From an economic point of view, the 2024 Las Vegas Grand Prix was less successful than in its debut year – but things are expected to pick up again in 2025
After its spectacular debut in 2023, the Las Vegas Grand Prix experienced an economic decline in 2024. Both the overall economic effect and ticket sales were lower than in the previous year.
According to a study conducted by Applied Analysis, the economic impact of the race in 2024 was $934 million – a significant decline from the $1.5 billion in 2023.
A major factor in the high revenue in the first year was the extensive construction phase around the track. This included, among other things, Formula 1’s purchase of a 39-hectare site for the paddock and pit facilities for $240 million.
In 2024, visitors spent an average of $2,400 during race week – not including ticket prices. This resulted in $45 million in tax revenue for the state of Nevada. Ticket sales declined slightly, with 306,000 tickets sold in 2024, down from 315,000 in 2023.
Despite the decline, the race remains one of the city’s biggest annual events.
Despite this decline, the race remains one of the city’s biggest annual events. Lori Nelson-Kraft, senior vice president of corporate affairs at the Las Vegas Grand Prix, emphasized to The Athletic:
“The economic impact of the race in 2024, which amounts to $934 million, makes it the largest recurring event in Las Vegas. It is just behind our inaugural year and the Super Bowl, which Las Vegas also hosts.”
It is particularly positive that the race takes place in a traditionally weak tourism week and thus strengthens the city economically.
Looking ahead: Optimism for 2025
Despite the decline in revenue, Formula One is optimistic about the future of the race in Las Vegas. Derek Chang, CEO of Liberty Media, explained that the 2024 race “did not quite meet internal expectations”. However, he said, measures were quickly taken to improve the 2025 event.
“Formula One has moved quickly to make changes that will make the 2025 race more financially successful and enhance its positive impact on the Las Vegas community,” he says.
