This summer, resort and parking costs have continued to rise, meal check "tariff surcharges," tighter gaming odds, and less benefits have all been blamed by analysts for Las Vegas' visitor problems.

Through August of this year, 2.18 million fewer people visited Las Vegas. The average nightly rate for a hotel room on the Strip has dropped by more than $10 due to the 7.8% decrease in visitor volume from the previous year.

Las Vegas casinos increased their summer gaming winnings despite having far fewer patrons. Gross gaming revenue (GGR) in Nevada's most populous county increased 4% from 2024 to $3.34 billion in August, capping a three-month winning streak for Clark County casinos. August GGR for Clark County increased by more than 5% to nearly $1 billion. GGR on the main drag increased 5.5% to $679.3 million as the Strip drove the rally.

GGR increased 5.5% to $1.22 billion statewide. Nevada's summer GGR increased by 4.3% to over $3.9 billion.

Strong Baccarat

The preferred game among Asians and many high rollers, baccarat, was given credit by gaming analysts. August GGR from the Strip's baccarat increased by 51% to $114.4 million. The Strip baccarat gain from June to August increased by 29% to $355.3 million.

According to Barry Jonas of Truist Securities, the good baccarat performance was caused by a strong hold that counterbalanced a softer handle. The August GGR gain "was driven almost entirely by baccarat," according to John DeCree of CBRE Equity Research.

There were other table games on the Strip where GGR increased last month besides baccarat. Poker rake increased 14% to $14 million, while craps win increased 5% to $30.1 million.

Table game and sports revenue on the Strip increased 13% from the previous year to $312.6 million, in addition to sports betting, where oddsmakers kept $20.8 million of players' wagers, a 178% increase from August 2024. This countered $366.7 million in revenue from flat slots.

"Overall, the continued strength in mass market gaming volumes remains encouraging, particularly considering the lower visitor volumes,” explained DeCree.

DeCree expressed optimism that "stability in visitation, as the convention season kicks into higher gear" will occur over the next two quarters. He did, however, predict that "headwinds impacting leisure visitation will remain in the near-term." 

Obstacles in Leisure 

In addition to the previously cited expenses of traveling to Las Vegas, DeCree clarified that geopolitical and immigration issues between the United States and Canada, Mexico, and Southern California have been identified as obstacles to leisure travel. The CBRE expert added that Spirit Airlines' decreased capacity for flights into Las Vegas is also having an impact on traffic.

August offered some encouragement, according to the Las Vegas Convention & Visitors Authority (LVCVA).

"Following double-digit declines in the past two months, August visitation showed a 6.7% year-over-year decrease versus last August, as the destination hosted nearly 3.2 million visitors,” the LVCVA Executive Summary for Las Vegas read.

The World Market Center's summer event, which drew 38,000 attendees, was held in July this year rather than August, according to the LVCVA, which clarified that the August improvement occurred despite a challenging convention schedule.