The multibillion-dollar newest casino resort on the Las Vegas Strip has changed its generous rewards program just months after opening.
The Fontainebleau Las Vegas (pictured) has attracted much controversy since its long-delayed opening in September. That included a snubbed offer of free accommodation to opening night star act Justin Timberlake, a social media storm over a high-priced and disappointing plate of nachos, and a legal feud with operator Wynn Resorts over alleged staff poaching.
Now, it can add drastically downgrading its casino rewards program to that list.
Rewards club gamblers were formerly getting two rewards points for every dollar of rated play. Rated play is a metric Fontainebleau determines from the player’s average bet, game type, and length of play.
Some people were confused by the system, which seemed quite variable. However, media outlets reported that players claimed they were averaging a reward point for every $4.50 spent.
According to a new email to Fontainebleau Rewards members, they will now be getting 1 point for every $5 put on slots games, and 1 point every $10 on video poker.
That’s around a 55% loss in points, on average, for slot players, and a 110% loss for video poker fans.
Struggling or Adapting
It must be pointed out that this new system brings Fontainebleau Las Vegas more in line with competitors Wynn Resorts and MGM.
But outside of the Las Vegas Strip, some rewards points in Sin City are far more generous than this new rate.
It also begs the question, why offer an over-the-odds (not to mention confusing and nontransparent) rewards rate to customers in the first place?
Well, maybe because, to put it bluntly, the business needs to make a massive amount to break even.
The resort has fired dozens of executives in recent months, as it seeks a swift turnaround from a reportedly disappointing opening month. That apparently included poaching several top execs from Wynn Resorts as replacements. That’s a practice Fontainebleau is currently being sued over.
It also owes around $2.2 billion in construction loans, although this is not due to start being paid back until 2025.
However, if revenues are already struggling to hit the breakeven point, as the rumor mill suggests, then investors could be breathing down management’s back to tighten the belt.
Or they could be simplifying and opening up an overly generous but complicated scheme that was putting off some players.
Either way, the future for the Fontainbleau Las Vegas will be with a significantly reduced rewards program.
David is an online casino expert who specializes in online slots and boasts over 10 years experience writing about iGaming. He has written for a wide range of notable publications, including eSports Insider and WordPlay Magazine.
David graduated Derby University with a BA Degree in English Literature and Creative Writing.
