Specialist
Former executive at Station Casinos and Former SVP at MGM Resorts International
Agenda
- Recovery trajectory and recent developments for Las Vegas Strip casino operators, including potential setbacks from reintroduced mask mandates
- Leisure vs business and group travel – guest volume rebound potential amid depressed international travel and implications for casino and resort operators
- Digital gaming offerings, entertainment growth and conventions business outlook
Questions
1.
Could you kick us off with your top-of-mind expectations for the Las Vegas Strip over the next 12-18 months?
2.
You described the reinstitution of the mask mandate in Vegas as a minor setback. Are there any key demographics that Vegas might miss out on because of it?
3.
What percentage decrease of visitors could the mask mandate lead to, despite the positive signs of recovery you mentioned? How much does it pull back on demand?
4.
You mentioned visitation rates being quite high for certain segments, with some hotels selling out. Could you specify those segments?
5.
How would you represent the Strip’s volume composition on a pie chart? What would be the percentage mix across the sub-segments you mentioned?
6.
You outlined the typical pre-coronavirus volume mix vs today, but how might that differ 1-2 years from now or in a post-pandemic world? Will it return to that typical mix or do you expect it to be somewhere between the two?
7.
Do you expect any longer-term potential demand destruction for live conventions? A lot of conventions happened virtually, resulting in significant cost savings for many companies and travel budgets didn’t necessarily have to be as big as they used to be.
8.
Can you elaborate on the trends around weekday vs weekend visits? Where are we in the recovery curve for weekday, midweek vs weekend visits?
9.
Are operators on the Strip still able to leverage pricing as a draw for consumers to fill weekend rooms? What are your thoughts on pricing and the potential for a full recovery there?
10.
We touched on the mask mandate as one of the most recent impacts to stays. What should we understand about the length of stays returning to pre-pandemic levels or trends for leisure vs business or group travellers?
11.
You gave the pre-pandemic averages for travellers but where are we today? What is the trajectory to returning to pre-pandemic average stays?
12.
What is your outlook for summertime on the Strip? What key metrics should we be tracking?
13.
What are the characteristics of the winners and losers on the Strip? How is that subject to change in a post pandemic world? Which names should we focus on?
14.
It had been 11 years since a new resort opened on the Strip until Resorts World’s June 2021 arrival. Who do you think is most at risk from the property’s debut?
15.
What are your thoughts on iGaming and online sports betting, including their implications for Strip operators?
16.
Would you say that nothing suggests that some digital assets will result in meaningful demand destruction for terrestrial visits?
17.
You mentioned the return of entertainment, which is a big draw for people visiting Vegas. To what extent do you think entertainment is here to stay? Do you expect any demand destruction there?
18.
What are your expectations for industry consolidation? What’s the relative health of the M&A market on the Las Vegas Strip?
19.
What price tags or relative multiples would you expect when considering valuations for assets on the Strip?
20.
What key takeaways or top-of-mind risks can you highlight for the Las Vegas Strip over the next 3-5 years?
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