News Summary
Tourism in Las Vegas is facing significant challenges as visitor numbers dropped by 6.5% in May compared to the previous year, with a total of 3.4 million visitors. Contributing factors include economic uncertainty and rising consumer prices, along with a notable decline in international visitors from Canada. Key airlines have reduced flights to the city, impacting tourism revenue and hotel bookings. While convention attendance shows a slight increase, experts fear the ongoing pressures could hinder future tourism recovery.
Las Vegas, May 2025 – Tourism in Las Vegas is continuing its downward trend, experiencing a significant decline of 6.5% in May compared to the same month last year. Approximately 3.4 million visitors arrived in the city during this time, marking a reduction of 1.2 million visitors from May 2024. This downturn follows a 5.1% decrease in visitor numbers in April 2025, raising concerns about the ongoing challenges facing the city’s tourism sector.
The Las Vegas Convention and Visitors Authority (LVCVA) has attributed the drop in tourism to ongoing economic uncertainty and rising consumer prices, factors that have discouraged travel. Currently, domestic travel accounts for 88% of total visitation, yet international visitors, especially from Canada, are waning. There has been a notable 15% decline in international visitors from Canada in 2025, which is particularly alarming for the local industry.
Additionally, key Canadian airlines have experienced significant decreases in direct flights to Las Vegas: Air Canada has reduced its services by almost 22%, Flair by 64%, and WestJet by 34.6%. This decline in available flights contributes to the noticeable drop in international visitor counts. Harry Reid International Airport also reported a 3.9% decrease in total passenger numbers compared to May 2024.
The economic strain is reflected in gaming revenue as well; revenue on the Las Vegas Strip fell by over 1% during the first five months of 2025, including a 3.3% decrease in May alone. Hospitality metrics have followed suit, with average daily hotel room rates declining nearly 5% and hotel occupancy dropping more than 1%.
This decline follows a previous high in international passenger counts, which had exceeded 3.2 million in 2024, nearing pre-pandemic levels. However, recent trends have raised alarms among tourism experts, particularly with increased nonimmigrant visa fees and an 80% cut in federal funding for international travel promotion further complicating matters.
Despite these challenges, there was a slight uptick in convention attendance in May 2025, with 511,200 visitors attending various events—an increase of 10.7% from the previous year. This rise in convention-goers has helped partially offset the drop in vacationer traffic. Furthermore, operators such as MGM Resorts International have started to see improvements in hotel bookings along the Strip as the summer approaches, as resorts offer substantial discounts to attract visitors.
Consumer confidence, however, has dipped due to prevailing economic concerns, with reports indicating a decline in spending at hotels, restaurants, and bars. The CEO of U.S. Travel has cautioned that increased fees for foreign visitors could serve as a self-imposed tariff that may negatively influence U.S. tourism, especially with major events on the horizon like the 2026 FIFA World Cup and the 2028 Summer Olympics.
Casino operators, including Resorts World and The Strat, are initiating significant promotions to attract guests as tourism begins to fluctuate. Yet, according to the Federal Aviation Administration (FAA), a continued decline in June’s passenger totals is anticipated, reinforcing the ongoing downturn in international visitation.
Looking ahead, analysts remain cautiously optimistic about significant tourism events and gatherings scheduled for the fall, which could bolster visitor numbers. As Las Vegas casinos actively adjust their strategies in response to the shifting tourism climate, there remains an inherent risk of continued economic pressures that could challenge the recovery of the industry.
Overall, the evolving situation calls for robust strategies and continued adaptation as the tourism sector in Las Vegas navigates through this period of uncertainty.
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Additional Resources
- 8 News Now
- Wikipedia: Tourism in Las Vegas
- KTNV News
- Google Search: Las Vegas tourism drop
- Travel and Tour World
- Google Scholar: Las Vegas tourism decline
- CNN
- Encyclopedia Britannica: Tourism in Las Vegas
- News 3 LV
- Google News: Las Vegas tourism impact
