The gambling capital of the world looks to follow-up an eventful 2023 Grand Prix with an even more extravagant display ahead of the race of November 10.
Formula One has been looking to expand its presence and popularity in the US for a number of years, with the most recent attempt bringing the sport to the city of Las Vegas. In 2023, Formula One held the first-ever Las Vegas Grand Prix, with Red Bull driver Max Verstappen coming out on top and helping to bring a wave of new fans in after a thrilling weekend.
Visitors of the 2023 Las Vegas Grand Prix spent 3.6x as much as the typical Las Vegas visitor, per the Las Vegas Grand Prix debriefing report released by Clark County, Nevada after the event. The average length of stay was 4.1 nights and more than $4,100 per trip was spent, which would result in $1,000 spent per night without including the price of the race tickets.
The 2023 race saw nearly $88m spent on public infrastructure, while wages for local workers totaled $52m for the first full year of work. Las Vegas Grand Prix-related infrastructure development was able to support almost 2,200 jobs. Between event operations and visitor spending activity, nearly 5,100 additional jobs were needed in the city, as the race generated $77m in state and local taxes. That is more tax revenue than any other event in the history of Las Vegas. The total economic impact of spending for the event was reportedly $884m, according to the debriefing report.
The event started out with a small issue in the form of a water valve cover that was left exposed, damaging Carlos Sainz’s vehicle and aborting the first free practice. Formula One and the city of Las Vegas were able to repair the issue and the race went on unscathed from that moment on. The city celebrated the debut of Formula One with numerous celebrations and exclusive opportunities for fans in the build-up to the race, just as it will in 2024.
With just over a week before the race is set to begin, MGM Resorts announced that it will be “shifting into gear” as the Grand Prix quickly approaches. Through a roster of different activations and events, MGM will be looking to entice fans of the sport to take part in the activities taking place in the Downtown strip area.
"We are gearing up for this year's race with a variety of new experiences at our resorts along the track that will make this Grand Prix event uniquely Las Vegas," MGM Resorts’ VP of Citywide Events Strategy Andrew Lanzino said.
"Our most famous landmarks, destinations, entertainers and culinary talents will take part in delivering a race weekend that's unbeatable."
Bellagio's main driveway will be transformed into a runway of interactive experiences by leading brands in racing, spirits, hospitality and attractions. Bellagio Fountain Club guests will be able to take part in Grand Prix challenges, visit exclusive cocktail lounges and play games to win Las Vegas prizes.
Sainz will even be visiting the Aria Ultra Lounge to host a party held from November 21-23, with fans getting the opportunity to possibly meet the future Williams driver in person. The Cosmopolitan will look to elevate race weekend with The Boulevard Experience, a watch party held atop the Boulevard Pool. New for this year's race, the event will deliver an alternative race-watching experience highlighted by closed-circuit viewing of the live Las Vegas Grand Prix television feed.
A separate preliminary economic report from the Clark County debrief estimated that Formula One fans who attended the 2023 festivities spent nearly $561m throughout the weekend, showcasing a clear positive financial impact for Las Vegas. Emily Prazer, Chief Commercial Officer for Formula One and the Las Vegas Grand Prix, already confirmed the 2024 edition will be slightly smaller, including the lack of any Wednesday shows prior to the race.
Due to the slightly smaller celebration, the Las Vegas Convention and Visitors Authority have estimated that this year’s Las Vegas Grand Prix will bring in at least $250m from consumers. The figure would still represent the largest financial generator among the city’s special events held during 2024. The Authority has also recently become an official partner of Formula One with the responsibility of promoting Las Vegas and its events.
The grand celebration of the 2023 Formula One Grand Prix did not come without doubters, however, as many local small business owners believed it did a disservice to their operations. Due to the amount of structure it takes to build the race track in the Downtown strip area, many streets were closed off to public access and some stores saw negative financial impacts because of the limited walking space.
While any Grand Prix held outside an official race track typically interferes with the host city’s layout, Las Vegas has a number of stores and business owners located just off the strip that rely on tourism just like Formula One. Hopefully, with fewer events being held throughout the week as Prazer stated, small business owners can see the same positive impact larger corporations gain from the event being hosted in Las Vegas.
The current agreement between Formula One and the city of Las Vegas runs through 2025, but there are hopes that the deal can be extended to continue hosting events through 2033. The first Las Vegas Grand Prix ended up being a rousing success for the city, albeit with plenty of complaints from local business owners and some fans that were unable to see the majority of the race despite buying tickets. In the event the deal between Formula One and Las Vegas is extended as expected, the city will have plenty of opportunities to perfect how the race week is planned out so that way all segments of business see positive economic impact from the Grand Prix.
