A new study examining VIP players’ gaming motivations at Macau’s integrated resorts has found that the ‘awe experience’ significantly enhances the perception of gaming attractiveness.
The research concludes that ‘intrinsic gaming motivations, extrinsic recognition gaming motivations, and extrinsic integrated gaming motivations all significantly and positively influence the awe experience of gaming, with intrinsic motivations exerting the most substantial impact.’
Additionally, the study highlights the mediating role of the awe experience in connecting gaming motivations to the perception of gaming attractiveness.
Published in the latest edition of Macau Polytechnic University’s (MPU) Global Gaming & Tourism Research, the study is co-authored by Ji Chunli from the Center for Gaming and Tourism Studies, Zhang Songlin from the Business School of Shaoxing University, and Wong Waineng from Hizzard Public Health Technology.
The research team notes that gaming activities of casino players are likely influenced by a variety of motivations, rather than just one. While different motivations are at play, some may have a stronger impact than others. Moreover, these gaming motivations can lead to complex psychological states for the customers.
Scholars explain that ‘’some researchers view the experience of awe as a complex emotion, considering it a positive feeling. The awe experience is an emotional response triggered by massive perceptual stimuli, which may include elements of positive emotional states, as well as a reduction in self-awareness and a sense of meaning.
‘Up to now, there has been no consensus on the definition of the awe experience, but it is seen by some scholars as a peak, extraordinary, or optimal experience that dramatically influences the individual.’
Some psychological studies suggest that awe experiences can occur in many contexts. In this study, it is posited that regardless of the type of psychological motivation driving VIP players, their gaming activities at integrated resort casinos will trigger positive emotions due to the overall environment, atmosphere, and the exceptional services and experiences provided to them. This, in turn, induces a psychological state of awe.
The research team collected a total of 315 valid questionnaires from November 28th, 2023, to January 5th, 2024.
Study context
The research team considers the study of VIP players’ motivations to be still important, despite the significant decline in Macau’s VIP gaming revenue, which signals a transition to a “new normal” for the industry.
The research team indicates that, excluding revenue from premium mass baccarat, the share of Macau’s VIP baccarat gross gaming revenue (GGR) in total baccarat gross revenue dropped from 52.8 percent in 2019 to 29.4 percent in the first quarter of 2024. When premium mass baccarat revenue is included, this proportion increases, highlighting the continued importance of VIP players to Macau’s integrated resort casinos.
Meanwhile, scholars point out that as integrated resorts shift away from reliance on junkets to directly engage with premium and mid-tier players, gaming concessionaires must adopt new strategies.
‘These strategies include gaining a deeper understanding of these players, building more effective relationships, and maintaining strong connections to sustain competitive advantages.
‘VIP players should not be viewed as one-time patrons but as valuable, long-term contributors. Concessionaires need to establish enduring relationships with them, deriving greater value from their gaming activities. To achieve this, operators must understand how VIP players perceive gaming’s appeal and the psychological factors driving their participation.’
Management insights
The research team highlights several key insights for management. Given the importance of VIP customers in the gaming industry, businesses should implement targeted segmentation strategies to understand the unique needs of various market segments based on gaming motivations.
The study demonstrates that both intrinsic and extrinsic motivations influence VIP customer behavior. Therefore, businesses should offer a balanced mix of gaming activities that appeal to intrinsic motivations, such as skill and strategy, as well as extrinsic incentives, like rewards and perks. This approach will help address the diverse motivations of different customer groups.
Furthermore, the positive impact of the ‘awe experience’ on the perceived attractiveness of gaming suggests that businesses should incorporate emotional marketing into their core strategies.
By creating awe-inspiring moments, businesses can significantly enhance customer engagement and loyalty. Offering extraordinary experiences—such as high-end entertainment, interactive activities, and unique gaming environments—can evoke a sense of awe and elevate the appeal of gaming.
Additionally, ‘designing activities and environments that trigger positive emotional reactions will improve the overall customer experience, leading to higher retention rates and positive word-of-mouth promotion.’