Heading into Memorial Day weekend many patrons of land-based casinos witnessed a huge drop in prices for room rates. In fact the Las Vegas casinos and hotels saw the lowest drop and room rates since 2002 when the economy was at another all-time low.
Now that the holiday weekend behind us the hotels and casinos are beginning to pick up their rates again. The MGM Mirage received word from their executives that the demand was high enough to raise their current rate. It is the hope of the executives that by raising the rates, the profit margin could see an upswing by 2010.
Tourists are very well aware of the changing room rates and one can bet that if the casinos and hotels raise their rates, the public will be equally aware. Judy Del Vecchio, stayed for five nights with her husband at Monte Carlo suite. She spent $631 for the entire weeks stay.
“This recession has scared people — they have a whole different way of thinking,” Del Vecchio said, “They’ll come if they know they’re getting a bargain. If they keep rooms low, people will come out here and get lost in all this and spend money they never thought they’d spend.”
As Del Vecchio and other tourists can attest, when rates are low in Las Vegas it is a convenient place to vacation, however there is a balance, and once rates rise again, other options may prove to be more cost effective.
The times have actually seen Las Vegas Hotel and Casino room rates rise as high as $500 a night, but then they also were witness to low occupancy during those times. Now they have lowered their prices in order to raise the level of occupancy within the hotel casino. During Memorial Weekend, some places gave away rooms in order to keep gamblers there spending money in the casinos. Once they are there they will spend in the casinos and the food areas, as well as souvenirs.
