Hengqin may hold key to Macau’s future success

    Published in: Latest IntelligenceDeveloping non-gaming attractions and leisure parks on Hengqin Island may be key to Macau’s long-term success as the world’s largest gambling hub grapples with rising labor costs, falling revenue and high prices. Although industry experts speaking at the Macau Gaming Show agreed the market is far from saturated, they said the dynamics are changing and echoed calls by the government for a more diversified tourism offering. Professor Zhonglu Zeng from the Gaming Teaching and Research Centre at the Macau Polytechnic, presented industry research showing the impact of space and time on casino visitation and spending. Studies in the U.S. have shown the closer the casino is located the more frequently visitors will visit and the more they will spend. However over the longer term, once the novelty value wears off visitation declines. Macau appears to be tracking the trend seen elsewhere. “Time is not favorable to the casino industry. The...

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