Super Bowl puts Las Vegas in global spotlight — CDC gaming reports

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After achieving record gaming revenues for December and 2023 and a Formula 1 race in November, the Super Bowl is thrusting Las Vegas back into the international spotlight. More records are expected to drop, including a betting index for the game between the Kansas City Chiefs and San Francisco 49ers. The game is sure to enhance Las Vegas’ growing reputation as a sports destination.

The February gaming revenue record of $1.23 billion set last year will likely be broken, as will the Super Bowl record of $179.8 million reached in February 2022 when the Cincinnati Bengals played the Los Angeles Rams .

The Las Vegas Convention and Visitors Authority expects 330,000 people to be in Las Vegas for the Super Bowl, about 30,000 more than the game traditionally draws to the city and just under 350,000 people on New Year’s Eve. Ticket prices for the stadium, which can accommodate 65,000 spectators, have reached record levels.

“We are in the midst of the biggest five months in the history of this city,” said Steve Hill, president and CEO of the LVCVA. “We’ve seen the opening of the Sphere, NASCAR, Formula One, the NBA season championship, the NFR, and CES (Consumer Electronics Show). It all culminates in Super Bowl 58.

Room rates have reached record highs, with rooms at MGM Resorts International and Caesars Entertainment averaging more than $800 per night. Given the space allotted by private jets at airports, the game should also attract a lot of big players. Formula 1 attracted an estimated 120,000 people and racers spent more than $4,100 on average.

“The Gaming Control Board is not producing betting forecasts for the Super Bowl. However, with a West Coast team from the number two feeder market in Las Vegas playing the defending champions and with the game in Las Vegas, I expect betting activity to reach record levels. Whiteboard .

Nevada could be looking to set another record for monthly gaming revenue. Lawton expects this month to achieve an increase year-on-year compared to February 2023, especially with 29 days in the month. Also this year, Chinese New Year, always a big draw, falls the day before the Super Bowl.

Jeff Benson, COO of Circa Sports, expects a record-breaking Super Bowl. It’s the first time the match has been held in Las Vegas and both fan bases travel well. “If we can have more events like F1, March Madness (Final Four), and the Super Bowl, along with the baseball team, the more successful weekends like this are, the better for the industry as a whole. It’s also about restaurants and hotels.” And the games and extra spending that comes with these types of events.

Circa Las Vegas, D Las Vegas and Golden Gate properties downtown are sold out of hotel rooms and concerts will be standing room only, Benson said. Circa sportsbooks and its swimming pool were also sold.

“We are expected to be at maximum capacity and have the largest number of people in our venues ever at any given time,” Benson said. “The NFL is king and the Super Bowl is sure to lead them. It should be a great weekend. Sports are huge for us, and we’ve built a sportsbook so big that we’ve had to build a casino around it. Having these big events In the city continues to increase trips and traffic to downtown properties and the city as a whole.

Jeff Sherman, vice president of risk management at Westgate Las Vegas Superbook, said this year’s Super Bowl “has all the ingredients” to set an all-time record. He believes that’s better than if Baltimore and Detroit won their conference championships.

“With the energy in the city, people who wouldn’t normally be very involved may now be more involved,” Sherman said. “And this year, you have the Taylor Swift influence and a whole new demographic watching it. We tried to be a little creative and involved (her boyfriend, Travis Kelce, from Kansas City, with the betting tools). We can’t use any of the Taylor Swift tools, but we called one of them ‘Contest Swift” and pitted Kelsey against Kaitlyn Clark of the Iowa State women’s basketball team.

“In all respects, this will break anything we’ve done in previous years on Super Bowl weekend,” Sherman said. “It feels like the Super Bowl has just been awarded and it’s already here. It hits all kinds of buzz and I hope it continues the (Super Bowl) cycle.”

Even without hosting the game, the Super Bowl has long been the second attraction after New Year’s Eve, said Andrew Woods, director of the Center for Business and Economic Research at the University of Nevada Las Vegas. Having the game here takes it to another level. He expects about $185 million to bet on the Super Bowl in Nevada. The Super Bowl is also expected to have a $600 million economic impact, according to the LVCVA.

