Macau VIP Drops in Q2

Macau gaming regulators report that the city’s VIP segment was down 15.7 percent for the second quarter of the year. VIPs brought in MOP26.6 billion, compared to MOP31.57 billion during the same period in 2015. DICJ Director Paulo Martins Chan (l.) wants to Macau casinos to install more electronic table games to attract more mass market gamblers.

DICJ wants more slots

The Macau Gaming Inspection and Coordination Bureau has posted the VIP numbers for the second quarter of 2016, and perhaps to no one’s surprise, they were down.

High rollers brought in VIPs brought in MOP26.6 billion for the quarter that ended June 30, a year-on-year drop of 15.7 percent. The market as a whole generated combined revenue of MOP51.61 billion during the period, down 9.2 percent year-on-year.

Mass-market gaming also took a hit, but a slight one of just 1.1 percent, with gross gaming revenues totaling MOP25.01 billion. However, revenue from mass-market baccarat came to MOP18.65 billion, up 0.2 percent year-on-year.

The city’s Gaming Inspection and Coordination Bureau says the diversification of entertainment and other mainstream attractions that’s begun in Macau should also extend to the casino floor, according to CalvinAyre.com. DICJ director Paulo Martins Chan says more electronic gaming machines would help casinos bring more mass-market gamblers to Macau.

While big-spending gamblers are harder to find in Macau, big spenders in general are still around. So says casino operator Galaxy Entertainment Group, which told Bloomberg News it’s trying to attract those deep-pocketed tourists to help make up for the loss of gaming revenue. To that end, Galaxy is dangling VIP-caliber perks in front of shopaholics.

“A VIP can be either a big gambler or a big shopper,” Chief Marketing Officer Kevin Clayton told the news outlet. That’s why Galaxy Macau has started rewarding customers who spend more than MOP 10,000 (US$1,252) a day by giving away shopping vouchers and offering them free use of resort facilities. Those spending MOP 30,000 are given a complimentary hotel stay.

The government of Macau has set a goal to have casino non-gaming revenue reach 9 percent by 2020 as part of its five-year development plan.