As the highly anticipated Las Vegas Grand Prix approaches, local hotels are making strategic moves to attract visitors and fill their vacant rooms during F1 week. With ticket sales falling short of expectations, hoteliers have taken drastic measures by significantly reducing their nightly rates.
Savvy fans who had previously purchased tickets at higher prices are now opting for refunds and re-booking in order to save hundreds of dollars on accommodation expenses.
To provide a comprehensive overview of this trend, We conducted an extensive analysis of more than 20 prominent hotels located along the iconic Las Vegas Strip. The purpose was to showcase the substantial decline in nightly room rates over the course of one year.
In November, Formula 1 will return to Las Vegas after a hiatus spanning over three decades. This event marks the third and final Grand Prix race being held in the United States this year. The decision to include Las Vegas as part of the championship highlights Formula 1’s commitment to leveraging its growing fanbase within the country—a fanbase that has been nurtured through the immensely popular Netflix series Drive to Survive.
However, unlike many other rounds of the 2023 Formula 1 World Championship, ticket sales for the Las Vegas Grand Prix have not met expectations. Consequently, this shortfall is having a significant impact on hotel prices throughout the bustling Strip area.
Initially, there was a surge in prices when it was confirmed that Las Vegas would host a grand prix race. All parties involved—F1 organizers, promoters, hotel owners, and even fans—anticipated rapid sellouts for tickets.
Therefore, following confirmation of race dates towards the end of 2022, hotels and casinos lining Las Vegas Boulevard promptly raised their room rates exorbitantly high for both F1 week and weekend stays.
On November 7th, 2022—an immediate aftermath of announcing dates for the upcoming Vegas Grand Prix—8 News Now meticulously examined some major Las Vegas hotels while comparing their pricing structures for the 2023 F1 weekend with rates from the same period a year earlier.
The results of this analysis were as follows:
The data revealed that the mean nightly room rate had escalated by more than 300% for hotels that had disclosed their rates, with the Rio hotel experiencing a maximum increase of 466%.
However, prices have since taken a significant dip. Following an initial wave of price hikes and hasty bookings from fans fearing immediate sell-outs, there has been a consistent reduction in rates over the past year.
A slight decrease in hotel costs is typically expected once the rush following initial releases eases off. However, tickets to the Las Vegas Grand Prix are pricier than previously estimated (exceeding $2500 for three-day grandstand seating), resulting in fewer individuals planning to attend the F1 event in Vegas.
Now, as we approach less than two weeks until race weekend at Vegas F1, hotels are further reducing their prices hoping to fill vacant rooms.
To illustrate just how significantly these prices have been cut, we’ve examined current nightly room rates (as of November 6th) for the same 22 hotels featured in data collected by 8 News Now one year ago.
These figures represent an average cost based on three-night stays between November 16-19, 2023.
The table below provides this comparison. To ensure consistency with previous analysis done by 8 News Now and provide a like-for-like comparison, listed prices include tax but not resort fees and were obtained directly from each respective hotel’s online booking system.
The figures indicate a significant reduction in hotel rates in Vegas during the F1 race weekend.
Circus Circus records the most substantial decrease in their nightly charges. Last year, they pegged their rooms at $649 per night for the F1 weekend. Currently, however, they’re only asking for $111. This is less than 20% of what was previously charged.
The overall reduction in rates for the 22 hotels examined was 58%.
Naturally, hotel tariffs tend to peak when an event is initially declared and then experience a minor drop. However, what we observe here isn’t just a marginal decline; it’s a significant slash in prices that seems to ridicule those unfortunate F1 enthusiasts who made their bookings last year.
It’s anticipated that these rates will rebound slightly prior to the commencement of the event.
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