According to data from the Las Vegas Convention and Visitors Authority, the city welcomed approximately 3.1 million fewer visitors in 2025 — a 7.5% decline compared to the previous year. Despite the drop, officials point out that the market is adjusting after two consecutive record-setting years.

Passenger traffic at Harry Reid International Airport fell roughly 6% in 2025, with December traffic down 10.3%. Airlines including American Airlines, Southwest Airlines and Allegiant Air have responded by trimming seat capacity into the market for early 2026.

However, the softness has been concentrated primarily in leisure travel, while convention business — a critical revenue stabilizer for casino resorts — has remained comparatively steady.

Analysts describe the trend not as a structural decline, but as a recalibration in consumer behavior driven by inflationary pressures and more selective discretionary spending. Higher-income travelers continue to support demand, even as budget-conscious households shorten stays or postpone trips.

Midweek Weakness Prompts Strategic Pricing Adjustments

The impact is most visible from Monday through Thursday, when casino resorts traditionally rely on steady occupancy to sustain gaming floors, restaurants and entertainment venues.

Data from CoStar shows midweek revenue per available room fell about 11% in 2025. In response, Strip properties have leaned into seasonal promotions, dining credits and targeted offers to stimulate demand while maintaining weekend pricing power.

Major operators have acknowledged the pressure while highlighting forward-looking improvements.

MGM Resorts International reported declines in revenue and earnings at its Las Vegas properties during the fourth quarter and full year 2025, particularly at value-oriented resorts such as Luxor and Excalibur. Nevertheless, executives indicated that booking trends have shown signs of strengthening entering 2026.

Similarly, Caesars Entertainment posted lower profit and revenue in its Las Vegas segment for both the fourth quarter and full year, with annual profit down approximately 20% on a 5% revenue decline. Company leadership continues to focus on operational efficiency and strategic reinvestment to enhance long-term competitiveness.

International Segment Faces Headwinds

International visitation — historically significant due to longer stays and higher per-capita spending — has softened, particularly from Canada. Canadian carriers have reduced seat capacity into Las Vegas by roughly 30% for the first quarter of 2026 amid broader political and economic tensions.

Despite these headwinds, industry observers note that Las Vegas remains one of the world’s most diversified gaming and entertainment markets, supported by integrated resorts, large-scale convention infrastructure, and a globally recognized brand.

Industry Positioned for Rebound

Economists suggest that Las Vegas may be experiencing a normalization phase following exceptional post-pandemic growth. The coming spring and summer booking season will serve as a key indicator of whether leisure demand regains momentum.

Importantly for the gaming sector, operators continue to demonstrate flexibility through promotional strategies, capital discipline and multi-channel engagement across land-based and digital platforms.

While midweek visitation has softened and workers have felt the effects through reduced tips and hours, the broader casino ecosystem remains intact. With conventions holding firm and operators signaling improving trends into 2026, Las Vegas appears to be recalibrating rather than retreating.

For an industry built on adaptation, the current environment represents another cycle in a market historically defined by resilience and reinvention.