A Sporting Chance – IAG
The Macau government listed sports tourism as a key area for concessionaires to focus on during last year’s concession bidding process, as it is seen as a means of diversifying the economy away from pure gambling. But given the scarcity of land and lack of professional sports, how should Macau develop its sports tourism industry?
“Sports tourism” is not the same as local sports development. Although there is a gradual push to improve the development of local sports in Macau, the government’s push to promote sports tourism itself envisages the construction and expansion of facilities in Macau’s integrated resorts to attract and host major global sporting events can. This, in turn, provides more tourist attractions, responding to the government’s desire for greater economic diversification.
“Macau is actually very experienced in sports tourism,” explains journalist and former table tennis player Ian Johnson.
“Macau hosted the East Asian Games in 2005, English Premier League side Manchester United visited for a friendly in 2007, and Macau also hosted the MMA World Championship in 2016.”
After the liberalization of the gambling industry, the Macau government and concessionaires took the lead in developing “sports tourism” to attract more visitors to Macau.
“The six gaming concessionaires in Macau have significant financial resources and international connections and have supported many major tournaments hosted in Macau,” continued Johnson.
“Several sports stars with huge followings have brought visitors to Macau and put the city’s name on the international map.”
In reality, however, the status of sporting events in Macau has not reached the same heights as many other neighboring jurisdictions for some time – and certainly not since the COVID-19 pandemic. With the exception of the annual Macau Grand Prix, which continues to capture the world’s attention, it is evident that a renewed focus needs to be placed on the opportunities offered by the sport to boost the city’s tourist appeal.
Ryan Hong-Wai Ho, an associate professor at Macau Polytechnic University’s Center for Gaming and Tourism Studies, believes commercial sports competitions can be an important resource in reviving Macau’s tourism industry.
“Macau has often organized a variety of sporting events, but our future strategy should be to improve the level of existing events,” Ho said.
Macau, he added, should strive to organize regular high-level commercial sports competitions rather than hold one-off or non-competitive sporting events.
“Apart from being sponsors, gambling companies can also partner with international or local sports federations to host various commercial sporting events. Gambling companies can use their facilities as competition venues, which also improves opportunities for tourists to visit other recreational facilities at their resorts.”
Although the Macau government listed sports tourism as a priority area for Macau concessionaires in last year’s re-tendering process for new 10-year concessions, Johnson said the government must also do its part by providing a clear direction for the development of the Macau Sport tourism formulated.
“Not all sporting events are suitable for Macau, and [it should be considered whether or not to hold] ones that are not as popular and bring no economic benefit,” he says.
“The aim of sports tourism development is to promote economic development and this should be left to the market. The government’s role is to coordinate, but not dictate, the overall direction of sports tourism development.
“Some sporting events should be run by private sector operators who have a better idea of whether those sporting events will have a positive impact.”
Ho takes a similar view.
“With the existing venues and exhibition facilities, the government and gaming companies can initially focus on developing mainstream sports in Asia such as table tennis, badminton, basketball and marathons,” he said. “This type of sporting event has a large following in East and Southeast Asia.”