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What the Decline in Las Vegas Tourism Means for Government Contractors and Business Strategy in 2024

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  • August 16, 2025
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The Strip Is Emptier This Year: What It Signals for Business and Government Contractors

Las Vegas, famously known as “The Strip,” is considered more than just a hotspot for entertainment and tourism—it’s a bellwether for broader economic conditions. This year, The Strip is noticeably quieter. In a place driven by conventions, tourism dollars, and trade shows, a downturn in foot traffic presents consequences for both private sector businesses and public-sector contractors. As reported by Morning Brew and other business outlets, there’s a stark change in visitor volume, and it’s sparking conversations across the industries that rely on Vegas as a venue and economic indicator.

Understanding the Drop in Visitors

Tourism and Conventions: A Slower Recovery

Post-pandemic travel saw a strong initial bounce back, but 2024 is showing a plateau—or even a decline—in the number of visitors to The Strip. Major conferences and expos aren’t drawing the same pre-pandemic crowd sizes. Factors such as rising flight costs, tighter corporate budgets, inflation, and changing work norms (like virtual gatherings becoming the default) are all contributing to this slowed activity.

What This Means for the Events Industry

Las Vegas hosts some of the largest trade shows in the United States across sectors such as defense technology, cybersecurity, healthcare, and construction—many of which pull in a sizable number of federal and state contractors either as participants or vendors. Fewer people on The Strip correlates to reduced event participation, which not only hits local businesses but also impacts federal outreach and marketing strategies in government contracting sectors.

The Government Contracting Implications

A Key Venue for Federal and State Networking

Trade shows and expos in Las Vegas are crucial touchpoints in the government procurement ecosystem. Federal agencies, DOD branches, and even Maryland state procurement representatives frequently use industry events to scout vendors, demo technologies, and brief contractors on upcoming opportunities. A less vibrant Strip diminishes the pace and scalability of these exchanges.

Shift Toward Digital Engagement

With declining in-person engagement, government entities—and contractors hoping to win bids—must pivot to digital methods. This means leveraging secure online platforms for proposal submissions, strengthening social media and email campaigns to reach Contracting Officers (COs), and attending virtual industry days hosted by agencies like GSA or FEMA. Contractors that relied heavily on face-to-face networking will need to update their business development approach to remain competitive.

Partnering with Local Economies in Times of Downturn

Opportunities for Maryland-Based Contractors

States like Maryland, which host a high number of small and mid-sized government contractors, may find opportunities amid the downturn. As Las Vegas and similar urban economies look to rebound, they may tap into remote contractors to fulfill service needs conventionally sourced locally.

Additionally, federal stimulus and infrastructure investments are now targeting regional economic support plans, including grants and contracts aimed at revitalizing tourism-based cities. Maryland-based suppliers and service vendors with remote capabilities should monitor agencies like the Economic Development Administration (EDA) and Department of Commerce for contract opportunities that could arise.

Exploring Cooperative Agreements and Inter-State Collaboration

Collaborations between state and federal agencies—such as the U.S. Small Business Administration (SBA) and Maryland’s Department of Commerce—often result in cooperative agreements to support businesses aiming to diversify geographically. Contractors previously focused on federal buildings or bases in Maryland may now be encouraged to deploy services to other cities in need of economic revitalization, including Las Vegas.

Morning Brew’s Role in Keeping Contractors Informed

Morning Brew’s daily updates continue to provide concise, relevant news spanning Wall St. to Silicon Valley. For government vendors and PMOs (Project Management Offices) operating in dynamic climates, regular updates can inform risk assessment and strategic decision-making. Whether it’s tracking the slowdown on The Strip, infrastructure funding allocations, or evolving federal procurement trends, resources like Morning Brew offer timely insights that are invaluable for contracting professionals.

Conclusion

The emptier Las Vegas Strip in 2024 is more than a tourism issue—it’s a signal of shifting business practices, tighter budgets, and evolving engagement methods within government contracting. Contractors, particularly those in Maryland or similar hubs, must adapt strategies quickly to remain viable in a changing marketplace. By recognizing the emerging reliance on digital environments and rethinking out-of-state expansion strategies, public-sector vendors can find new avenues for growth even as traditional locales experience downturns. Staying informed through platforms like Morning Brew and maintaining compliance with public-sector requirements will ensure your team is equipped to navigate the quieter times—and capitalize on the opportunities they bring.

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