The Las Vegas Review-Journal reports that MGM Resorts will implement a 20 percent service charge at all spas and salons inside the company’s Strip properties.The company said the added service charge essentially replaces tips.
Five MGM properties — The Mirage, Excalibur, Luxor, MGM Grand and New York-New York — already have a service charge at their spas and salons.
Aria,Bellagio, Vdara, Mandalay Bayand Delano Las Vegas will be joining, with the charge in place by the end of August.
David Schwartz, director of the Center for Gaming Research at UNLV, said it’s unclear how this decision will affect MGM Resorts; it could bring in additional revenue in the short term, but it could also affect customers’ goodwill.
Visitors to Las Vegas “have become increasingly outspoken in their disapproval of add-on charges and fees, and it is hard to imagine that customers will be happy with a new service charge,” Schwartz said in an email.
Comment: I have been a critic of resort fees, surcharges, parking fees and surge pricing at bars, etc. since they began. They are just a way for greedy casino operators to act even greedier. There is no doubt that it is having an effect on customers attitude toward ownership. Mark my words, it will come back to bite them in the ass.Thank God they don't try and pull this shit in Reno.
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