Several satellite casinos in Macau have opted to shut down operations ahead of the December 31st deadline, with the loss of key marketing personnel to larger competitors offering higher salaries cited as a primary reason, according to an industry expert.
“Why are some satellite casinos closing early? Because other companies are poaching the mass gaming floor public relations staff.”
Billy Song, President of the Macau Responsible Gaming Association
The early closures follow aggressive recruitment efforts by major gaming operators, who have been targeting marketing staff from satellite casinos. Without these essential employees, satellites have struggled to attract and retain their customer base.
Song explained that larger casinos often recruit entire teams, creating a domino effect. “When they hire, they may take 60 people, while a satellite casino may only have 10 in its marketing department. This results in a complete staff exodus,” he noted. He added that the proactive departure of marketing staff was also driven by the fact that the closure of satellite casinos is definitive, with no possibility of reversal.
In response, some existing satellite casinos, such as Landmark, have introduced more generous commission schemes to retain their marketing personnel, recognizing that maintaining operations until year-end is impossible without them.
So far, multiple satellite casinos—including Grand Dragon, and Grandview—have already ceased operations. The closures underscore a broader trend of satellites struggling to sustain business once their marketing departments are depleted.
According to Song, marketing staff are the lifeblood of satellite operations. “If operators lose the public relations staff who bring in the clients, the casino effectively has no business once the department is empty,” he said.
Meanwhile, local outlet Allin Media reported this week that the Emperor Entertainment Hotel casino has already shut down its gaming floor, keeping only slot machine operations. Its on-site investigation found that while ground floor slot machines and live entertainment remain open, the 2nd to 5th floors housing baccarat and VIP areas have closed, with electronic notice boards stating “Gaming floor temporarily closed.”
Security personnel confirmed that the gaming areas above the 2nd floor closed on September 21st and “won’t reopen.” SJM Holdings, which operates Emperor Entertainment, said in a written response that “the closure date awaits discussion between both parties and requires government approval.”
Future transformation and facility reallocation
As satellite casinos wind down operations, the industry is witnessing a strategic reallocation of resources. Many former satellite casino venues are expected to transform into budget hotels, while major operators like SJM are expanding their main property gaming areas to accommodate relocated gaming tables and equipment.
Song noted that SJM has increased floor space at properties like Hotel Lisboa to accommodate gaming tables returning from satellite operations. This consolidation strategy aims to concentrate resources and enhance the competitive position of main gaming floors.
The transition period has also created opportunities for remaining operators to capture displaced customers. However, Song cautioned that success depends on whether main venues can replicate the specific attractions that drew customers to satellite casinos, such as lower minimum betting limits, more intimate environments, or specialized customer service approaches.
For properties transitioning to budget hotels, Song sees potential in Macau’s hospitality market.
“Macau has always lacked some 2-star or budget hotels…There’s actual demand from budget travelers for these properties.”
The three-year transition period for satellite casinos concludes at year’s end, with remaining operations like Landmark, Fortuna Hotel, Kam Pek and Legend Palace Casino expected to continue until the final deadline.
Meanwhile, Ponte 16 and L’Arc are expected to continue beyond the final deadline, as gaming concessionaire SJM seeks to acquire the casino properties. The staggered closure timeline, according to Song, helps minimize community impact compared to simultaneous shutdowns of all satellite venues.
