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Monday, March 22, 2010 | 1:50 a.m.
A new study confirms what Las Vegas hotel-casino owners are painfully aware of: Visitors to the city in 2009 didn't gamble as much and spent less for hotel rooms.
Visitors also spent less on casino shows and at shopping malls and restaurants, a report issued Friday by the Las Vegas Convention and Visitors Authority shows.
The report is the authority's annual Visitor Profile Study, which is conducted for the LVCVA by GLS Research based on street interviews with 3,600 visitors per year.
Key findings from the 2009 report:
-- Fifteen percent of visitors said their primary reason to come to Las Vegas was to see friends or relatives, a five-year high and up from 11 percent in 2008. These visitors would typically spend less than those in town mainly to gamble or attend conventions and business meetings.
-- With the recession deterring corporate travel, higher-spending conventioneers and business meeting attendees amounted to 9 percent of the visitors surveyed in 2009, down from 12 percent in 2008.
Other primary reasons for visiting Las Vegas in 2009 were vacation or pleasure, 40 percent; and gambling, 13 percent. Lesser reasons included being in town for other business, special events and weddings; and just passing through town.
As far as spending, the report showed:
-- Hotel rooms not booked as part of a package cost on average $75.78 per day in 2009, down from $101.68 in 2008 -- and down from between about $107 and $109 when the economy was booming in 2006 and 2007. The actual cost for hotel rooms booked by all means averaged $92.93 in 2009, down from $119.19 in 2008, the LVCVA has reported separately.
-- Average spending on food and drink per trip in 2009 was $250.32, down from $273.39 in 2008.
-- Average spending on shopping per trip to Las Vegas in 2009 was $101.97, down from $121.90 in 2008.
-- Eighty-three percent of visitors gambled in 2009, a five-year low and down from 85 percent in 2008. Of those gambling, they had an average gambling budget of $481.57, down from $531.98 in 2008 and well off the recent peak of $651.94 in 2006.
-- Sixty-four percent of visitors attended shows in 2009, down from 72 percent in 2008. On a per-trip basis, visitors spent on average $39.87 for shows, down from $51.64 in 2008.
No-cover hotel bars and lounges were visited by 43 percent of those surveyed, down from 49 percent in 2008. Hotel nightclubs charging a cover were visited by 5 percent of those surveyed, unchanged from 2008.
The 2009 trend of lower spending moderated somewhat -- but continued -- in the first month of 2010. For January, the LVCVA has reported the average hotel room rate was $99.75, down from $104.89 in January 2009.
Nothing new here.
Good luck, hope it turns around soon.
May be start with going back to 3-2 payout on BJs.
Oh boy, this is a good one. I am sure that before all the comments are posted, there will be numerous reasons given as to why the gambling is down, and all of them will be related to corporate greed.
I will give one other casino greed related comment that may be overlooked by others.
Once every three weeks, I return from working out of state. I like to gamble about $60.00 on video poker, each time I return, just to unwind. I know I am going to lose, but I can afford it, and I enjoy the relaxation. However. last Friday, when I arrived at my favorite casino, I noticed that they had bumped their ATM fee from $3.50 to $5.00. I point blank revolted. How dare they rip me off with a $5.00 ATM fee, when my purpose for being there is to give them $60.00 of my money. I simply said "no thanks" and walked out. So, that's one more example of casino greed destroying their business.
When will these jokers ever learn.
When the Star Trek experience left the Hilton, that was the beginning of the end, and the return of themeless casinos. Not to mention $25 buffets and $100 shows. I wonder how Quark in Deep Space Nine would run a casino. The Ferengi live to make a profit, but they apparently don't believe in being over leveraged with debt, unlike some casino operators. It will be interesting to see the Tropicana after it's remodeled.
As much as I respect the hard work the LVCVA does - spending the time to do this survey in this economy seems superflurous. I mean - come on, guys - what did we expect to find?
TheKash highlights another sleazy practice with the current casino greed problem. Las Vegas has done a complete about turn in it's attracting people to the city in general. They have completely lost sight of what fueled the success. Until that formula of themed properties and value vacation is rescued and FULLY embraced, the tourists and players are NOT coming back anytime soon..
Does the study define such terms as "average trip"? Does it come up with a composite visitor, staying x number of days, and spending y dollars?
I'd like to know such things as food expenditure per day per person. "Average spending on food and drink per trip in 2009 was $250.32..." doesn't tell me much.
Oops! Never mind. I clicked on the PDF file and reviewed the study itself. Very interesting and thorough.
it's funny because NEXT month they'll be saying "the recession is almost over".
the middle and upper class of america are being bled dry by taxes and the loss of their home value. they used to feel safe in taking that $1000 every 5 or 6 months and come to vegas for a 3 day weekend, but not now. they don't have that "on paper" worth anymore.
I think the report contains a lot of information to be optimistic about. Sure the expenditures are down, and that obviously needs to rebound.
But Vegas is still attracting the same base of new visitors (percentage-wise), and the report clearly shows that a good number of those new visitors become repeat visitors, and grow more interested in gambling.
Customer satisfaction continues to be high, and interest in visiting Vegas despite competition from nearby gambling opportunities is much higher than I expected.
Long term, I'd say this report is favorable for Vegas.
If you're local and want to go gamble your 60 bucks, then you should know where a local bank is that will charge less (or nothing) for an ATN withdrawl. I never use a casino ATM, there's plenty of banks nearby.
When we visit, we spend less than the old days (of 3 years ago). No need for a high dollar room, plenty of deals under $50. We do most of our dining at local (non-chain) reataurants and get better food, better service and pay way less than the casino places without dealing with the crowds. I don't mind driving across town to eat at a favorite place. The buffets are way over priced now.
