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Home » TOURISM NEWS » Las Vegas Sees Declining Tourism Amid Economic Uncertainty And Reduced Canadian Travel Friday, July 11, 2025Las Vegas, once a vibrant beacon of entertainment and luxury, is facing a downturn in tourism that has caught the attention of both industry leaders and travelers. Recent data from the Las Vegas Convention and Visitors Authority (LVCVA) reveals that May marked the fifth consecutive month of declining year-over-year visitor numbers, with a 6.5% decrease, leaving just under 3.5 million visitors for the month. The tourism slump comes at a time when hotel and casino operators are aggressively promoting deals, offering up to 40% off room rates, daily resort credits, and discounted dining packages to attract both local and international travelers.It’s been a rough summer for a lot of Strip businesses. Resorts World, for instance, has been offering deals such as up to 40% off room bookings and a $75 per day resort credit, complete with complimentary self-parking until August 28. The Strat has room rates starting as low as $49, plus $25 per day dining credits. Those moves reflect the desperation among operators to fill rooms and generate pedestrian activity as economic anxiety grows.Why is Las Vegas experiencing this decline in tourism, then? As explained by Steve Hill, LVCVA president and CEO, the decline is a result of wider economic trends influencing travel choices. “Most of the nation has to watch their budget and worry about how they are economically or what the situation of their job is,” says Hill. Compounding these are shifts in the U.S. policy of international commerce, specifically tariffs, which have heightened the cost of living for a lot of Americans. The Conference Board Consumer Confidence Index took a sharp decline last June, as consumers have become increasing pessimistic about the economy and the job situation.Consumer Spending Declines as Budgets NarrowA reduction in consumer spending is another factor that’s feeding the downward trend. The U.S. Commerce Department reported a 0.1% dip in consumer spending for May, particularly in discretionary areas such as dining out and entertainment. As people become more cautious about their finances, high resort fees, parking charges, and escalating costs for food and drinks on the Strip have become more pronounced gripes.Andrew Page, a Tampa, Fla., technology consultant, complained about the rising expense of a trip to Vegas. Formerly a routine visitor, Page does not think Las Vegas is a good value anymore. “When I book my trips for fun, I’m picking cities where you have a complete good experience, you’ll receive a lot of value for your dollar,” he said.This sentiment is shared by many travelers who feel that their money could be better spent elsewhere, with more exclusive destinations offering competitive experiences. For some, the lack of perceived value is driving them away from the iconic Las Vegas Strip.Effects of Declining Canadian VisitationAdding to the woes is the drop in international tourism, particularly from Canada. Although domestic travel remains the primary source of visitation to Las Vegas, the city has also seen a notable decline in international travelers, especially from Canada. Hill confirmed that visitation from Canada is down by 15% this year, which has had a significant impact on overall tourism numbers.Canadian visitors have been a consistent Las Vegas market, yet political strife with the U.S., specifically during the Trump administration, has cooled relations for others. For instance, Calgary regular Brian Faulkner said he and his wife have decreased their Las Vegas visits because of the current political situation. “Lots of Canadians are taking pride in Canada” now, he said, citing that the couple now chooses to discover their own nation instead of crossing the border.Blair Yaworsky, a warehouse manager from Edmonton, echoed similar sentiments. Having canceled a planned trip to Montana, Yaworsky shared his frustration with U.S. policies and their negative impact on his travel decisions. He now finds it difficult to book another trip to the U.S., despite his previous love for destinations like Las Vegas.Looking Toward the Future: Tourism Revival HopesThere is a note of guarded optimism, though, about Las Vegas’s future as a tourist destination despite the recent decline. Hill is still optimistic that the city will recover sometime soon. Fall promises a number of events, conventions, as well as a number of trade shows that are likely to generate a lot of business. Events such as the Specialty Equipment Market Association (SEMA) Show, which draws car enthusiasts, are projected to generate a lot of visitors. With 160,000 visitors estimated for SEMA during the month of November, analysts think Las Vegas is set to recover.More optimism comes with events such as the CONEXPO-CON/AGG, a three-yearly construction trade expo scheduled for 2026, attracting nearly 140,000 attendees. Coming up next year is the Sweets and Snacks Expo, another key event set to spur visitation both domestic and international. Such mass events could see Las Vegas pick up speed after months of waning figures.Conclusion: A City in TransitionDespite the difficulties Las Vegas as a tourist destination finds itself in, the city’s ability to evolve with shifting economic times continues to define the city’s potential for a rebound. Additional incentives to provide attractive discounts, upcoming events, and the inevitable resumption of travelers as the economic situation stabilizes could see Las Vegas regain a reputation as a premier tourist destination globally. However, for now, travelers remain cautious, taking a more selective approach to their leisure travel choices. Whether Las Vegas can provide enough value to overcome the current economic hurdles and regain the influx of both domestic and international visitors will depend largely on how the city responds to these evolving market dynamics.Tags: alberta, Calgary, Canada, edmonton, Las Vegas, Las Vegas hotels, Las Vegas promotions, Las Vegas tourism, Nevada, travel industry news, U.S. Travel, United States

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