Las Vegas Tourism Plunges as Airport Passenger Traffic Drops by 3.9 Percent

Strategic Insights -

The city's main airport, Harry Reid International Airport, has seen six consecutive months of declining passenger traffic, with a significant drop in both domestic and international travel. In May 2025, fewer than five million passengers went through the airport, a 3.9 percent decline compared to May 2024. This decline is particularly notable in international travel, with Air Canada and WestJet experiencing decreases of 21.7 percent and 34.6 percent, respectively. Domestic travel also suffered, with Southwest Airlines and Spirit Airlines down 0.3 percent and 42.4 percent, respectively.

Key Takeaways:

  • Harry Reid International Airport has seen six consecutive months of declining passenger traffic, a first for the airport.
  • In May 2025, fewer than five million passengers went through the airport, a 3.9 percent drop from May 2024.
  • International travel fell hardest, with Air Canada and WestJet experiencing decreases of 21.7 percent and 34.6 percent, respectively.
  • Domestic travel also declined, with Southwest Airlines and Spirit Airlines down 0.3 percent and 42.4 percent, respectively.
  • The decline in tourism is disrupting the city's economy, with hotel revenue also falling.
  • Rising costs and "rip-off" pricing have been blamed for keeping tourists away.
  • Local businesses are being forced to shut down due to the decline in tourism, including Poker Palace, a long-running family-owned casino.
  • Experts point to high prices, inflation, and added fees as key reasons for the drop in tourism.

Statistics:

  • 3.9 percent: the decline in passenger traffic at Harry Reid International Airport in May 2025 compared to May 2024.
  • 21.7 percent: the decrease in Air Canada passenger numbers in May 2025.
  • 34.6 percent: the decrease in WestJet passenger numbers in May 2025.
  • 0.3 percent: the decline in Southwest Airlines passenger numbers in May 2025.
  • 42.4 percent: the decline in Spirit Airlines passenger numbers in May 2025.
  • 85.3 percent: the occupancy rate of Strip hotels in May 2025.
  • $198.20: the average room rate in May 2025.
  • $163.64: the average room rate in June 2025, a drop of 11.3 percent from last year.

Sources:

  • Daily Mail
  • Business Insider
  • Center for Business and Economic Research
  • Hindustan Times
  • Published with permission from Hindustan Times.