While Macau and Vegas may be separated by thousands of miles, they are united by a unique sense of fun and adventure. More specifically, they are both renowned for being the spiritual homes of gambling, although Macau has historically remained firmly in the shadow of its more illustrious rival.
This may be about to change, however, with Macau recently recording impressive revenue figures that are more than competitive in comparison with Las Vegas. While there will never be another Vegas, Macau is emerging as a thriving alternative in a constantly changing economic landscape.
After recording record losses amid money-laundering investigations during the final quarter of 2014, Macau’s financial renaissance has been impressive to say the least. According to the Macau Gaming Inspection and Coordination Bureau, July saw a 20% monthly gain in revenues, with the cumulative figure rising to $29.5 billion. This translates into an annual increase of 15% from 2014, and underlines the strength that exists in the sector despite a weak economy.
This provides something of an anomaly, simply because the gap between the performance of the Chinese economy and the Macau gaming sector seems too large to bridge comfortably. The reason for this is simple, as Macau’s gambling market is driven by serious, committed and well-resourced investors, meaning that a slightly depressed economy has not been enough to impact on tourist attraction in the region. These contrasts sharply with Vegas, where there is a far greater sense of fun and the majority of wagers are placed in the name of fun rather than the pursuit of significant gains.
In this respect, Macau is not and can never be the new Vegas. The latter has an entirely unique vibe and appeals to a more diverse range of gamblers, while the entire ambience is one of fun and casual gameplay. Conversely, the type of environment and infrastructure in Macau can be replicated in any major metropolis, especially one with a high volume of wealthy residents.
Macau is more capable of achieving higher profits during an uncertain economic climate, however, as the wealth of gamers supersedes any wider financial issues. Given this and the fact that online roulette and similar games are not as readily accessible online, Macau’s huge range of bricks and mortar casinos offer a potentially lucrative investment opportunity in 2015.