Are the Expensive Vegas Buffets of Today Still Loss Leaders?

With buffet prices soaring, is it humanly possible for a person to eat enough at a buffet such that the hotel loses money on it? I was always under the impression that buffets were a kind of loss leader, like free drinks for folks while they were gambling or certain other promotions designed to lure you in and keep you on the premises. When I first went to Vegas, I'm pretty sure I cost them some money at buffets that were $7.77 or $9.99. I know this may be hard to measure, but if a buffet costs $60, do the operators think they're losing money on any customers?

We answered a similar question in 2018, pre-pandemic, of course. At the time, Las Vegas boasted upwards of 70 buffets; only Park MGM, Venetian/Palazzo, and SLS (which became the Sahara again and still doesn't have a buffet) were the only major Strip casinos without one. Resorts World opened without one and New York-New York doesn't have a dedicated buffet space (but does serve an excellent breakfast buffet, seven days a week, in the Chin Chin pan-Asian eatery).

For our previous answer, Anthony Curtis commented, "The lack of a buffet at Park MGM is the exception that proves the rule."

One correspondent who wished to remain anonymous agreed. "I see no signs that the buffet phenomenon is on the wane. Quite the opposite. I think resorts are actually amping up their buffets. The Tropicana relaunched its buffet, AYCE opened at the Palms, Palace Station is remodeling its Feast, and Treasure Island is in the midst of a buffet renovation that will keep it closed until at least August.”

That was more than four years ago and, as we all know, times have changed dramatically.

The fact that out of 70 buffets, only a baker's dozen returned after the shutdown is certainly an indication of something and to us, it seems that the casinos were ready, willing, and especially eager to dump them, especially when most of their competitors were doing the same. The casinos' keenness to stamp them out altogether could easily be interpreted as a sign that they were either unprofitable, more trouble than they were worth, or both.

Though some observers maintained that pre-COVID, buffets tended to be self-sufficient, hence the trend toward higher-priced spreads, we were never quite sure about that. The economics of buffets were and are closely kept and we've never seen any profit or loss figures, but our analysis led us to believe that the least expensive and even middle-range buffets were, indeed, loss leaders, a necessary amenity to keep up with the competition in this copy-cat town.

Buffets are, of course, different than sit-down restaurants. There's a much smaller wait staff. The food is prepared in bulk from a prescribed menu. No one sends meals back to the kitchen. And sure, they have to contend with big-eating customers. But buffets are often a family affair, so even if Dad and Buddy can pack away the poundage, Mom, Sis, and Granny most likely balance them out in the food-consumption department.

Waste is the big expense. We have seen numbers for that and they range from a manageable 5% all the way to an excessive 25%. The trend toward single servings, started by the Wicked Spoon Buffet at Cosmo and adopted by the Palms, Wynn, and Caesars spreads, no doubt improves all their buffet bottom lines.

Yes, it's hard to imagine that Caesars' Bacchanal Buffet at $79.99 for dinner and the Wynn's gourmet dinner at $69.99 lose money. But again, the alacrity with which some of the lesser spreads -- Harrah's, Flamingo, Mirage, Treasure Island, MBay, Paris, Rio, Golden Nugget, Station, Boyd, and M Resort -- were discontinued seems to demonstrate that when all was said and done, for one reason or another, they were losers.

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Luis Nov-10-2022

Less For your Dollar

If casino-resorts can, they will give you less for your dollars spent in their casinos, we now see less comps, less drinks, and yes, less and less buffets, it's a trend that started long ago, back when they invented resort fees and paid parking, and it was instituted slowly and painfully and using the pandemic as a reason, they shut down all buffets, and never reopened them. And now, whit people starved for entertainment post pandemic, people flocking hotel-casinos, they are making their killing in winnings. I just hope everybody comes to their senses and we get the old Vegas, the fun Vegas, the comps, the drinks, buffets,great service Vegas....I think i'm just having a dream!!, oh well, one can dream!

