Decline in tourism visitation and hotel occupancy in Las Vegas is anticipated to persist before any recovery occurs, according to the city's tourism chief.
Decline in Las Vegas Tourism: Hotel Occupancy, Visitor Numbers, and Average Daily Room Rates Drop
The tourism industry in Las Vegas is experiencing a notable decline, with hotel occupancy rates, visitor numbers, and average daily room rates all falling.
In June 2025, hotel occupancy dropped by approximately 14.9%, resulting in a citywide occupancy of around 66.7% in early July. This is a significant decrease from the previous year [1]. Another source reports a 6.5% decrease in hotel occupancy in June, with the average daily room rate dropping by 6.6% to approximately $163.64 [2][3].
The decline in tourism is also evident in the number of visitors. There was an 11.3% decrease in tourists in June 2025, equating to nearly 400,000 fewer visitors compared to June of the previous year [2][4]. International visitation is a major factor, having dropped over 13% in June alone [1].
The decline in tourism has had a significant impact on the casinos and hospitality industry. Reports and social media posts describe empty casinos, layoffs, and a general sentiment of economic strain [2][3]. Caesars Entertainment CEO Tom Reeg described the summer season as a "soft summer," indicating lower-than-expected business and revenue in casino operations [2][3].
In response to the decline, casinos and industry experts suggest adjusting pricing strategies to attract visitors. This includes encouraging stays during the week rather than weekends to capitalize on lower room rates, and promoting more affordable dining options like lunch specials and happy hours to help manage touristsβ rising costs [2].
The head of the Las Vegas Convention and Visitors Authority (LVCVA), Steve Hill, expects further declines in visitation this summer. However, Las Vegas is well positioned going forward, especially starting in September with the Canelo Alvarez and Terence Crawford fight at Allegiant Stadium on September 13 [5].
References:
[1] Co-Star. (2025). Las Vegas had the second-largest drop in hotel occupancy behind Houston in July. Retrieved from https://www.costar.com/news/Las-Vegas-had-the-second-largest-drop-in-hotel-occupancy-behind-Houston-in-July-394358
[2] Las Vegas Review-Journal. (2025). The Sahara has eliminated resort fees for the summer. Retrieved from https://www.reviewjournal.com/business/casinos-gambling/the-sahara-has-eliminated-resort-fees-for-the-summer-2666963/
[3] CNBC. (2025). Las Vegas casinos are struggling to attract visitors as the city's tourism industry falters. Retrieved from https://www.cnbc.com/2025/07/01/las-vegas-casinos-are-struggling-to-attract-visitors-as-the-citys-tourism-industry-falters.html
[4] KSNV. (2025). Las Vegas tourism still struggling to recover from pandemic, new data shows. Retrieved from https://news3lv.com/news/local/las-vegas-tourism-still-struggling-to-recover-from-pandemic-new-data-shows
[5] Las Vegas Sun. (2025). Las Vegas Convention and Visitors Authority expects further declines in visitation this summer. Retrieved from https://lasvegassun.com/news/2025/jun/30/las-vegas-convention-and-visitors-authority-expects-further-declines-in-visitation-this-summer/
- The decline in tourism in Las Vegas has led to a drop in revenue for the casinos and hospitality industry, with reports of empty casinos and layoffs being common, especially during the summer season.
- In an attempt to attract more visitors, casinos in Las Vegas are adjusting their pricing strategies, offering lower room rates during the week and promoting more affordable dining options.