“Even if you don’t have a ticket to the game, many of the events take place across the valley making it a unique experience,” Woods said. “We know from our research that sports fans tend to stay longer and come in larger groups. Sports is the third largest spending category outside of hotel and airfare. The first is food and the second is shopping.

The most recent report available, as of 2022, shows that visitors who come to Las Vegas to exercise spend about $1,084 per person, Woods said. He added that about 5% of visitors came to Las Vegas in 2022 to exercise, and this number will grow when the 2023 numbers are released and will be higher in 2024.

“It’s the first time we’ve done this, but it’s exciting to see it happen and to be seen on the world stage not just as a place to come visit, but also as a place to hold world-class sporting events,” Woods said.

With global media coverage during the week and on the day of the game showing images of the Strip, Woods and other analysts said it’s a great advertising campaign for Las Vegas.

“We have hockey, soccer, women’s basketball and baseball coming,” Woods said. “It puts more pressure on the NBA to expand into Las Vegas at some point. Getting the Super Bowl back, because we do it well and can accommodate it, helps spur further development. We have recovered from the pandemic and with the sport continuing to be the next development.” “What does that mean in terms of visitation? We were just shy of 41 million in 2023 and the record was just shy of 43 million in 2016, so I’m looking forward to seeing if we can get close to that record in 2024 and surpass it in 2025.”

Las Vegas has hit record numbers in gaming revenues, even without traffic returning to normal, because those arriving are spending more.

“Vegas is back and bigger than ever, and the Super Bowl is the cherry on top to remind Las Vegas and people that it is the premier entertainment experience location in the world,” said Oliver Lovatt, CEO of Denstone Group.

Las Vegas is well positioned when it comes to sports: the $1.5 billion stadium slated for the Tropicana Las Vegas site will be home to the A’s in 2028, the NBA expected to award Las Vegas a franchise by the end of the decade, and a $1 billion arena . It is being built south of the Strip on Las Vegas Boulevard. As for entertainment, the city has hosted residencies for top artists such as U2 at Sphere and Adele at Caesars Palace. Allegiant Stadium was sold out after the concert.

It is possible that the global exposure Las Vegas received with Formula 1 in November has prompted travel to the city after the event and the Super Bowl should do the same in the coming weeks and months, boosting the year, said Josh Suisman, co-founder of GMA Consulting. 2024 more. Visiting and spending.

“Not too long ago, the NFL looked negatively at Vegas and the gaming industry, and that mentality has changed,” Suisman said. “Now you have a professional football team in Las Vegas, and the Super Bowl is the crown jewel of the NFL. Having this event and everything that comes with it in Vegas is a testament to how Vegas can step up and accommodate world-class entertainment on a scale befitting a Super Bowl.” .

Brendan Bosman, managing partner of B Global, said seeing a record 2023 boosted by the sector shows the staying power of Las Vegas and that the diversification of product offerings led by sports and entertainment has had an impact and will continue to do so.

“Formula 1’s impact is not just about who gets to race,” Bossman said. “There are very few times when you can have a two-hour commercial three nights in a row. You’ll have a half-day on CBS and even before the week. That’s a multiple you can’t put a price on.”

It is undeniable that Las Vegas has strengthened its position as a sports and entertainment city, said Lawrence Shin, managing director of Advantage Partners Consulting. The Golden Knights winning a Stanley Cup, the Las Vegas Aces winning back-to-back WNBA championships, and an NBA In-Season Championship are just the beginning. The Athletics’ upcoming relocation, the future of Super Bowls, and the inevitable future of an NBA expansion team show a strong pipeline. The Sphere and multiple Taylor Swift performances have also attracted and will continue to attract record-breaking youth crowds to the city, he said.

“The gaming industry is embracing technology to reshape itself in operations,” Shen said. “Several analytical functions and some entry-level AI have already entered the space to provide more targeted marketing and reduce operating costs. These resources can be allocated to renovating hotels and gaming floors, developing attractions, and providing experiences that capture traditional non-gaming segments and turn them into gamers.” .

However, the benefits to Las Vegas go beyond gaming revenue and other income. “The culture of the city has been influenced by the presence of professional sports here, which has given us an identity and confidence that we are not just a small city in the desert anymore, but an urban area that is still growing and has a lot to offer,” Woods said. .

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