We do a lot of shopping because I'd rather that Nevada get my tax dollars than the idiots running California. It's not tax evasion since the rates are very similar in either state.
People got bills to pay and gambling is not a necessity. We're all looking for the best bank for our buck. This isn't news...it's common sense.
A new study confirms what Las Vegas hotel-casino visitors are painfully aware of:
Las Vegas strip hotel-casino owners in 2009 didn't lower their table game minimums, nor did they bring back 3 to 2 blackjack with standing on soft 17, nor did they loosen their slot machine payouts either, as practically all food and beverage items including buffets are ridiculously overpriced, hotel gift shop items you might as well call it "supermarkup", and to see a live show nowadays at the prices that are ransom..I mean charged..you would think they are front row seats or lifetime backstage passes.
Average spending on food : DOWN
Average price on food : beyond the horizon
Visitors spent on average $39.87 for shows, down from $51.64 in 2008.....This includes strippers that "show" what they got for a $20 lap dance, this also includes all the FREE shows (because hey, they are classified as shows) of swashbuckling pirates of Treasure Island, The Mirage volcano erupting, the Bellagio lake water show, and the free circus acts at Circus Circus.
Until Las Vegas brings back some "value" for the average american rather than marking up prices upon gearing up for the foreign visitor or filthy rich american that doesn't know any better, Las Vegas will still continue it's spiral.
Trillions of wealth has been destroyed. Real unemployment is above 17%. Many airlines have cut back on flights to Vegas. Many casinos approaching bankruptcy and now the brains of Vegas discover that this is B following A. Here's a heads up!!!! We are closer to depression than recovery. After Health Care passing, 2 more passages and they are Immigration Reform and Cap and Trade will be the final 2 nails in the coffin holding the USA. Change yep, the last guy out turn out the lights.
As a previously frequent overseas visitor returning to Vegas after a years break, I was surprised to find such poor value on almost all fronts from 6/5 bj,high table minimums, to expensive food and shows even by strip standards. To say I was disappointed was an understatement. As a result, I actually changed my spending pattern shortly after arriving. Instead of the house getting my hard earned cash in exchange for a good time, I budgeted more tightly, spent less in the casino and on food and shows and took home some cash for the first time ever! I love this town and nothing would prevent me returning but I am not stupid and know when I am being ripped off. I feel I contributed in some small part to the findings of the latest statistics but these corporate execs need to realise that value is a crucial part of the Vegas magic mix. Its like missing an essential ingredient in a cake. It doesn't taste as good and you won't want another piece later!
I feel downtown(fremont St) is the best value,food,gaming and sometimes free shows.
You don't have to walk a mile to the next casino.
This is the real Las Vegas.
As I said in a previous comment:
I wrote to the LVCVA when I was a local there to complain about the state of the strip, how the security was lax, the smut peddlers were out of control, and the lack of customer service. His response to my letter was basically "Oh well. Don't bring your family down here. Vegas isn't for families."
So I guess he got what he wanted. Visitors are not coming, and the city is losing its appeal. Oh well...you got what you wanted so stop belly aching.
Duh, Painfully obvious that this report was issued. Gizzard44, a refreshing perspective. I budget a certain amount for each day and still look for values despite taking more than enough for the visit. We have a Vegas folder where we place in every coupon, 2 for 1 deal, etc. we can find for places we will actually use them. We figure we save about $200 per trip doing this, but spend upwards of a few thousand. Deals can be had, but they are harder to find.
Re: thekash. Here is some advice that I have switched to. We have free traveler's checks from our bank. Each morning, we cash them in for no charge. We have an envelope for each day and cash each days envelope each morning. Our system saves us a ton in ATM fees and it is really easy to do. The banks don't carry as many traveler's checks but if you call around you can find the amount you need. The best thing is we don't walk around with a huge load of cash that could be stolen/lost and we never pay those stupid ATM fees anymore.
Smart people,Vegas always was a value place years ago.The super hotels with mountains of debt changed the prices on most goods and services.When we visit we go off-strip a lot to eat ,drink and gamble.We cut down our trips drastically to AC,they just dont get it there.They dont have a monopoly on the weathliest area in the country anymore,but dont seem to care.
I intend to visit las vegas in july, i live and work in seattle. I checked a four day rental on a car and found that there is a 60% tax on it...$90 base and $51 tax. Also many strip hotels (though they are lower than usual) have hidden fees that jump the price right back up to normal. even though the room rates are not excessive i do not like the used car lot sales gimicks that are being used by mgm and harrahs. City Center is now open for business but i can tell you that it was not built for me or anyone i know. $$$$$$ lol It is to bad that LV has lost its way a bit, the build it and they will come idea has always worked for LV but i am wondering who "they" are anymore...it is probably not me.
gooog--
I fully feel your sadness, frustration, sense of disconnection, and anger about the insulting levels to which Harrah's and MGM Mirage Las Vegas megaresorts are stooping to suck us in. These are desperate times. The leviathans of largesse are mired in megatons of debt from failed schemes. Like the doomed mastodons who wandered into the forbidden waters of the tar pits of La Brea , the more frantically these giants gyrate and grasp at us to pull them out, the deeper they sink. Wisely, we step back lest we be pulled into the pit as well.
City Center is a grand dream that fits neither my wallet nor my desires.
gooog
Thats precisely the feeling I had. The ever rising resort fees and other hidden extras chipping away at your dough, putting a serious downer on your vacation. I originate from Robin Hood country in England so I'm quite familiar with outlaws taking on the greedy barons. Right now I think the Sheriff of Nottingham is alive and well and holed up in a fancy office in City Center!