Updated 1/7/08 at 12:30 p.m.
This could be the end of gadgets and gambling -- the Las Vegas Sun is reporting that CES exhibitors have just about had it with the rising cost of hotels, food, and beverages in Sin City.
According to the report, executives at CES have asked the Las Vegas Convention center to "lean on resort hotels to keep prices in check." But, as Karen Chupka, senior vice president of events and conferences for the CES association, told the Sun: "The rates have become astronomical. Some of the resorts are requiring a food and beverage guarantee on top of the hotel rooms and that has gone up by 365 percent in the past two years. Las Vegas is no longer the cost-effective destination it once was."
So what does this mean for the future of gadget-lands most famous relationship? Well, according to the Sun, the convention authority is holding dates for CES through 2025, but has only signed leases through 2011. And show organizers are beginning to look elsewhere: "Chupka said her association has talked with convention hosts in Chicago and Orlando, Fla., both of which have exhibit halls capable of hosting a show as large as CES."
"We've had a great association with Las Vegas," Chupka told the Sun. "But we have to listen to our own customers and watch out for the interests of our show."
CES officials have confirmed to PC World that rising costs are becoming a problem. According to Jason Oxman, the Vice President of Communications and Member Relations for CEA: "...We have heard concerns from some of our customers ? exhibitors and attendees ? that the cost of hotels is increasing at a disproportionate rate. We have taken those concerns to the Las Vegas hotel properties and the Las Vegas Convention and Visitors Authority, and it is our strong hope that they will take concrete steps to control those costs to continue the vibrant success of CES here in Las Vegas."
You can read the original Las Vegas Sun story here.
And, of course, see PC World's ongoing coverage of the Consumer Electronics Show at our CES InfoCenter.
As President of LasVegasConventionTravel.com Inc. I understand the concerns of rising costs of holding CES in Las Vegas. We have seen prices of everything in Las Vegas go up during CES. The perception is that the attendees of CES have money to spend and greed takes over. Our company books convention groups for CES and other convention and leisure groups and we are at the mercy of the hotels and other travel providers. While costs have risen, we have tried to keep what we charge our customers in check, often lowering our profit or commission in order to provide savings to our customers. If Las Vegas does not keep an eye on costs, large conventions will go elsewhere. There also needs to be more focus on serving the customer and not filling the company coffers with cash. Kevin Weakland, President of LasVegasConventionTravel.com Inc.
As President of LasVegasConventionTravel.com Inc. I understand the concerns of rising costs of holding CES in Las Vegas. We have seen prices of everything in Las Vegas go up during CES. The perception is that the attendees of CES have money to spend and greed takes over. Our company books convention groups for CES and other convention and leisure groups and we are at the mercy of the hotels and other travel providers. While costs have risen, we have tried to keep what we charge our customers in check, often lowering our profit or commission in order to provide savings to our customers. If Las Vegas does not keep an eye on costs, large conventions will go elsewhere. There also needs to be more focus on serving the customer and not filling the company coffers with cash. Kevin Weakland, President of LasVegasConventionTravel.com Inc.