Las Vegas Visitor Numbers June 2020
It’s not a huge surprise that Las Vegas is struggling to attract customers as the COVID-19 pandemic continues on. If you’re interested in seeing what Vegas is like on the ground right now, make sure to check out my Vegas tour videos on YouTube. It isn’t quite the same as what you probably have come to expect.
Las Vegas June 2020 Visitor Data Is In
Every month the Las Vegas Convention & Visitors Authority releases visitor data for Las Vegas. It took them a bit to get June’s data up on their site, but it finally has been released and it isn’t good. To back up, all casinos were closed through June 4, but the numbers are still ugly even when taking that into account.
Here are some of the key stats for June, 2020 and how they compare to last June:
- Visitor Volume – 1,065,100 (-70.5%)
- Convention Attendance – 0 (-100%)
- Total Occupancy – 40.9% (-50.8%)
- RevPAR – $42.56 (-61.5%)
These are pretty staggering drops, but aren’t really a big surprise at this point. Visitor volume is about 2.6 million people less than June, 2019 and a large part of that is a lack of conventions. Last year 514,000 people attended conventions in Vegas whereas this year there weren’t any.
RevPAR & Occupancy Hurt
With gaming company after gaming company coming out and announcing huge losses, we know that occupancy is down. Many casinos have reported about 30% occupancy during the week and 50% on weekends. This seems to make sense with the final numbers showing an overall occupancy of just over 40% which is a giant drop from over 90% last year. Room nights occupied dropped 71.5% as well.
Then there is RevPAR or Revenue Per Available Room. This number factors in all rooms and thus the occupancy number has an effect on it. RevPAR this year is an abysmal $42.56 whereas last year it was $110.43. This is why hotels are still closed and the recovery is lethargic at best. There is simply way too much supply.
Average Room Rates Aren’t Down Nearly As Much
While the numbers shown above are bad, one interesting thing to look at is the Average Room Rates. In June, 2020 the average room rate was $104.07 compared to $120.43 a year ago. That means rates are down only 13.6% overall. Better yet, rates on the Strip are only down 9.2% YoY and Downtown they are down only 5.6% YoY. Perhaps deals aren’t as widespread as some think.
The average room rate numbers are a sign that there is demand with a certain segment of the population and the casinos have been able to fill their rooms with people who are paying a decent price. Perhaps a bit less than before, but the discounts aren’t significant, at least when it comes to room rate. Unfortunately there are too many rooms hence that RevPAR drop.
People Are Flying Here A Ton Less
While this isn’t a huge surprise, the LVCVA also tracks deplaned customers when looking at the tourism data for the city. In June, 2020 1,041,823 passengers deplaned at McCarran International Airport. That is down from 4,444,263 a year ago. A staggering 76.6% drop in traffic!
When Will Vegas Recover
Over on YouTube I’ve received hundreds of comments on my videos and everyone seems to have a different opinion on Vegas and when it will recover. I look at these numbers and see two things. First, we have WAY too many hotel rooms for the amount of demand right now. Second, there are people who want to come here and spend money. That’s good for Vegas, but the town needs more of those people.
Vegas gaming is losing a ton of money, because these buildings are big and expensive to run. Additionally, a lot of people are being permanently laid off which will allow the gaming companies to operate more efficiently, but will have a big impact on the local economy. Absent a vaccine, I just don’t see where Vegas recovers enough to fill the available rooms to 90%+ occupancy again and that’s where the Vegas needs to be. Or at least above 40%.
Las Vegas Visitor Numbers June 2020 – Bottom Line
Vegas continues to struggle, but it’s fascinating to see our first glimpse at the real data. I highly suggest checking out the official numbers if you want to dive in even more. What do you think? Will Vegas recover quickly or will these types of numbers become the new normal for awhile? What will it take to bring people back to Vegas in similar numbers to before?