Macau’s Mass Table Segment Sees Significant Growth in Q4 2023
Macau’s casino facilities have seen a significant increase in the mass table market since their re-launch in January 2023. According to reports, the mass table market accounted for 75.2% of total table revenue in Q4 2023, up from 74.4% in the previous quarter. This substantial increase reflects a shift in Macau’s gambling market trends, with the Q4 2023 share representing a 22.5% higher percentage compared to the pre-pandemic share in Q4 2019.
The Gaming Inspection and Coordination Bureau (DICJ) reported that in Q4 2023, mass market baccarat revenue reached US$4.15 billion, representing 61.8% of the total revenues generated by Macau’s gaming operators for the quarter. This marked an increase from the 58.9% share in Q3 2023. In contrast, VIP baccarat segment revenues of US$1.57 billion accounted for 23.4% of the total revenues in Q4 2023, a slight decline from the previous quarter and significantly lower than Q4 2019.
Deutsche Bank analyst Carlo Santarelli noted that the total Q4 2023 mass gaming table and slot revenues were 4% higher than the same period in 2019. The mass gaming market also outperformed the Q4 2019 revenue levels despite operating fewer tables and slot machines.
The shift in Macau’s market trends is attributed to mainland China’s efforts to prevent cross-border gambling, which led to the termination of Macau’s junket industry and the arrests of prominent figures in the industry. As a result, the Macau government has implemented amendments to its junket law, restricting the operations of junkets and prompting concessionaires to turn to the premium mass segment with higher margins.
These regulatory updates have had a significant impact on the market, with concessionaires increasingly focusing on the mass segment, as evidenced by the market share figures which indicate a shift away from the old junket model towards direct VIP gambling options.
The significant growth in the mass table market in Q4 2023 reflects the changing dynamics of Macau’s gambling industry and the impact of regulatory changes on market trends.