Macau’s operators pick at costs as revenue slide continues

Macau’s casino operators have already cut the low hanging fruit when it comes to reducing operating costs and are now struggling to further pare expenses as the slump in the market drags into its 19th straight month. With labour cuts not an easy option in Macau, the casinos face a juggling act in scaling back customer service standards without losing the customer. They are looking for creative ways to cut back behind the scenes and make every penny count.    Steven Gallaway, managing partner, Global Market Advisors, says that each operator will handle cost-cutting differently depending on their focus.  “Wynn is unlikely to cut back on services because that is not his style and he will always be sure to remain number one at customer service.  “Cost cutting will more likely be employed by those who focus more on the mass market and differentiate their facilities based on price as opposed to higher-quality...

Intelligence Articles is a premium content section developed for AGB members only featuring in-depth articles on relevant items of interest across the multiple Asia Pacific Gaming jurisdictions. To continue reading, subscribe now.