Good Morning. China’s outbound tourists are expected to return to their favorite tourist destinations, and at pre-pandemic levels by Q3 or Q4 of 2022, according to James Liang, co-founder of China’s largest online travel agency, Trip .com Group. Last week, Liang sat down with Asia Gaming Brief following his presentation at the Trip .com Group Global Partner Summit. In today’s Deep Dive, we share his on-the-ground insights into where China’s outbound travellers are expected to go once travel curbs are removed, and what the domestic travel scene will look like.
What you need to know
- Widus Group has officially opened its rebranded and expanded Hann Casino Resort in the Clark Freeport Zone in the Philippines, with the goal of becoming millionaire’s playground
- The death of Macau’s junket industry may result in the loss of between 10-25 percent of its ultra-premium mass and between 5-10 percent of its premium mass business: Bernstein.
- The Philippines government says the country will remain at Alert Level 2 until the end of 2021, just as the country records its first two cases of the Omicron variant of Covid-19.
The year ahead
The Philippines is expected to be one of the best-performing jurisdictions in Asia, with GCG Gaming Advisory Services’ Executive Director Scott Feeney projecting a $10 billion market within five years.
On the radar
- Macau gaming taxes reach only 62.5% of budget in November
- New variant could hurt Genting Singapore earnings: Analysts
- Esports and betting industry need to learn from each other: G2E panel
- Suncity Group sells aircraft for $10 million to cut costs, raise cash
- Junkets need to look to Hong Kong, Southeast Asia for their business: Fong
- Everi announces reshuffle, with COO Randy Taylor becoming CEO
What the papers say
- Macau Govt being “ambiguous” about the fate of junket sector
- It’s “game over” for many US-listed Chinese companies: markets expert
Trip .com Group co-founder and chairman James Liang believes that Chinese international travellers will likely fall back into old travel habits and preferences once borders reopen. Interestingly, Liang says a lot of new and accelerated travel trends have come out of the domestic tourism industry in China. Mega-resort theme parks, such as the Chimelong Tourist Resort in Guangzhou were already seeing significant growth before the pandemic hit, but have become even more popular over the last two years, says Liang.
- Melco announced outstanding corporate for volunteerism
- Pragmatic Play wins casino/slots provider of the year at SBC Awards
- Sands China hosts occupational health and safety month at Venetian Macau
- Entain, William S. Boyd School of Law announce online training programs
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The number of closures of VIP junket rooms in Macau is going to be large. Prior to COVID-19, VIP gaming accounted for more than 46 percent of Macau’s $36.4 billion 2019 gross gaming revenue (GGR). It is believed that this will have a significant impact on the casino floor’s product mix. From a positive view, the floor may open up to more EGEs.