The F&B Pivot: Dining Outpaces the Casino Floor

Updated: 2024 | Category: Hospitality

In 1990, gaming accounted for nearly 60% of Strip revenue. Today, that number hovers around 34%. The slack has been aggressively picked up by Food & Beverage (F&B) and Rooms.

The Economics of the $30 Cocktail

Premium properties recognize that a visitor's willingness to spend on an "experience" vastly outweighs their willingness to lose the same amount at a slot machine. The margins on high-end mixology and bottle service in dayclubs far exceed the hold percentage on a standard table game.

Cost Implications for Visitors

A standard dinner for two at a mid-tier Strip steakhouse now easily exceeds $250. Visitors must plan their F&B budgets with the same rigor previously reserved for their bankrolls.