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S.D. Firm Hired to Tout Downtown Las Vegas

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From staff and wire reports

Concerned over a slump in gaming revenues, a group representing several downtown Las Vegas casinos has hired a San Diego advertising firm to orchestrate a two-year campaign costing $2 million or more to promote the area.

The Downtown Progress Assn. named Grace-Busch and Associates of San Diego to coordinate the advertising and public relations effort.

The Nevada Gaming Control Board reported last week that money won by downtown Las Vegas gambling halls dropped 8% in June from the same month a year ago. The drop, to $52.7 million from $57 million in June 1989, was the second straight monthly decline for the 30 downtown establishments.

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The fall in downtown winnings came at the same time winnings at the 24 casinos on the Las Vegas Strip, 5 miles from downtown, jumped 19.4% and revenues at 12 major casinos in Laughlin were up 18%.

Red McIlvaine, a spokesman for the downtown casino owners, said the successful openings of two new casinos on the Strip--the Mirage in April and the Excalibur in June--have been particularly felt by downtown casinos. The growth of Laughlin, a gaming center 90 miles south of Las Vegas, has also cut into downtown casinos’ revenues, he said.

Craig Ghelfi, chairman of the downtown casino owners’ association, said the campaign will feature a series of special events to attract publicity for downtown hotel-casinos.

Ghelfi, president of the Golden Gate hotel-casino, said the exact amount of money to be spent has not been established.

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