Clark County To Make Less From F1 Las Vegas Ads Next Year
Although this year was a lot less troublesome, having F1 in Las Vegas continues to be a pretty big disruption for the area. That said, at least it is bringing in money. And now… oh, it’s going to make less. Clark County gets a cut of F1 Las Vegas ads along the track, and they just agreed to cut their rate.
The Clark County Commissioners (many of whom were chastised for taking free – but pricey – tickets to the F1 Las Vegas Grand Prix in 2023) gave the thumbs up to a new contract with the race. In that contract is a lower rate for F1 Las Vegas ads being paid to Clark County.
The first batch of F1 Las Vegas ads in 2023 paid Clark County a cool $1,000,000. This new contract with changes the terms a bit for the 8 year remainder of their 10 year agreement to hold the race will see that drop by more than half. Clark County will only see $350,000 in advertising revenue from the trackside ads going forward.
Why Will The County Make Less From F1 Las Vegas Ads?
While we can’t nail down exactly why the Clark County Commissioners gave overwhelming approval to getting less cash, we have two ideas: financial impact of the race isn’t as high as once thought, and more community outreach measures.
If you look at last year’s supposed economic impact, F1 Las Vegas and LVCVA say it was around $1.5 billion dollars. However the 2024 race is bound to see a very steep decline, rumored to be more around $250 million dollars – one-sixth of the year prior. Taking less of a cut may reflect seeing less revenue overall.
The other factor is community engagement, something that Clark County was adamant the race does to appease fans that don’t have money to plunk down for incredibly expensive tickets. The new contract will have the F1 Las Vegas Grand Prix holding a free watch party for locals who want to be a part of the action without plunking down the cash.
Is The Juice Worth The Squeeze?
Taking less money from F1 Las Vegas ads is a mere pittance to the losses that some trackside businesses (see: not casinos) say they saw in 2023. The verdict for 2024 is out on how much temporary bridges and detours set them back.
Regardless, if the deal isn’t working out for Clark County, they get the option to cancel the deal in four years time. The race is a spectacle and we hope it works… for everyone.
