Low Room Rates in Las Vegas Responsible for Labor Day Violence: Analyst

Posted on: September 9, 2020, 03:05h.

Last updated on: September 10, 2020, 07:41h.

Philip Conneller @casinoorgphilc Read More

Expertise: Gaming Business, Regulation, Tribal Gaming.

A spike in violence on the Las Vegas Strip over Labor Day weekend is a direct result of rock-bottom room rates. That’s according to Greg Mullen, vice president of CDC Consulting, who told the Las Vegas Review-Journal this week he believes the drop in prices during the coronavirus pandemic is attracting the wrong sort of person.

Las Vegas Room Rates And Violence — The Labor Day weekend crowds brought trouble to the streets of Las Vegas this year. (Image: Ellen Schmidt/*LVRJ*)

Occupancy rates have plummeted because of the pandemic, which means operators are offering low rates, or even free rooms, plus travel incentives to the mass market, rather than just high rollers.

Cheap retail rates for the hotel rooms (and) free rooms are going to the players that have never had free rooms in Las Vegas,” Mullen said. “They’re going deeper in their database to get players who aren’t as lucrative because it’s better just to get a body in there.”

The result? The destruction of rooms is at an all-time high at some high-end properties, according to Mullen, and meanwhile, videos with titles like “Fight in ENCORE HOTEL LAS VEGAS LABOR WEEKEND 2020” are getting 40,000-plus views on YouTube.

Wynn to Raise Rates

A Wynn Resorts spokesperson confirmed to LVRJ that a large brawl had taken place at Encore over the weekend, adding that the company planned to buck the trend by bumping up room rates and hiring more security.

Las Vegas Metro Police told a press conference on Tuesday that the downtown area command had arrested 28 people on Friday alone, and issued 27 citations.

People coming here to have fun and take part in the festivities … we welcome you,” said Capt. Patricia Spencer, head of the downtown area command. “For those of you coming here to prey on the tourists or residents of this community, it will not be tolerated.”

Mullen says that operators will need to find a skillful balance between prices that are high enough to keep out undesirables, and low enough to maintain a healthy rate of occupancy — at least until the virus is suppressed to a point where conventions and concerts can return to the Strip.

‘Scared to Go Outside’

But Mullen is concerned that the current climate could damage the reputation of Las Vegas for a long time to come.

“Several of our higher-end profile clients say their high-end guests are done coming until this is under control,” he said. “They’re scared to walk outside their rooms, and don’t feel safe on elevators or on the casino floors themselves. It’s a bad look. … You can really, severely, put a tarnish on Las Vegas.”

Las Vegas is in “uncharted waters,” he added.

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COOPER September 10, 2020

I was just there and I noticed that the crowd was very different! The cost will affect the type of crowd. Just another effect of Covid! I am still not listening to the political BS the other guy stated. Everything is not Republican or Democratic . Sheesh get a real life .
Sue September 10, 2020

Agreed. Maybe they need police. Not less. Throw those bums in jail.
Wokemanjack September 10, 2020

Was in Vegas twice past month. I notice definately a different demographic of people who don't know how to act there.
Darrell September 10, 2020

I was just there this labor day weekend and man were the right-wing extremists out in force. They spread fear that if Trump is not reelected American will burn down in flames, nonsense. The people that cause the riots in our cities are republicans that pretend to be democrats for trumps agenda, people don't be fooled. Mister bone spurs is a con man and will do anything to get votes.
TS September 10, 2020

I stayed at Caesars Palace in July and August, and was shocked at the behavior by some of the patrons. Many were racing around on mobility scooters, blasting music (even inside the casino), and had those large Frozen drinks. I saw large groups of people in the scooters trying to tip them over by cornering hard, sometimes with 3 people on the same scooter. Even in the tight gaming areas they were racing around and yelling. Vegas can get rowdy, but this was insane. None of them were wearing masks either... I stayed at Bellagio in August as well, and it was much more calm, but that same element came through a couple times. Many blasting music on bluetooth speakers. I don't think of myself as elitist at all, which is why I'm so conflicted writing this, but it's like these adults had never gone out into the civilized world before... A the hotel staff commented that cheap rates, and cheap flights has attracted a rougher crowd than normal, and it's tough for them to deal with...
Robert Herbeck September 10, 2020

You won't see me in Las Vegas anytime soon. I see the people that are in Vegas not good. I've been a comp. Player at the Nugget for years.
Bridget Clayton September 10, 2020

Its always a nut, talking stupid, smh, this is not political, shut yo dumb ass up please!
Gigi September 10, 2020

Never posted right radical! Right radicals created lynching how violent can you get after that!
Gigi September 10, 2020

Right radicals created lynching how violent can you get after that!
Chuckwick September 10, 2020

BLM is to blame
Diana Reeves September 10, 2020

I love Las Vegas was supoosed to go in March then Covid hit. I have free airfare get notices every other day letting me know of cheap flights. Won't go until the free concerts on Fremont are back and masks are gone. All you have right now for entrainment is drinking and gambling and Slotzilla light show. It is sad to see one of the most fabulous cities have these issues. Hang in there I hope to see you soon.
Paul September 10, 2020

We saw it firsthand. We visit several times a year from the Midwest. We would be considered higher end customers. We stayed at Venetian two weeks ago and saw the unruly, nasty urban crowd. Smoking marijuana openly in the hotel. Gathering in large groups being obnoxious, loud and acting out. First time we have ever felt unsafe in a Las Vegas hotel/ casino. We will not return until this is corrected.
Uncle Larry September 10, 2020

Has everything to do with it. Have you been out there recently? I was at the Cosmopolitan a few weeks ago, what a joke. I’ll never go back to Vegas. I’ve never seen crowds of people, not looking to have fun and gamble, instead looking to get wasted and fight and taunt and disrespect players and dealers. I’ve been to Vegas over 50 times. These types of crowds could never afford a room before. You get what you pay for, or in this case for the casinos, don’t care what people have to pay for.
Billy September 10, 2020

Agree...the Kooks from LA continue to destroy our town. Gangs, progressives, druggies all bring their lawlessness to La Vegas and our governor and legislators in Reno could care less.
Dustin D. Marks September 9, 2020

What a load of BS. Room rates have NOTHING TO DO WITH VIOLENCE. The left-wing-nuts in charge of Las Vegas, Clark County, Nevada, and the Democrats pushing racial hatred are to blame for this. When you let criminals run wild; this is "how they do!"