Vegas Fan Nov-10-2022

Chin chin buffet breakfast

I watched a video by Danny the medic about this $29 buffet. Doesn't look like much, let alone"excellent"

Kevin Lewis Nov-10-2022

God forbid there should be good deals

I've been amazed that the locals' casinos haven't brought back their buffets. Whole families would come, and afterward, the kids would go to the arcade or the movies while the parents hit the slots. All that HAD to be immensely profitable, even if the buffet itself wasn't.
The Vegas casinos are run by idiots, who have crushed one of the most enjoyable AND profitable elements of the Vegas experience.

Reno Faoro Nov-10-2022

buff as in BUFFET

if an excellent fried chicken choice is available , and i am present -- consider it a LOSS  for that establishment . Ty,tyvm , mmmmmm grrrreat . GO FORDSON .

Frank Mabry Nov-10-2022

Golden Corral

The Golden Corral buffet must be making a profit since they have 2 locations in Vegas and they don't have gaming.

Diamonddog2801 Nov-10-2022

More money other ways?

Is it just possible that casinos make more money from using the floor space for slot machines than from buffets? Very little maintenance or staff as well.

rokgpsman Nov-10-2022

Chintzy corporate decisions = max profits

Yes, if a nationwide restaurant chain like Golden Corral can do a reasonably priced buffet and make money without having slot machines to earn them extra profit then why can't a Vegas casino-resort do it too? The Vegas casinos could do a buffet like they did in the past, they just don't want to offer anything that doesn't get them max profit per square foot of space. The executives running these casino corporations are only concerned about maxiumum profits on their 90-day earnings reports and aren't worried about customer visitation, it's thru the roof with people paying whatever the cost is.

Dave_Miller_DJTB Nov-10-2022

Headaches / food courts

The number of buffets that turned into food courts is very indicative of where the problem.

Casino buffets are generally run by the casino themselves. Food courts have individual operators. Any headaches are the responsibility of those operators while the casinos only have to worry about collecting rent.

Hoppy Nov-10-2022

Found a Buffet

NYE only, at the casino in Cincinnati (don't ask me for airfare :).

IdahoPat Nov-10-2022

Buffets will come back when ...

... they can get waste percentages consistently in the mid-to-low single digits. That's going to come when the public is willing to accept adjustable pricing (for 86'ed items that they've run out of or aren't willing to produce a huge batch of near closing time) and serving size to be controlled by the buffet, in the form of electronic ordering to controlled portion sizes.

IdahoPat Nov-10-2022

I mean, waste is the be-all and end-all of the buffet question

Quite frankly, I'm glad to see them gone. Models of inefficiency, waste and gluttony. Get the waste under control, and I'm all for bringing them back. But not until then ... https://www.forbes.com/sites/christinatroitino/2017/09/14/the-tragedy-of-the-buffet-commons-reducing-food-waste-at-hotels/?sh=678d666917dc

Doc H Nov-10-2022

it's a biz

Depends what one eats in an 'expensive' buffet. For myself, I get my money back and more because what I enjoy is the expensive items that if I ate at restaurants with that level quality of food would be far more expensive than the 'expensive' buffet. Heck, at Caesars buffet eating mostly Maine Lobster, even if I bought Maine lobster in the store on sale, I still clean up value wise with my buffet entrance price. Food is cooked, variety galore on top of that, and quality is above the cheap buffets of old. Go to an average chain restaurant these days and add up a non-alcohol drink, dessert, main course, appetizer, you're close to 'Expensive' buffet price. Seems some of you want the $9.95 giveaway stuff which is fine, Southpoint is there for you at a good value $, but like others have said, go to Golden Corral, some Asian buffet off Spring Mountain Rd, and get your cheap there. Then you can drive to the casino and dump your money in the machines if you want.

Randall Ward Nov-10-2022

buffets

buffets to me were tied to comps, Excalibur isn't worth $30  cash but if it's comped it's great.  I just hate that without the buffets everything else is packed

Tim Clark Nov-17-2022

food lover

I only go to Vegas a couple times a year. The only time I have been back to a stations casino was to cash in and play my free slot play off. No buffet, I will never set foot in their casino's again.Before they were my go to place. Especially when they would support LVA coupon book.

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