Macau’s transformation will be slow and arduous

While Beijing looks to change Macau’s composition of visitors similar to that of Las Vegas, the task will not be without its challenges, said Wells Fargo analysts in a note on Friday.

“The evolution of Macau into a less gaming-centric destination will be an extremely slow and arduous process,” said the brokerage.

Last week, deputy director of the Central People’s Government Liaison Office in Macau said that the visitor composition in Macau needs to change to include more family and business travellers, whilst maintaining annual visitation at around 30 million.

However, Wells Fargo says transformation has a long way to go, given that in Las Vegas gaming revenue makes up just 30 percent of a typical Strip casino’s total revenue.