Macau. Philippines. Singapore. The three main Asian markets for large-scale gaming machine suppliers are unlikely to see a shift any time soon, even as new properties are being built elsewhere and new legislation tries to overcome the hurdles. But for Aristocrat – in its Asian land-based gaming focus – the ongoing long-term delivery from these markets is indisputable.
For Kurt Gissane, Chief Revenue Officer of Gaming for Aristocrat Gaming, the three represent vastly differing opportunities and evolutionary timelines.
Having spoken to Gissane at the G2E Asia in Macau, it seems most pertinent to start there.
“We have a 12,000-machine cap,” laments the executive about the Macau market; something that is unlikely to change, unless the SAR government decides to alter legislation.
“Slots are strong in terms of their performance basis compared to other parts of the world, but relative to the game of baccarat – I don’t think so”.
Baccarat has always dominated Macau. Official data from the regulator show that in 1Q25 the trend, obviously, continued – with VIP baccarat gross gaming revenue totaling MOP14.45 billion ($1.8 billion) and mass baccarat GGR bringing in MOP34.32 billion ($4.26 billion).
Comparatively, slots GGR was MOP3.27 billion ($405.9 million), while that from LMGs was MOP1.21 billion ($150 million).
But that doesn’t mean that there isn’t room for growth, especially if the cap were to be opened up.
“I do see slots as a potential growing space, but under the current environment, we are where we are. So, it’s about making sure we optimize and that we build the best games to have the best optimization and utilization on their floor,” notes the CRO.
A partial boost to this is the EGM Technical Standards 2.0, introduced in late 2021 in Macau.
“There’s refreshment rates, and that’s been worked over this four-year period. So that gives us an opportunity”. Slots are also showing a comparative boost due to the refocus of Macau’s market away from VIP, and Gissane does indicate that there has been an improvement to slots “from what we were in 2019, just pre-COVID”.
Having spent a significant amount of time in Macau over the years, Gissane knows the market, and the clientele, very well. And lauds Aristocrat’s team on the ground for their work – not in only in world’s largest gaming hub but throughout Asia.
“The energy that I see in this team, I would love to bottle it and bring it around the world,” notes the executive.
But Macau can be a bit boring, so where is the excitement coming from?
Philippines and beyond
“I see the Philippines as being a great opportunity,” notes Gissane – speaking not only of Entertainment City and Manila, but also of the strong potential of the Clark market – particularly with Hann and Solaire North.
“The Philippines has been a big growth market for us the last few years, and continues to be,” notes the executive.
Both in the Philippines and throughout Asia, Aristocrat is focusing on the long game.
“We’re not a transactional supplier, we’re looking at long-term partnerships […] It’s about working with everybody on growing their business and what’s important to them”.
And not every game matches every market.
“We’ve definitely done a heavy focus internally on making sure we’re curating the product for Asia”. This caused the group to bring six game studios to G2E Asia, and ensure “they can see the focus, they can see the growth for the region, and they’re taking time to spend time in the region to make sure we’re curating the right games”.
Staying on the forefront
The success of diverse products, opines Gissane, also keeps it on the forefront of “new trends, new game mechanics”. The launch of Dragon Link “has really helped put us back on the map in this region”.
“We made sure we curated and fine-tuned that product to suit these players”.
So, how do you keep yourself relevant, especially amongst strong competition?
“It’s trying to see what is that next trend. And sometimes that’s a bit of luck. And that’s why we’re fortunate at Aristocrat, because of our percentage of topline D&D (design and development) investment. We do about 12 percent in revenue topline into development, we have about 13 studios globally, we have about nine that look after Asia,” notes Gissane.
Every time a company can find that next leading game or mechanic “it can change the industry. And that’s what we’ve seen”.
New frontiers
Gissane classifies Aristocrat as number one amongst global gaming machine manufacturers “not from an arrogant standpoint. I say it because of our reinvestment. We reinvest more than any of our competitors and that’s the key”.
Acknowledging that the Australian-founded company is not the leader in every one of its markets, he hopes for that to change, even as the company seeks out new horizons.
Thailand, while being highly publicized recently, is not yet a sure thing.
“As a manufacturer, we wait until the gaming regulator is in place, we have regulations around what the gaming looks like and who the license holders are. Before any of that happens, we can’t really engage,” notes GIssane.
“Things are dynamic. I think it’s got enormous potential. I personally think it will happen, but [regarding a possible] timeframe – it’s a little unsure at the moment”.
Japan, however, is much more certain, with MGM Osaka set to open by 2030. And the group has hit the ground running.
“It’s exciting because we’ve been talking about Japan for a long time, and I think that could be a spectacular property and opportunity for that whole landscape”.
But the UAE is also rearing its head, with Wynn Al Marjan Island growing quickly – even visible from Gissane’s hotel room on a recent trip he says.
“There’s still a bit of time but we’ve been in discussions with them for quite some time now. They’re great partners for us on a global basis, obviously here in Macau and in the US”.
The group’s long relationship with Wynn is a positive but doesn’t mean they automatically get the ticket – as many other parties circle trying to get a piece of the pie.
But the UAE still begs many questions, namely “what the player base is […] and what product they’ll gravitate towards,” questions the executive, noting, however, “we should be able to utilize our global product portfolio towards that market”.
No matter what, the newer jurisdictions always undergo growing pains, and no company or operator has a direct ticket to success.
“From a manufacturer’s perspective, I expect us to show commitment to the local jurisdictions, to local development and infrastructure, and whatever that becomes. It’s not necessarily a shoe-in unless you’re showing these operators you’re dedicated to what that market is going to be”.
What’s the overall solution for success?
“The key is to not rest on your laurels, [EG] “we’ve got a big hit and that will do”. It’s to continue to reinvest and then make sure that we can fulfil portfolios all around the world”.
Even the tariffs by the United States have not inhibited Aristocrat, improving manufacturing diversification to different parts of Asia, with other bases in Mexico and Australia.
“We’re well positioned to supply to the globe from different avenues”.
