Las Vegas Tourism Down 7.5% as Visitor Decline Hits Small Businesses

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LAS VEGAS — The city is currently experiencing a downturn in visitor numbers due to multiple factors affecting workers and small businesses. 

Last year, tourism in the city dropped by 7.5 percent, and in early 2026, this pattern continues to follow. This is the sharpest decline recorded since record-keeping began in 1970. According to data from the Las Vegas Convention and Visitors Authority, passenger traffic at Harry Reid fell by 6 percent in 2025. 

Experts cite the city’s high prices, a slowing national economy, a drop in international travel, and midweek slumps as reasons for the decline. Those most affected by the tourism decline are small businesses. A lack of foot traffic results in fewer customers for small businesses and workers in Las Vegas. 

Last year, Trisha Baker, owner of Bellies to Babies Boutique, told a news outlet that she had witnessed a shift in her business as tourism declined: 

“I think that people don’t have the money for basic necessities, that this is a luxury thing,” she said. “I don’t think people have the necessary needs for basics that they aren’t going to come in here for the extra money to splurge on something extra special.” 

Bryan Wachter, president of The Retail Association of Nevada, shared his thoughts on the situation for workers: 

“A large portion of our local economy is based around services, and those tourists in that particular sector. If they are experiencing a decrease in hours or a decrease in usual tips, that certainly will change their spending pattern as well.” 

The city is banking on conventions as its hope, and this year it is set to host a record number of conventions to attract domestic and international travelers. However, a forecast from the University of Las Vegas predicts a rebound of 40 million driven by major sports events.