Which Came First: High-End Customers or Raised Prices?

When it comes to the gouge, which came first? Did the Strip casinos raise all the prices after seeing higher-end customers showing up post-pandemic? Or did all the raised prices force out the traditional middle market, leaving only the big spenders?

This is an interesting question whose answer seems to skew toward the former: The high-end customers drove up the prices. But the result is the same either way, ay?

In the post-pandemic recovery, Strip casinos first experienced a noticeable upswing in affluent leisure travelers who were ready, willing, and desperate to splurge after the lockdowns. The effects of the "pent-up demand," as you recall, started to show up in record revenue as early as 2021, a mere six months after the reopening. This was fueled by all the stimulus money, the rollout of COVID vaccines, and the return of entertainment events. As such, premium domestic visitors returned faster than the budget-conscious market.

Seeing this strong performance from big spenders, casinos responded by raising prices. This too started in 2021 and kept accelerating well into 2025. Average daily room rates on the Strip climbed to nearly $200 by early this year, a 50%-60% increase over the prior half-decade, while table-game miniumums, resort and parking fees, restaurant meals, show tickets, and other amenities went up up up. At the same time, the values -- buffets and meal deals, comps, marketing promotions, and the like -- started to disappear. This strategy aimed to capture more revenue from the premium segment that had already proven resilient.

Inevitably, the traditional middle-market crowd, who historically made up a larger share of volume-driven visitation, was priced out. And even if they weren't, the perceived and actual gouge fairly quickly broke the trust of the old guard, destroying the few remaining illusions of actual value.

(Of course, you can still find the good deals and LVA is still in business promoting them. But non-LVAers are picking up a lot of the tab.)

There's a third aspect to the changing Vegas: the aging out of the old demographic and the aging in of the new. Even in the past five years or so, the makeup of the Las Vegas visitor has shifted so dramatically that it's almost a collapse.

The retirees who once formed the bedrock of Vegas visitors are dematerializing. This is well known: According to the annual Las Vegas Visitor Profile Survey, the share of over-65 visitors shrunk from 21% in 2019 to just 7% in 2024. To us, this is nothing short of staggering. Visitors our age, once one in five, are now barely one in 20, having essentially dissolved in five years.

In their stead are younger and more diverse new Vegasphiles, likely to be employed and educated. College grads now make up 56% of visitors and household income is a casino boss's dream, with those making more than $150k a year jumping from 11% in 2019 to 25% last year.

Plus, Vegas is increasingly dependent on southern Californians, up to 30% of total visits from just 18% five years ago. This means shorter trips overall and these weekend warriors are seeking more sophisticated experiences -- ETGs on the casino floor as we saw in a recent QoD, and in rooms, restaurants, clubs, pools, and attractions. The casinos are more than happy to squeeze top dollar out of these time-pressured visitors as they try to squeeze in as much instant gratification as possible.

All told, the rising prices and the more affluent and younger Vegas visitor demographic are propping up profits, while resulting in what's been accurately described as "visitor fatigue" for the rest of us. And all the negative headlines, five-day sales, temporary free parking, illusions of value, and social-media complaints, though making a little dent in visitation, are having no impact on corporate profits. Toward that end, they're all tantamount to emptying the ocean with a teaspoon: an undertaking that's as monumental as it is pointless.

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John Hearn Oct-27-2025

Geezers United

Well, I'm still 18 months from 65 orbits, but I will keep returning to Vegas for good gaming and good value downtown once I arrive at five and three score. Our annual December "dead week" trip (12/13-18) includes five nights in the Rush Tower at GN for the whopping all-in price of $718. I'll be using my LVA MRB plus tips from my FB posts to find great deals. We found a real gem on our August trip--Cin Cin Seafood Bar in the Arts District. The happy hour there is a great deal with cheap and delicious oysters on the half shell.

Esloth Oct-27-2025

I love the QoD

For what seems a very average QoD, this response it very well written. Just another example of why LVA is so great every day.
Thanks

Lucky Oct-27-2025

Old Folks

I am an old folk, although I do not feel like one.  I have noticed that there are fewer and fewer Old Folks (OF) every time I go, which is 4 to 6 times a year.  When I look around, the only place I see my age is in the high limit spaces.  Everything else has a 20 or 30 something sitting at it.  Even at Paris, Caesars, and most markedly the Horseshoe. The roulette tables seem to have the biggest crowd.  Less and less craps players.  I will say the scenery is much nicer to watch.  Most of them have no idea about what games they are playing, but they spend and have a good time.  I love hearing someone scream for 10 minutes when they win $10 bucks.

edibower Oct-27-2025

The Younger demographic

The WSJ had an article this am about how people in their 20's & 30's and even younger 40's can't afford to buy a house.  But from the sounds of the answer and the stats they can spend money in Vegas.  Something doesn't add up to me, but then again a lot of the way people spend their money doesn't add up to me.  Time will tell as to how all this gouging commentary plays out.

Gene Brown Oct-27-2025

Old Folks in Vegas

Lucky

There can be found still a lot of seniors in Vegas playing everything available. They are held up in mostly one place and the location is at the corner of South Las Vegas Blvd and Silverado.

John Oct-27-2025

OK Gene...You Got Me Buddy!

Gene -
I checked Google Maps, half expecting to find a cemetery at that intersection.  But I don't see anything there that really sticks out where geezers like me would congregate.  Please clue me in on that!  Thanks!

Geno Oct-27-2025

crowd

To me it seemed like the Vegas clientele went down hill after covid. That's when the clowns that didn't need scooters were everywhere on scooters.

Hoppy Oct-27-2025

Lucky

I'll take Southpoint, for $400 Alex.

Gene Brown Oct-27-2025

John

Southpoint Casino is at that location of Silverado and South Las Vegas Blvd. I enjoy there for the food, friendly staff and clientele and the variety of action on the floor. I am probably older than you are.

[email protected] Oct-28-2025

So I guess I'm now a 7%er...

Good information on the demographics. I own several hotel condos at the Signature and you bring up some info I hadn't seen, but stays in step with what I see with the booking sites.  Traditionally, at least for my Vegas properties, the older guests used VRBO.  Over the past few years my bookings have shifted overwhelmingly to AirBnb.  Part of that is that I typically found younger guests using that platform, the other part being since Expedia bought VRBO years ago they have and continue to be in a steady decline as a booking platform from an owner perspective.  In fact I think some of the Expedia crowd may have been trained at MGM and Caesar's...  ;-)

Lucky Oct-28-2025

Southpoint

I have only been to Southpointe once.  My wife has stayed there with her friends a couple of times.  She said she really enjoyed it there.  Now I know why. Is the gaming any better there, or is it the same as the strip?  VP any better?  I usually stay at Paris.  I will say that staring at people my age all day long will be boring.

John Oct-28-2025

Thanks Gene!

Appreciate that...apparently I needed to zoom OUT when I looked up the address/intersection.  LOL

Bob Nelson Oct-28-2025

Southpoint

Yes Southpoint has good games including VP and $5 3:2 blackjack tables.  Lots of food options with a good buffet at a reasonable price (all my experience is for breakfast).  Hot dog cart, large poker room, seem to be good sports book and slot club.  I’ve stayed there a few times and usually visit when I am in Vegas.

Margot Knight Oct-29-2025

7%ers here!

We just got off the plane from a 3-day stay downtown at the Plaza, a change-up from our usual digs at the Venetian   The Venetian rooms can't be beat but the gaming experience and food was more than adequate   At 72 and 77, we still love our annual visits   Now it's time for our naps!

Question of the Day - 27 October 2025

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