Start, Las Vegas Strip Circuit, 2024

“Disappointing” Las Vegas GP performance prompts ticketing changes for 2025 race

Formula 1

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Formula One Management admitted the Las Vegas Grand Prix fell short of its financial expectations last year.

However Formula 1’s commercial rights holder Liberty Media is introducing changes for this year which it believes will add value to the newest addition to the calendar.

Chief accounting officer Brian Wendling noted the event’s under-performance during a conference call with investors last week. “The Las Vegas Grand Prix did miss expectations, primarily on ticket sales,” he said.

This had a negative effect on F1’s earnings and the payments it made to the 10 teams.

“We saw strong growth in Paddock Club revenue at most events in 2024, as well as increases in freight and licensing,” Wendling added. “This was offset by softness in certain hospitality offerings at the Las Vegas Grand Prix.”

Although F1’s total payments to teams rose from $1.215bn (£950m) in 2023 to $1.266bn (£990m) last year, it fell as a percentage of the series’ operating income, Wendling noted.

“Team payments as a percent of pre-team adjusted OIBDA (operating income before depreciation and amortisation) was 61.5% in 2024, down from 62.6% in 2023,” he said. “The majority of the miss that you guys are calculating based on the team payment was Vegas-related,” he added.

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Team payments are a sensitive subject as the 10 existing competitors resisted the addition of a new team as they did not want to risk diluting their earnings. However Cadillac is expected to join the grid as an 11th team next year.

FOM invested heavily in setting up its showpiece race which runs along the Las Vegas Strip. It spent almost $300 million on purchasing and developing land in the city to host the grand prix.

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Derek Chang, who took over as Liberty Media CEO at the beginning of the year, said the series had reacted quickly to the shortfall in earnings from last year’s Las Vegas Grand Prix and will make changes to the ticketing arrangements for the 2025 event as a result.

“The economics for Vegas missed internal expectations on revenue and OIBDA,” he said. “The team has moved very quickly, however, to enact changes that will benefit 2025 and support a financially successful race for F1 and continued growth and positive impact for the Las Vegas community.

“We now have two years of real data to understand what tickets and products sold well, the demographics of the fanbase and the overall cost structure of the event. As a result, we are making further revisions to the ticket product and pricing strategy, leveraging this data, and as importantly, we are actively managing our cost structure. Given the halo effect to F1, we reorganised the structure of LVGP last month to integrate it fully into our London team and maximise those continued benefits.

“This change leverages the strong organisation we have in London today across commercial, finance, and more. At the same time, we are bolstering certain parts of the local Vegas team. This includes bringing the ticketing sales function back in-house and offering a high-touch, on-the-ground presence, which was a key learning from last year. We will continue our partnership with Quint and benefit from their expertise in VIP hospitality and F1 Experiences. Finally, we are also bolstering our partnership with local players.”

F1 made changes to ticketing after its inaugural Las Vegas Grand Prix, adding a “general admission” offer for the first time last year. Despite the race falling short of F1’s expectations last year, Chang said it has been a “huge success” for the series overall and contributed to its popularity growth.

“To put on an event like that in the short amount of time that our teams in Denver and London were able to do over the last couple of years has been pretty impressive,” he said. “We’ve talked at length about the benefit to the F1 ecosystem as a whole, whether it’s the media, the sponsorship, fandom growing here in the US, all that sort of stuff has been hugely impacted by what we’ve been able to accomplish in Las Vegas.

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“I think we all here were disappointed by some of the financial metrics in the early going here. But those, in my mind, are all durable and fixable.”

F1 originally announced a three-year deal to race on the Las Vegas Strip Circuit, which expires this year. However it has already gained permission from the city to continue racing on the city’s roads until 2032.

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Keith Collantine
Lifelong motor sport fan Keith set up RaceFans in 2005 - when it was originally called F1 Fanatic. Having previously worked as a motoring...

