Macau | Melco and Wynn top choice of Macau high-rollers - brokerage

High-end Chinese gaming customers tend to favour the properties of Melco Resorts & Entertainment and Wynn Macau, asset management firm Sanford C. Bernstein said in a report it released on Friday

Macau (MNA) – High-end Chinese gaming customers tend to favour the properties of Melco Resorts & Entertainment and Wynn Macau, asset management firm Sanford C. Bernstein said in a report it released on Friday.

High-end gamblers – dubbed VIPs and premium mass – constitute 70 per cent of Macau’s gross gaming revenues, with this ratio unlikely ‘to change meaningfully over the next few years,’ noted Bernstein.

According to the brokerage research report titled ‘China Consumer: Where to Play, How to Win…. Premium is the New Mainstream’, Sociedade de Jogos de Macau (SJM) and Wynn tended to be more popular with the older age group while customers under 30 prefer to hang out in Melco outlets.

Overall, Bernstein stated that 35 to 44-year olds are a vital demographic for Macau’s gaming industry, arguing this demographic is expected to rise by 3 million to 190 million over the next five years, especially in the regions of Guangdong, Hebei and Beijing.

The typical Chinese gaming consumer that is classified as ‘premium’ is in his late 30s, 61 per cent likely to be male, lives in a Tier 1 or Tier 2 city, and has spending power of at least RMB19,000 a month (US$36,000 per year), and has frequented Macau at least three times in a year, spending about RMB20,000 on gaming, Bernstein claims.

The firm explained in its report that in order to understand the customer base of Macau operators it has resorted to evaluating each operator’s Weibo accounts, principally based upon individual properties, the combined amount of which is some 1.2 million followers – the exception is SJM, which does not seem to have an account.

Macau’s gaming industry has experienced a recovery after two years of significant retrenchment from mid-2014 to mid-2016, which has slightly lessened the importance of VIP customers in the industry.

[Edited by Sheyla Zandonai]

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