep screwing your visitors Vegas and we'll stop coming altogether.
Just got back from 4 days, 3 nights at the FountainBlue
Such a rip-off!! Next time I'm going to a 5 star deluxe place: Riveria
Hidden fees: Crane fee to lift to you 34th floor: $22.50 each way
Dust filter fee: $1.00 per day (breezy)
Boomer, Podunk ID
People want services..but dont want to pay for them.Period.
Its been the story since day one..
Boomer111....LOL great one! ALL, I take that back. I booked through American Express travel. It had resort fees for almost all of the MGM Resorts EXCEPT Monte Carlo. I booked MC for its proximity to City Center but also because I thought they did not have additional fees. When I got there...you guessed it! The rep at the front desk to me to complain to AMEX and that they should have disclosed it. Oh well.
Boomer111....still laughing :)
Boomer111 the Fountainbleu should have knocked $20 off your stay for having to take a bedroll to your room.
That makes me think: I wonder if they will use some of the more complete floors/rooms as temporary housing for the homeless? The fire departments are already using them for training.
The so-called "resort fees" are legalized robbery. It is nothing short of a shameless hidden fee by the hotels.
When the M hotel opened up last year they tried to charge a whoppping $25/night resort fee. In exchange, you got a bottle of water and Internet service. After a few months, they quietly did away with the "resort fee". Keep in mind the M thought they would get $250/night for their rooms in the suburbs of Henderson. When they had to drop their room rates to $50/night to fill up that dump then the idea of a resort fee of $25/night seemed absurd so they finally dropped it.
"Resort fees" should be illegal. They are an insulting gimmick with no purpose other than to mislead consumers into thinking they are getting lower rates than they really are.
I am no fan of Harrah's Entertainment, but kudos to Harrah's for not charging these ridiculous fees.
Even Palace Station charges a "resort fee" now. Seriously.
If you want to do yourself and all consumers a favor, complain at the front desk about your "resort fee" charge. Eventually, hopefully, the pigs that run these corporations will back off of these sleazeball tactics.
The atmosphere has changed in Las Vegas for guests. Word is out with all these comments that u shouldn't take it. The resort fee is a joke.If they can't rent the room without the resort fee don't take the room! They make money at slots, overpriced restaurants and over priced shows ($250 for Barry Manilow) Have a good stay.You can get good and updated advice by subscribing to LAS VEGAS ADVISOR. It cost $37 on line for a year and well worth it!
Having been involved in the hotel industry for many years the cost of the room is based upon all the expenses the property has to pay. Staffing, housekeeping, utilities, marketing, newspapers, coffee bars etc. If they have to slap a fee because they comped a room that is their problem not the paying guest. This practice is occurring in Atlantic City with all their casinos. I once asked the front desk manager at the Trop why they charge a fee and they stated that it covers the use of the pool and other amenities. The funny thing is they already charge the guest $10.00 for use of the pool per day.
I call it an ignirance tax because people dont have a clue that they are being raped by the casinos. In my book if they say your rate is $69.00 per night plus any taxes I can live with that. But to charge me $45.00 plus $13.00 resort fee plus all the other gibberish then I have a problem. The days of being straight forward with the guest is long gone. It is evident in the poor service, poor quality of rooms and the overall poor experience one has to experience.
p
Just returned from a 3 day complemntary stay Harrah's. Had a wonderful time. Food was a little pricy but it was great food. The only thing I did not like was the (Bronze) (Gold) (Diamond)card routine. I am a Diamond card holder. It rub's me the wrong way when you go to eat in a buffet that only Diamond card holders cards have the right to eat in a booth. You feel very unconfortable with all the finger pointing going on. Who needs it? Too many Diamond Card parking places and not enough (Handicap Spaces). I will give up my Diamond Card parking space to create a extra (Handicap) parking space. C'mon the days of segregation whould be over. We liked the Karoke night best of everything.
Ace's Bet
Perhaps if Harrah's threw in a "resort fee", Harrahs/Flamingo/Imperial Palace/Ballys wouldn't have to push the "Single Wide Trailer Park" theme that is so prevalent in those establishments at this time...
No one likes this bait and switch of low room rates and "resort fees". I'm a little surprised the gaming commission has not commented on anything a casino resort might do that could mislead the consumer as an "unsuitable method of operation".
The Resort Fees are actually taxed at 12%. The Mirage's $15 Resort fee is actually $16.80 after tax.
As long as you know about the fees ahead of time (aka, you have done your research), you can figure out whether you are getting a good deal or not. If I need in-room internet access, a place that doesn't charge a resort fee is going to charge me almost as much as a resort fee elsewhere.
Do your research and then do what is right for you.
What's "The Mirage" offering for its 15 dollars "resort fee"? Do you get free access to the dolphinarium or get free internet access?