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66 comments on ““Disappointing” Las Vegas GP performance prompts ticketing changes for 2025 race”

  1. They’ve sunk a lot of money into the false assumption that the USA will be a large market for F1 when it only enjoyed a brief blip thanks to a TV show.

    Cutting ticket prices for Vegas will be a good step for attendance, but you can’t guarantee it will increase earnings.

    I wouldn’t be surprised is F1 USA-style is back to Austin only by 2030 once the big cities tire of the inconvenience and limited income from the street races.

    1. No one is gonna go GA to Vegas if you get dropped in the middle of a straight so don’t actually see anything.
      And GA isn’t gonna be at the places to actually see action, like corners, in sight of the podium, or breaking zones, because out of the vastly limited seating (compared to EU venues) the hospitality will soak up the good spots :(

      1. @falken GA must be working for some people, as it was apparently “a great success” on a background of disappointing ticket sales. Sounds like converting some grandstands to GA areas (and pricing accordingly) might be worth considering.

    2. The main reason for poor attendance is the race is at night, in the desert and it’s cold. No one wants to sit in the cold, through race or practice delays. Move the race to the afternoon and North American attendees will be happy to attend. But it won’t be good for Europe, will it.

      1. Of course they only care about the look of the spectacle. The lights at night. The fans are an after thought. Their idea of value is putting up blinders so people can’t see, and threatening people not to look out their hotel windows.

        Something is amiss in F1. And guys like the FIA are trying desperately to shut people up.

        1. threatening people not to look out their hotel windows.

          Please explain is there some kind of F1 mafia in LA?

          1. In Vegas? No. Only security that will come for you if you do peak out. They also do random room searches in the middle of the night, just in case you’re a terrorist. There’s nothing more pleasant than waking up and seeing hotel security going through your room (they enter if you don’t hear them knocking, even if it’s 2 am).

          2. LV. And no, as it was broadcasted people in their hotels were told not to have a looksy. Just like they blocked visibility of the race from certain walk ways that were not paid for. Tacky.

          3. lV ofcourse. Unbelievable you book a hotel and then you are not allowed to use the window. Will never visit an event with these kind of rules/ treatment.

        2. I can’t find it, but someone posted the prices at a food stall inside the circuit. It was something like $50 for a hotdog and a drink. Of course these kind of events are extortionate, Wembley, Spa etc. But Vegas is / was just crazy.

          I’m proud of these people who figured it was only if you stopped still you couldn’t watch through the fence. They probably saved themselves a few thousand dollars and had a bit fun at the same time.

          https://www.youtube.com/watch?v=jU5jYpeMrDA

      2. Move the race to the afternoon and North American attendees will be happy to attend. But it won’t be good for Europe, will it.

        Actually, timing wise, it would be good to have it in the afternoon local, as 13:00 Pacific is 21:00 UTC and +2 for race duration is 23:00
        So, an evening TV viewing.

        The major problem with 13:00 Pacific is that it’s daylight and people get to see what Vegas actually looks like, warts and all.

      3. Do you know how time zones work?

      4. Garry, if the race is in the afternoon, Las Vegas wouldn’t have anywhere for the cars to go, because it has to be open to traffic.

      5. William Wade
        8th March 2025, 20:54

        The Casinos only approved the race because they get to make the rules. The Casinos gave F1 a date and a time slot that they would allow F1 to use.

  2. Yes (@come-on-kubica)
    5th March 2025, 11:20

    Ha. Only going to get worse in USA.

    1. It’s stupid because it turned a profit, so all their moaning about is taking a few extra years to pay down the 300 million sunk cost.
      Almost as if they are shaping up for a sale to a large oil exporter…

    2. As FOM was actively hosting and promoting their new Orange King, they have only themselves to blame, I suppose.

  3. Chris Horton
    5th March 2025, 11:23

    Honestly I’m glad. Vapid event on another boring street circuit. American cheese fest.

    I never thought I’d miss Bernie Ecclestone.

