Since its inaugural event in 2023, many have wondered how hotels and casinos would make the Formula 1 grand prix in Las Vegas work, given all the competing elements. In working with Hilton Grand Vacations, here’s an inside look at how it happens and how it works.
When the announcement was made that Las Vegas would host a street race for Formula 1, questions from media and fans immediately jumped to the surface. Why the 10 pm local start time? How would the track design, which ran down The Strip, work with vast entertainment options available to visitors? Why is the race the weekend before Thanksgiving? And how would the hotels that sat on the circuit partner with Formula 1, and ultimately, move the bottom line?
In its second year, significant lessons were learned from last year. Elara by Hilton Grand Vacations, which sits on East Harmon just before the high-speed sweeper at the start/finish line of the Las Vegas circuit, is a good example of how a hotel markets and brands itself for the race.
In their second year, several changes were made after lessons were learned from 2023.
“I think the whole market felt that we overshot some of the pricing [last year],” said Shannon Cummings, SVP, of Corporate Marketing and Events, Hilton Grand Vacations to me in an exclusive interview for Forbes. “Our ticket last year was $8,000 and now it sits at $3,000-$3,500 and it moved a lot.”
This brings things back to why the race occurs the weekend before Thanksgiving.
Las Vegas is Las Vegas, but it does come with downtime. The weekend before Thanksgiving has traditionally been one of the slowest weekends of the year for the market. As one executive described it, it’s dead. The Las Vegas Grand Prix has changed that. Cummings said that starting with the Thursday before the race when practice sessions start the Elara was seeing somewhere in the range of 1,300 rooms filled and by race day, the number was approximately 1,600.
How The Elara Changes For The F1 Event
Walk through the doors at the Elara by HGV, and F1 branding is everywhere. Enter the elevators and they’re entirely skinned with the view from inside the tub of an F1 car staring at the steering wheel. Signage is everywhere throughout the lobby, and swag abounds. But it’s outside that the hotel truly transforms.
Passing through the VIP checkpoint, when one enters what is normally the pool area, it’s transformed into a night club. First greeted by an Oracle Red Bull car, the pool has been completely covered with couches facing a large stage and dance floor where the pulse of DJs fill the air. Cabanas, normally reserved for those drying off poolside have been transformed into VIP lounging areas. All around the perimeter are bars and food stations that serve up to customers as much as they like as part of the inclusive F1 package.
Head upstairs and the top experience area awaits. Those who have paid extra enter the two-story HGV Zone suite that sits trackside with seating that overlooks the track. More food stations and bars greet fans, as well as an area with driving simulators.
Planning and building out the Elara for the Vegas F1 race is a lengthy process, and shows how much of an investment Hilton Grand Vacations is making in the event to lure in customers.
“We start building the construction of the two-story clubhouse the first week of October,” said
Aaron Stewart, VP of Sports Marketing at Hilton Grand Vacations. “The pool deck where the concerts take place, that’s actually open through Halloween. And so after Halloween passes, we close it down for the season. Takes us a couple days to drain it, clean it up, and then we start scaffolding the pool, and that becomes our concert deck.”
Bring in sponsors has helped offset some costs for HGV, as the Las Vegas event continues to gain interest.
“We’ve got Fanatec providing all of the racing simulators,” said Cummings. “So that’s a big part of the actual activations that are taking place down on the Elara terrace. We are promoting our golf tournament that we host in Orlando in January through one of the golf simulators there, playing some of the holes that we’ll be playing. And then we’ve got some great liquor brand partners, as well as some catering partners.” The event has opened doors to partners that have been involved in the HGVLPGA Tournament of Champions in Orlando. Those that have been attending that event are now looking to Las Vegas, said Cummings. “We’ve had a few partners that have been kind of coming to the golf tournament over the years, that have seen the hospitality that we provide there, that there’s now saying, ‘Oh, you’re getting into Vegas? Let’s go see what that’s about.’”
How The 10pm Start Time Works For Las Vegas And F1
One of the biggest questions fans and media have had is why the race starts so late? For ESPN, who has the U.S. broadcast rights for F1, the race starts at 1am ET when many are asleep. Some adjustments have been made with practice and qualifying running slightly earlier, but still, it’s late.
For Las Vegas, “late” is a relative term. The city runs 24/7/365, so the start time makes sense for the likes of Ellara by Hilton Grand Vacations and the rest of the hotel/casinos along the circuit. The start time allows time for consumers to get in on the growing high end dinner offerings, as well as other entertainment ahead of the race. And when it does air, in Europe – the key market for F1 – they’re waking up and having breakfast for the night race.
“We have a lot of members that say, ‘Hey, I don’t even know what f1 is’, and walk away thinking, ‘That was amazing. I’m a new fan.’,” said Cummings. “I spent a lot of time here, where Vegas has been known for being that gambling spot, and then it became the shows, then all these celebrity chefs. Now it’s moved into the sporting world, right? And what you know, with the Raiders and the Golden Knights, and now we have Formula 1. It doesn’t get cooler than that.”
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