Macau Golden Week Visitor Numbers Could Exceed 100K Daily

With the October Golden Week fast approaching, the vibrant city of Macau is gearing up for what could be a record-breaking tourist influx. The optimism stems from the promising weather forecast, which, if it holds, could see daily visitor numbers soar beyond 100,000.

Maria Helena de Senna Fernandes, the astute Director of the Macao Government Tourism Office (MGTO), revealed that August had already seen an unexpected spike in visitor numbers. With over 3.65 million visitors recorded, this marked a nearly 10 percent increase from the same period in 2019 and an impressive 13 percent growth year-on-year. She attributed this upswing largely to the favorable weather conditions, which have bolstered travel enthusiasm.

Amidst this backdrop, Macau’s hospitality industry is witnessing a surge in hotel bookings. As of last week, hotel occupancy rates for the holiday period hovered at around 70 percent, with five-star hotels almost fully booked. However, the overall hotel occupancy from January to July lingered at an estimated 85.5 percent, a slight dip from 2019 rates, albeit with a larger inventory of rooms now available due to recent developments.

Wong Suk Yan, the proactive President of the Macau Hotel Association, expressed her optimism for the holiday season during an insightful interview with Macau Daily. She anticipates that September’s daily visitor numbers could exceed 120,000. The hotel industry is eager to capitalize on this momentum, focusing on strategies to lengthen visitors’ stays and attract more international travelers to further boost Macau’s bustling tourism sector.

Currently, a significant 70 percent of visitors hail from mainland China, with the rest coming from Hong Kong, Taiwan, and Southeast Asia. Stays are typically short, averaging just 1.2 days. The industry is keen on innovating experiences and incentives to entice tourists to indulge in longer stays.

Despite the buzzing activity, some economic factors present challenges. Analysts from UBS Group AG observed strong hotel demand, with 17 out of 31 tracked hotels sold out, a substantial increase compared to previous holidays like Labour Week and last October’s Golden Week. However, despite heightened demand, hotel prices are approximately 7 percent lower than during May Golden Week and have remained steady since last October.

Industry veterans like Kenneth Feng, executive director of MGM China, remain optimistic. He anticipates an overall hotel occupancy rate nearing 95 to 100 percent. Hoffman Ma, executive director of Success Universe Group, also projects robust occupancy for the first three days of the week, although noting a 5 to 6 percent drop in room rates compared to last year.

The economic projections from UBS analysts suggest that this Golden Week could yield a daily gross gaming revenue between MOP900-950 million, akin to figures from Labour Week 2024 and October Golden Week 2023. This uptick is expected to be buoyed by slated concert events and increased visitor traffic from newly eligible Individual Visit Scheme (IVS) cities.

Yet, not all forecasts are rosy. Macquarie Equity Research analysts advise caution over the quality of visitors. They express concerns that while room bookings are high, the gaming sector might face softer demand. Economic uncertainties and cautious consumer behavior during the October 1st-7th period could present challenges, urging operators to brace for a potentially unpredictable Golden Week.