    1. Yeah plus he hadn’t completely sold out to the Gulf maniacs like we have now

  4. I haven’t seen anyone commenting who was NOT saying the prices were overblown for Vegas. Just as all of us told them having no GA at all would really hurt the event, although the rate of price vs. what you get from GA is still pretty low from the comments about the (lack of) view of the track from visitors.

  5. Classic financial vultures. Don’t know what they’re doing, see bad number, make reactionary changes. All profits must increase. Earnings are the only way to judges success.

    We’re doomed

  6. “This had a negative effect on the payments it made to the 10 teams.”

    Pro-rata payments is news to me. Do other race organisers have such an agreement or is it unique to this one as it’s owned by Formula One? I’m sure that previously other organisers moaned to Bernie about the high flat fee they had to pay irrespective of attendances.

    1. It’s unique to Las Vegas, because Las Vegas is organised by Liberty. The fee is there, but Liberty is effectively paying itself. This means the Las Vegas balance is included as part of Liberty’s income, which leads to its having an effect on team payments.

  7. I thought they said at the time that it was a popular, almost sell out, success.

    I sometimes think that these people do not always tell us the truth!

    1. Coventry Climax
      5th March 2025, 15:25

      They have the president to show them the way.

      1. I didn’t know there was a Vegas GP held during his presidency. I mean, he may be crazy, but this kind of irony and twisting the truth actually brought him back.
        When were they lying, now in 2025 or before?

        1. I figured he was talking about the all-knowing FIA President.

    2. There’s a fella on the Autosport forums who does a good job of reporting on what’s really going on.

      1. Never checked them out.
        I might take a look, thanks ;)

  8. “Team payments as a percent of pre-team adjusted OIBDA was 61.5% in 2024.”

    And it’s no doubt even more so for the back of the grid that doesn’t reach the cap. These are basically subsidised to fill the field, while F1 has only five or six real teams. Tough times for F1 as a sport.

    As for Las Vegas, gee. What a surprise. The session times are awful. The prices are outlandish. The atmosphere is nothing compared to a daytime race at a proper track. And it’s in the USA to boot. Why would anyone want to visit? Just go to Canada or Mexico City if you’re looking for a race in North-America. They are much better experiences in every respect.

    1. They did address the crazy late start times. Starting this year, all sessions start 2 hours earlier than previously. But the ticket prices are still way to high.

      1. It’s a good move. I read somewhere, might not be true, that Abu Dhabi has the exclusive rights to twilight races. Otherwise a morning race in Las Vegas around sunrise would be cool, and much more convenient for everything from South-America, eastern North-America, Europe, even through to China (late evening). Only Australia ends up with a time that’s pretty similar to what they get in European races, around midnight.

  9. We now have two years of real data to understand what tickets and products sold well, the demographics of the fanbase and the overall cost structure of the event. As a result, we are making further revisions to the ticket product and pricing strategy, leveraging this data, and as importantly, we are actively managing our cost structure.

    Corporate double speak for ‘we’re lowering ticket prices’. What a stream of drivel.

  10. Coventry Climax
    5th March 2025, 15:34

    Contrary to what some here (above) suggest, I don’t think this means ticket prices will go down at all.
    They’ll probably add some more mumbo jumbo to what they say they sell, and hike up the price for it even more.
    Something in the order of “.. and get a four hundred dollar official F1 cap for free.”

    1. If Liberty takes that stance, prepare for it to pretend to be surprised that Year 3 sales went even worse.

      1. Coventry Climax
        8th March 2025, 18:28

        Obviously, I wouldn’t be surprised if they did. Meaning both the price hike AND the pretend surprised stance.
        How about you?

  11. BLS (@brightlampshade)
    5th March 2025, 15:52

    If you’re an actual F1 fan then Vegas is going to be pretty low on the list of tracks you’re likely to want to go to.

    There’s not a lot Liberty can do about that. Once the limited novelty wears off it’s only going to get less popular. There’s only so many insta-celebs you can entice to the race, sooner or later you run out of people who are in any way interested.

