Select MGM properties in Las Vegas have raised resort fees to $50 per night
All MGM properties in Las Vegas have increased resort fees by about $3 per night. That means the company's most expensive hotel categories (Bellagio, Aria, Vdara and Cosmopolitan) are now $50 a night.
Resort fees currently top out at $45 per night at the MGM Grand, Mandalay Bay and Delano, and $42 per night at MGM properties at the New York-New York, NoMad, Park MGM and The Signature. USD, the resort fee for the Excalibur and Luxor hotels is USD 37 per night.
The new fees take effect on January 16th.
On the bright side, most Las Vegas hotels now disclose resort fees on their websites, so it's neither hidden nor surprising. Resort fees are now displayed when guests purchase hotel rooms, whereas some hotels and chains previously disclosed their fees only at checkout.
At MGM World, selecting a date range now displays a list of average room rates and resort fees for each of its nine Las Vegas hotels.
The increased transparency may not represent good intentions but rather serve as a defense against proposed Federal Trade Commission (FTC) rules that would ban "hidden and false" junk fees in the hospitality and live entertainment industries.
Resort fees are not subject to this rule unless they are hidden. The rule, proposed by the Biden administration in November, is still accepting public comment and a vote date has not yet been set.
Why is there a resort fee
The resorts say they are offering guests convenience by charging one price for a suite of amenities, rather than charging separately for services such as Wi-Fi, gym access, digital newspaper and magazine downloads, boarding pass printing and local calls.
Because by 2024, all travelers will use hotel phones to make local calls.
No. The “real” reason resort fees exist is the launch of online travel agencies (OTAs) in 1996. The first resort fee was introduced a year later, allowing the hotel to compete with Expedia, Travelocity and Booking.com.
This is because OTA users on these platforms almost always search for the parameters of “best value” or “lowest price”, and the only way for a resort to rank high in these searches is to offer lower daytime rates, which increases Their profits, however, will decrease.
Instead, they classify some of the rates as separate fees.
According to Hospitality.net, 41% of bookings are now made through OTAs, compared with 29% through hotel websites and 29% through travel agencies. The cost of "not" appearing on the first page of OTA results has also increased .
Resort fees also provide other financial benefits. Hotels pay OTAs a commission for each room booked - the commission is based solely on the room rate, not a separate fee. Additionally, resort fees help increase revenue per available room, a key performance indicator. Resort fees offer tax benefits, according to analytics firm OTA Insight.
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Source: www.casino.org
