California Weighing on Las Vegas Tourism Woes
Posted on: August 5, 2025, 02:31h.
Last updated on: August 5, 2025, 02:36h.
- California could be playing big role in declining Las Vegas visitation
- The most populous state is usually a major feeder market for Las Vegas
- The Golden State is dealing with some economic problems, too
In normal, more sanguine economic environments, California, namely the southern part of the state, is one of the biggest contributors to Las Vegas tourism. These days, the Golden State may be one of the primary reasons visitation to the US casino hub is slumping.
Gross gaming revenue (GGR) in Las Vegas rose nearly 1% in June, but that’s barely enough to put a dent in a four-month slide prior to June. As confirmed by recent second-quarter earnings reports, visitation remains sharply lower on a year-over-year basis, and more of the same is in store for the current quarter. California could be playing a part in the Las Vegas slump.
The number of air travelers into Las Vegas overall declined 6.3% over the previous June. In 2024, Californians made up more than a fifth of air travelers into Vegas, with nearly half of those coming from the Los Angeles metro area,” reports Terry Castleman for The Los Angeles Times.
Although Las Vegas GGR ticked higher in June, data indicate traffic on Interstate 15, which links Southern California and Las Vegas, slid 4.3% from the year-earlier period. A report from the Las Vegas Convention and Visitors Authority (LVCVA) indicates that in 2024, California accounted for 30% of arrivals to Sin City, with about half of those coming from Southern California — the region that’s home to the bulk of the state’s population.
California’s Economic Issues May Be Plaguing Las Vegas
California has the fourth-largest economy in the world (eleventh when adjusted for cost of living), but it has some economic woes that may be adversely affecting Las Vegas.
For example, the Golden State is tied with Nevada for the highest jobless rate in the country, according to the Bureau of Labor Statistics (BLS). Compounding that problem are data indicating private-sector job creation in California has been scant for several years, with most of the state’s job gains attributable to government and social services.
Then there’s California’s famously high gas prices, which could discourage some would-be travelers from making the drive to Las Vegas. According to the American Automobile Association (AAA), the national average gas price is $3.16 per gallon, but that figure surges to $4.50 in the Golden State.
It’s Not All California’s Fault
California appears to be playing a role in the Las Vegas slump, but blaming it all on the state is arguably lazy. In fact, much of the decline may be of casino operators’ own doing because more and more tourists, regardless of home domicile, feel they’re getting less value on their Vegas vacations.
For example, Caesars Entertainment’s Paris recently charged a family $50 because their child unplugged the in-room minibar so she could charge her laptop. Rival MGM Resorts International (NYSE: MGM) is employing similarly tacky tactics, including elevated fees on ATM withdrawals at its Las Vegas properties and recent reports of $26 bottles of water in rooms at the Aria.
Then there’s the gaming side of the equation. Finding $5 or $10 table minimums on the Strip is now almost impossible, and most operators don’t offer 3:2 odds on blackjack. Rather, they use less customer-friendly 6:5 odds, and conspiracy theorists are decrying “tightness” on slot machines at Strip gaming venues, implying the odds of winning are getting worse.
Last Comments ( 8 )
My local midwest casinos have $5 3:2 blackjack and $5 live craps with 10x odds. I've been to Vegas dozens of times starting in 1990, but won't be back until they get back to offering some semblance of value and clean up some of the riff raff that put a damper on the city's formerly enjoyable vibe.
Latin community are sticking close to home rather than toss the dice with the threat of ICE.
Of course tariffs and the fact people world wide are canceling trips to the US because of the new administration have nothing to do with it, so California is being blamed? Sounds about right. We have beautiful casinos nestled in the redwoods with the view of the ocean. Peoppe walking around relaxed and friendly. Why go somewhere hot and dry with outrageous prices when it is more beautiful and affordable right where we are. Let's blame the administration. We're losing billions a year in tourism because the world has no desire to come here any longer (I don't blame them). We all know who is to blame and he hates California so of course he will not hold himself accountable and as an emotionally immature person, find someone else to blame.
Smaller local casinos, off the strip, have reported increased earnings, as they offer better value and deals. Also, there are more Indian Casinos in CA now. Why drive to Vegas, when people can save hours of travel time, and save money by staying in State.
The locals aren't going to strip anymore. The casinos are a rip-off from start to finish. They have chased people away with the aggressive and greedy pricing.
Vegas is down because it has become an over priced shit hole. Not just to tourists. Gas is second highest priced in the Nation. Crime is so bad there you can't believe it. Gangs all over the place that came in from L.A. Murders every damn day and the robberies are off the chart. Rape and assault is common place. Rush hour traffic is all day on surface street and the freeways. If that's not enough the Heat will kill you, it's over 108 on a regular basis in the Summer. In the 30's a lot during the winter. I lived thru it for 6 years and recently moved to Wyoming. Lucky I got out.
Canadians not coming, Californians not coming. Hummm, you blame economy in these places. Say his name….say the name that is making people stop spending because of a shaker, uncertain financial future for the United States. Your big players Vegas owners, man up and let him know is stupidity is causing Cho’s in Vegas..you billionaire cowards fuckers
Vegas is a rip off ! I went there one time and will never go back