    Good luck with that F1!

    1. Its joint bottom of my list with Monaco

      1. Monaco is a tawdry, vapid hellhole. I’ve been just after the Grand Prix – not for the event itself – and it’s an impractical, dull resort that desperately tries to appeal to the newly minted.

        It’s tragic.

        And that’s before contemplating the misery of the event itself.

    2. Coventry Climax
      5th March 2025, 17:22

      There’s not a lot Liberty can do about that.

      Indeed, not a lot they can do about that now.
      What they should have done, is consider in advance that a track of this kind at that location, is not going to do it in the long run.
      I’m afraid it’ll take some time before they admit their mistake, and that we’ll have to endure some weird antics first, for a couple of years.
      Like exceptions in the rules, especially for Vegas …

  12. As an attendee of the LVGP for ’23 and ’24, the promoter dropped the ball on a lot of details regarding the enjoyment of the event for fans as well.
    Concession food quality was much more poor in ’24 as far as selections and quality. They ran out of water/soda leaving attendees with alcoholic beverages (that were overpriced) as the only drink option.
    Merch is grossly overpriced at the event and all the “pop-up” stores around the city.
    The promoter (FOM) definitely cut corners and it was very noticeable, not much reason to buy a ticket for ’25…

    1. My family went to the first two Las Vegas races. When I called corporate about cold food , they never called back. Everyone was complaining. It was the most un professional sporting event i have ever been to. They need to answer their phones . American need to be heard and they need service when they spend 10 thousand dollars for a weekend of racing.

      1. I mean, this is just golden.

        You spent ten grand going to the race that is least about the on track action, and you’re upset about cold food.

        Honestly, if this isn’t the embodiment of the prawn sandwich brigade, I don’t know what is.

  13. The only decent way to watch the Las Vegas GP is on TV.
    Why would you actually go there? It’s very cold at night when the race is run. The whole city is ugly during the day, and expensive always (especially food & hotel rooms).
    The worst part is that sight lines suck. Remember the first year when people in the front row of some grandstands could see nothing except a black tarp wired to a barricade fence?
    Miami isn’t much better. I hear that attendance is down there too. All glitz, no substance.

    1. Yup. Completely agree on all counts.

      Anyone who has ever been will know what to expect.

    2. I went to the lv gp last year thru a weekend package at the encoře. I really enjoyed it. The track opened at 4:00 local and all the food stands openned then. So i took advantage of thr free food ( not free but included w ticket price. And listned to the free concert snd watched thepractice seasons. They did a good job w entertainment. Saturday was the day to explore vegas, like hike redrock canyon, go karting at poleposition, or spend a house payment at the tables, or walk th strip. And hit the fan experiences. experiences.

      1. What i had to laugh at is all these models running around in miniskirts when it was close tofreezing outside. I am not complaining…..

  14. Well, when you charge what you charge, then kick people out despite having tickets only because of stupid organization, of course they won’t rush to come back next year.
    Either way, I hope this GP fails, sooner the better. It hurts my eyes, how garish it is.

    1. I luv chicken
      5th March 2025, 21:25

      I hope both Vegas and Miami disappear quickly. At least that way, a smaller chance of having to see Danica Patrick, stumble her way through the tv coverage.

      1. Get rid of the soul less street circuits. Proper European racing has it’s roots in the very real landscapes of Europe. People who have never driven outside the states, can’t even imagine hustling through the alps or a congested European city, through Sicily, France, or the Nordschleife, because its just not like that in America, at all, America probably needs at least another 1000 years before it can touch Europe’s scenery and heritage.

    2. Customer service, from both Liberty the organiser and Liberty the F1 race provider, has been a bit lacking (not helped by a major lapse from the FIA).

  15. Definitely first on the US venues to boycott if Trump continues lashing out at everyone apart from Putin.

  16. Las Vegas (and Miami) had the potential to be brilliant races

    1. Sorry, but the vegas track has no character, it seems to be just enough to be viable; it is all about making money for the commercial interests on saturday morning before the race; getting bored millionaires to gamble. No vegas shows on saturday race night, huh?

