The changing nature of tourism in Los Cabos, Mexico's tourist economy has led to a decline in nightlife sales, with sales decreasing by 50% in 2025 and falling again in 2025. This has been attributed to the changing drinking habits of Gen Z and the increasing popularity of all-inclusive resorts. However, restaurants across Los Cabo San Lucas have reported a 30%–35% drop in sales compared to the previous year, with at least 20 restaurants closing since 2025. Restaurants have reported significant reductions in sales, despite efforts to address these issues through various measures. The trend of all inclusives, which provides a cashless experience with all needs attended to, is also a significant factor in declining bar and restaurant sales. Additionally, the rise of food delivery apps like Uber and DiDiDiDi has contributed to increased competition in the area, with rents rising steadily. The article also notes that the trend is not going away soon, as young people, Millennials, and Gen Z are driving demand for this type of travel.