Las Vegas Hotels Focus On Selling Room Upgrades

Posted on Categories Hotels

Mirage Hotel
If you’ve been to a Las Vegas hotel in the past year, you’ve probably been asked if you’d like to upgrade your room at check-in. These upgrades aren’t free and come with an added fee per night. If you’re reading Front Desk Tip there’s a good chance that you’re not looking to pay full price for and upgrade. While the $20 trick isn’t free, it’s a way to upgrade your hotel room in Las Vegas inexpensively.

Many businesses look to streamline expenses while generating revenue from new sources. These companies usually keep this in-house. Last year, MGM Resorts bucked that trend and made their Profit Growth Plan (PGP) public. Some of the PGP efforts include reducing how much booze is in a drink, streamlining the types of toiletries they offer, charging for parking, and more.

MGM Resorts has also put a focus on charging for hotel room upgrades. In the 4th quarter of 2016, The Mirage alone generated $640,000 in upgrade revenue. That projects to over $2.5 million dollars in upselling hotel rooms at  The Mirage. The hotel only sold $1 million in upgrades for the entire year in 2015.

Selling upgrades is becoming a big revenue source for MGM Resorts. Throughout all of their Las Vegas hotels, MGM Resorts generated $9.3 million in upsell revenue for the fourth quarter of 2016. You might not see as many people upgrading rooms at budget hotels like Excalibur. Guests at the higher end hotels like Bellagio and The Mirage might be more prone to add a few more bucks per night. After all, the upgrade makes up a smaller percentage of the price in a higher priced room.

MGM Resorts has created an upsell competition between front desk agents at their properties to sell hotel room upgrades when you check-in. The winners of the upselling competition win prizes. Director of The Mirage’s Front Office, Kimberly Stromberg, says that the competition has brought the team closer and looks forward to setting and achieving new goals. “I am extremely proud of what my Front Desk team accomplishes each day,” said Stromberg. “Our forward thinking, constantly evolving atmosphere combined with positive energy creates the perfect recipe for success.”

This shouldn’t freak out too many $20 Tricksters. Winners of the competition are entered into a raffle to win prizes. The big prize at the end of this quarter appears to be a trip from Las Vegas to MGM National Harbor. Your cash tip is probably more valuable to daily living than being entered for a chance to win a trip to another casino.

MGM Resorts might be publicizing this upselling competition but this isn’t an idea that’s exclusive to their hotels. Caesars Entertainment and other hotels are offering upgrades at check-in as well. Visit the Greatest Upgrades page to see some of the best $20 Trick results. Look at the recent upgrades on the Vegas Hotels page to get an idea where you may find it easiest to get an upgrade.