  17. I went to Vegas in ’23 and ’24. Really enjoyed myself in ’23 (people seem to forget it was near the top of most overtakes), but ’24 felt a bit off. The food options weren’t nearly as good and the entertainment was also lesser than the inaugural session. Sight lines weren’t great either. I get that their are purists on this site who only care about the race, but the reality is that the sport has evolved, and now it’s about the overall entertainment experience as much as the race. That’s why races like Silverstone seem boring to me. What else is there to do at the track besides watch the race? Not going to make it back this year, heading to Monaco instead, but maybe in ’26 if my schedule allows for it. I think a lot of the negative comments here are from folks who haven’t actually been to the Vegas GP.

    1. If I’ve spent a tonne of money to watch a race, I want to watch the race, not go to a casino.

      The fact that you called Silverstone out shows you haven’t a clue what European races are about.

      We don’t all need frivolities to keep us entertained over a race weekend.

      1. 100% this!!

  18. I live in California. Been an F1 fan since the Senna days. Finally went to my first race, and instead of Vegas, which is where I *should* have wanted to go, due to proximity, it made WAY more sense to go to Hungary. So eight of us (my family and two sets of friends) ended up flying halfway around the world to go to a race in Hungary because the experience there was better *and massively cheaper* than it would have been to get a comparable experience in Vegas. Ticket pricing there is *stupid*, and shouldn’t be rewarded.

  19. The only good US GP is in Texas.

  20. Neil (@neilosjames)
    5th March 2025, 21:41

    I feel like Las Vegas is one of the most ‘TV grands prix’ on the calendar.

    By ‘TV grand prix’ I mean a race I see absolutely zero value to attending in person. It’s not that I don’t want to visit the place – I’d quite like to have a little visit to Las Vegas. But I’d want to visit Las Vegas when it was just being itself, not with an F1 track plonked in the middle of the most famous part and barriers everywhere, getting in the way of the ‘Las Vegas-iness’. That, and the track is poor and it’s hideously expensive. So it’s a race I’ll only ever have interest in watching on TV.

    Bit like Singapore for the same reason… interesting place, but I’d want to just visit Singapore itself, not the F1 weekend version of Singapore. So I’d never want to go to that grand prix either.

    Contrast with Suzuka, Spa, Monza, Silverstone, Austin where the race, venue and atmosphere are the main attractions so they’re all grands prix I’d want to go to in person.

  21. I am surprised they were surprised it didn’t meet their expectations.

    1. @spoutnik They’re paid a lot of money to not admit they were expecting that.

  22. Americans just know how to squeeze, squeeze then squeeze some more.

    Their idea of ‘value creation’ is to extort more money. Unskippable ads, unavoidable surcharges, captive audiences.
    Oh and if you do not tip the waiters, who they employ at below minimal livable wage levels, at least 25%, you are the bad guy.

    Stick to Europe, add in Brazil, Malaysia and heck Kyalami, and call it a day. 15-race calender.

    1. Do they? They use those business practises in their own country because the people are rather passive and go along with it. These shenanigans are not nearly as successful in other places. Indeed, the US model is widely mocked for the reasons you mention, as is the way Indycar drivers unironically rattle of their sponsors and use the full, sponsor filled, names for events. I don’t think I’ve ever seen anyone in F1 so much as acknowledge the official names of the races. It’s a cultural difference, I guess.

  23. Many other proper race tracks in America and you decide to run a race at night, in the middle of a city where people go to gamble and mess with girls mainly and thought it was sustainable? I got a couple friends there, and they hate the inconvenience of the race. Tickets prices are way too high as well. Do they have any support races? Go to a proper track..

  24. The sad part, for me, is that since these US events have come on the price for Montreal has just about doubled.

    Missed a GP for the first time in decades.

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