The general manager overseeing Paris Las Vegas, Horseshoe, and Planet Hollywood on the Las Vegas Strip dispelled the notion that the city doesn’t offer value to tourists, saying it just has to do a better job of educating the public.
Kenneth Ostempowski appeared before the Nevada Gaming Control Board Wednesday, where he was recommended for licensing, along with Mark Huse, general manager of Caesars’s properties in Reno – Silver Legacy, Eldorado and Circus Circus.
Ostempowski responded to a question from Board Chair Mike Dreitzer on news stories that Las Vegas no longer offers any value and that the customer experience has been diminished. He said Las Vegas offers a value tier, second tier, and luxury tier and each of those customers has tier-based budget.
“We completely disagree with the narrative,” Ostempowski said. “While we have value propositions, we’re probably talking more about them. There’s more signage and more feedback and more talking to our news agencies making sure these value things exist.”
Ostempowski talked about rolling out a deal for Las Vegas locals with free parking and 25% off restaurants. He said they’ve had free parking for Nevada residents for a long time, but now they’re telling people about it. The free parking for locals runs Sunday through Thursday.
“I believe there’s something for everyone in Las Vegas and it’s just making sure they know what that something is.”
Ostempowski said Las Vegas has been a city of cycles and it goes down, but ultimately comes back up. “Las Vegas is resilient and that’s the best thing about it. Our organization has engaged in strategies on how we can further evolve in the current landscape.”
Board member George Assad expressed that he’s perturbed about the narrative about Las Vegas, citing gaming revenues that continue to increase year over year. While visitation is down for Las Vegas, he said it doesn’t mean anything, because over the course of history it’s always been up and down.
“It used to be a town for kids and then it changed and now it’s great chefs and restaurants and merchandizing,” Assad said. “The people running these casinos are very smart when it comes to marketing. They adapt with the times and change in circumstances that surround them. I have no worries that Las Vegas is going to bounce back. Las Vegas bounced back after 9-11 and October 1 (mass shooting). We’ll keep moving forward, because we have the brightest and best marketing people I think in the world here.”
Huse called the Reno and northern Nevada market strong. Without divulging numbers, he said they’re in a good spot year-over-year. “We pull a lot of business out of the Bay Area and as long as Donner Pass doesn’t close because of snow, we usually do pretty good. It’s a growing market and (the region) has done a fabulous job of bringing in new businesses, with Tesla and other companies.”
Huse said some 50% of their play comes from the Bay Area, surprising Dreitzer that it was that high.
“We do well,” Huse said.