A 7.5% drop in visitation and flat gaming revenue year-over-year on the Las Vegas Strip didn’t deter the optimism coming from the city’s tourism head, despite headwinds the resort community must overcome before there’s a turnaround.
Steve Hill, CEO of the Las Vegas Convention and Visitors Authority, held a press briefing Friday at the Wynn Las Vegas after moderating a panel discussion with two of the city’s top casino executives at a Vegas Chamber event. He called what happened in 2025 a “dip” and cited how the city has gone through crisis and recovery in the past. It’s not accustomed to a slowdown like it experienced in 2025.
People’s financial concerns have prompted those on a budget to spend less discretionary money and with health care and other costs rising, people have other priorities, Hill said.
“The future in Las Vegas always looks bright,” Hill said. “We remain the easiest product in the world to sell,” Hill said. “The 2025 headwinds were out of our control. In order for the market to improve significantly, those headwinds need to subside. I’m not sure when that will happen, but we know it’s coming.”
Hill said the summer of 2025, when the downturn started, was slower than they expected, and this year they’re “gearing up to make a push” this summer, so results can improve. In order to get back to where they were in 2023 and 2024, the external factors impacting the market need to be addressed. He declined to say if there will be any more promotions like were offered by results in the fall to answer concerns that resorts are overcharging and gouging customers.
“We’re working on a lot of things we hope we’re able to announce in terms of events and some initiatives,” Hill said. “Bringing events here that are a magnet for people to come. We think we have some more of those in the works.”
Las Vegas had one of its steepest drops of the year in visitation in December at 9% compared to 4% to 5% drops in October and November following citywide promotions. Hill said the first two weeks of December were good with the National Finals Rodeo in town, but the final two weeks during the holidays might have been impacted by Christmas and New Year’s Eve falling midweek.
“Those last couple of weeks were pretty slow, and some of it is what’s going on nationally and internationally that continues to have an impact,” Hill said.
Convention business is expected to be part of any rebound in Las Vegas in 2026. Casino executives say that group bookings are at record levels. Since the pandemic, the destination has gone from 11.5 million square feet of space to 15 million and it was needed, because Las Vegas was turning away conventions and meetings, Hill said.
“We’ve started to grow into that space,” Hill said. “The sales process is a two-year to five-year lead and we’re starting to see the benefit of having more space to offer. What we see at the Convention Center, Mandalay Bay, and Venetian is exceptionally strong. It provides a solid foundation for the destination. It’s a balance for us to help weather what’s going on. It’s not going to fill a 7.5% drop in visitation, but it’s 16% to 17% of our volume here, and it is solid and growing somewhat.”
The resort industry has a commitment to the community and takes the responsibility of providing 300,000 jobs and 50% of the tax revenue to the state, Hill said. He said they are listening to concerns about price gouging.
“We want to make sure that continues, so when we go through a little bit of a slowdown, we know that hurts everybody,” Hill said. “We’re doubly committed to overcoming that and making sure the city remains vibrant.”
Hill said the higher-end properties are performing “exceptionally well,” but the elimination or major reductions in resort fees is off the table. They’re transparent and part of the price, but people can find a room in Las Vegas today where the room rate and resort fee is less than $100 a night.
“That’s real value no matter how that bill is divided up and it’s not a surprise,” Hill said. “It’s published. You see it when booking the room. This city provides value across the entire spectrum and to the extent those individual properties feel like they need to respond, they are.”
Across the country, Hill said regional casinos and Las Vegas neighborhood casinos are doing “exceptionally well” and that’s because the local residents in those communities don’t have to fly in or pay for rooms but still enjoy the amenities.
“Those who are concerned about their financial situation and their jobs are taking advantage of properties where travel costs aren’t as high,” Hill said.
