Vegas Gambles Big and Wins: 2023 a Golden Year, 2024 Promises More

Las Vegas, NV – Nevada’s gaming industry is firing on all cylinders, defying economic odds and racing towards record-breaking revenue in 2023. Experts like Frank Schreck, a veteran gaming attorney, see nothing slowing this momentum down in 2024, fueled by major sporting events, booming tourism, and the city’s reinvention as a “sports mecca.”

From Recession to Record Revenue:

• The latest reports paint a rosy picture: impressive GDP growth, potential Fed rate cuts, and a surging stock market. Recession fears have faded, replaced by optimism in the Las Vegas gaming scene.
• Schreck calls the industry “clicking on all eight cylinders,” attributing its success to embracing sports betting and becoming a magnet for major sporting events. The Raiders relocation, Super Bowl hosting, and potential NBA and MLB arrivals paint a vibrant picture of a city thriving on both games and gambling.

Sports: Betting Big on Vegas:

• The NFL’s transformation from shunning Vegas to embracing it has opened new doors. Sportsbooks in various states are not seen as competition, but rather as feeder systems, cultivating new bettors who eventually visit Las Vegas for the full experience.
• Major League Baseball’s Oakland A’s relocation and the planned $1.5 billion stadium add to the city’s sports allure. A $1 billion NBA arena across from the Outlets further solidifies Vegas’ commitment to becoming a “sports mecca.”

Luxury Stays and High-End Clientele:

• The recent opening of the Fontainebleau, a $3.7 billion megaresort adjacent to the Convention Center, caters to high-end clientele attracted by luxury accommodations and diverse entertainment options.
• Schreck emphasizes the importance of conventions, noting they bring not just professionals but also high-income individuals who spend lavishly while in town.
• The Fontainebleau’s partnership with Hyatt adds another layer of attraction, drawing in their loyal customer base.

The Future Looks Bright:

• While land prices and costs might limit future megaresort construction, Schreck believes the “Fontainebleau will be the last really big resort on the Strip for a while.” Existing properties, including Wynn Resorts, have proven that profitability lies not just in gambling but also in rooms, food and beverage, retail, and other ventures.
• The growing number of visitors with household incomes exceeding $100,000 indicates a shift towards high-spending tourism. Events like the F1 race and National Finals Rodeo further contribute to this lucrative segment.

Beyond Gambling:

• Schreck points out how Las Vegas has reinvented itself, shifting from a primarily gambling destination to a diverse entertainment hub. From gourmet cuisine and world-class shows to diverse attractions, the city offers something for everyone, encouraging both gambling and non-gambling visitors.

The Last Lap – Optimism Reigns:

Coming out of the pandemic, Las Vegas has bounced back in style, attracting fewer but wealthier visitors. This, coupled with its embrace of sports and its successful reinvention, paints a picture of an industry not just rebounding, but thriving.

“F1 came into town and disrupted everybody, but from all reports, a dead weekend turned into one of the best weekends they’ve ever had,” Schreck says, highlighting the city’s ability to attract and capitalize on new events.

With the Super Bowl coming to town and new sporting ventures on the horizon, 2024 promises to be another stellar year for Las Vegas. As Schreck concludes, “It’s been an unbelievable year for Las Vegas, and I see that continuing.”

Credits: Business Press Vegas