MGM Resorts' New Digital Era and the Concierge Cuts
MGM Resorts Eliminates Concierge Stations at Six Venues in Las Vegas
Stepping into the digital future, MGM Resorts - a standout of the Las Vegas Strip - is reshaping its operation, leading to cutbacks in its concierge services. With a focus on satisfying contemporary consumer trends and adapting to economic uncertainties, the shift prioritizes digital interaction and is predicted by critics to mirror a broader pattern in the tourism industry.
The Impacted Properties
Among the MGM properties feeling the wave of change are six high-profile establishments, such as MGM Grand, Park MGM, The Signature at MGM Grand, New York-New York, Mandalay Bay, and Vdara. Not all properties are bearers of this change, as iconic spots like Bellagio Hotel & Casino, Aria Resort and Casino, and The Cosmopolitan of Las Vegas continue to offer traditional concierge services [1][2][3].
Employee Casualties and Alternative Opportunities
The modifications have led to the elimination of about 34 jobs, although the laid-off employees are given options for alternative roles within the company or resources for transitioning into new positions [2][5].
The Root of the Reshaping
The rationale behind the cuts is rooted in evolving guest preferences and the growing embrace of digital services. Tourists are displaying a preference for digital concierge services, which MGM offers around-the-clock via its MGM Rewards app [3][5].
Shaping the Future
MGM Resorts' strategic shift isn't confined to concierge cuts. The company is investing in its digital concierge service, enabling guests to effortlessly make bookings and reservations digitally. This transformation aims to cater to the ever-changing needs of travelers in the Las Vegas entertainment landscape [5].
Economic and Tourism Context
The job cuts at MGM Resorts coincide with apprehensions about dwindling tourism and escalating prices in Las Vegas, raising concerns about broader economic difficulties. Speculations suggest that these layoffs may portend additional scale-backs as the tourism sector grapples with potential economic slumps [2][3]. Additionally, escalating prices at luxury establishments and the ascendancy of digital services contribute to the lessened demand for conventional concierge services [2].
Sources:
- MGM Resorts to close in-person concierge desks at six properties | Las Vegas Review-Journal
- MGM Resorts dives deeper into digital concierge during coronavirus pandemic | USA Today
- MGM Resorts to close concierge desks at six Las Vegas properties amid COVID-19, rise in digital services
- MGM Resorts Eliminates Nightly Housekeeping Amid Pandemic
- MGM Resorts International Announces Job Cuts as Part of Digital Shift
- In the digital age, even slot machines in Las Vegas casinos might one day be controlled via mobile apps, as MGM Resorts shifts its focus towards digital interaction.
- Amidst the changing casino-and-gambling culture in Las Vegas, some establishments, like Lucas, who previously worked as a copywriter, may find himself versed in the digital concierge industry instead.
- The experience of poker in Las Vegas may see a transformation as well, with the rising popularity of digital concierge services potentially making paper chips and face-to-face negotiations with dealers a thing of the past.
- Instead of relying on traditional in-person concierge services, bachelor parties in Las Vegas might find their itineraries managed more smoothly with the help of MGM's digitally integrated reservation system.
- Some critics of the casino industry predict that the increasing prevalence of digital services could lead to a decline in the overall Las Vegas casino culture, as the tangible aspects like personally operated slot machines and experienced human concierges could grow less prevalent.
