Las Vegas MGM Grand Ditches Iconic Buffet, Signaling Shift in Casino Economics
On May 31, the MGM Grand in Las Vegas officially closed its buffet, a fixture since 1993, with no immediate plans for replacement. This move, reported by The Independent, marks the end of an era for one of the Strip’s last remaining grand buffets. Mainstream outlets like The Independent frame this as primarily a consumer preference shift, noting declining interest in traditional buffets
post-pandemic. However, this interpretation often omits the deeper financial calculus dictating these corporate decisions. While consumer habits do evolve, the MGM Grand’s parent company, MGM Resorts International, has been consistently re-evaluating its operational costs and revenue streams. For instance, in 2023, MGM Resorts generated over $16 billion in net revenue, a significant portion now
derived from luxury experiences, entertainment, and high-roller gambling, rather than budget-friendly dining options. This shift away from accessible amenities such as buffets aligns with a broader strategy observed across the hospitality sector. The focus has moved from attracting mass market tourism with affordable options to maximizing revenue per guest through upscale offerings. This mirrors
the trajectory of hotel chains globally, frequently divesting from properties and then re-leasing them back, a financial maneuver that optimizes short-term asset liquidity over long-term customer loyalty. For example, Hilton Worldwide executed a similar strategy in 2007, selling its company-owned properties and rebranding as a management and franchising company, a move that reduced its direct