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Francis Lui: Failure to address Macau’s hotel room shortage could diminish global tourism competitiveness

Ben Blaschke by Ben Blaschke
Wed 7 May 2025 at 11:49
Francis Lui: Failure to address Macau’s hotel room shortage could diminish global tourism competitiveness

Galaxy Entertainment Group chairman Francis Lui at G2E Asia on Wednesday

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Galaxy Entertainment Group chairman Francis Lui has urged the industry to explore solutions to Macau’s lack of sufficient hotel room supply, warning that the city’s standing as a global tourism destination could diminish in the face of rising competition.

He also stated that his company is doing its part by transforming its flagship property Galaxy Macau into a “next generation” integrated resort.

Lui’s comments were made during a Keynote Address at G2E Asia on Wednesday where he outlined his thoughts on Macau’s positioning in the regional gaming scene as well as current challenges and opportunities.

Challenges, he explained, include labor shortages, a lack of skilled professionals in an aging population, limited land resources, rising costs and regional competition.

However, he highlighted hotel rooms as an imminent concern, stating, “As Macau shifts towards being a more mass and events focused model, the question of hotel rooms must be addressed both in Macau and throughout greater integration with Hengqin.

“By comparison, Las Vegas has over 155,000 hotel rooms supported by 42 million annual visitors. This is over three times that of Macau’s nearly 44,000 hotel rooms despite having 35 million visitors last year.

“Demand for accommodation will continue to outstrip supply in the years ahead. We must also come together as an industry to protect Macau’s premium positioning by not competing on prices but on quality and the customer experience.

“If we fail to properly address the question of accommodation supply, Macau’s competitiveness as a non-gaming destination not only regionally but globally could diminish.”

Lui said Macau should consider adopting a strategic approach that emphasizes “differentiated and complementary development” with other cities in the Greater Bay Area and elsewhere – particularly within the industry. This could, he suggested, include a “master events strategy” alongside Hong Kong that adopts a “one visit, two cities” tourism mindset – offering supporting and complementary offerings in both cities targeting tourists.

On the company’s ongoing Phase 4 development of Galaxy Macau, Lui pointed to the impending opening of the all-suite Capella at Galaxy Macau as a significant addition that will again raise the bar on luxury.

“Capella has in recent years become a global success story, winning best hotel brand in the world two years running. Accolades like this not only add to our resort brand but global positioning and brand of Macau as a whole,” he said.

“With this strategy in mind we will be adding many additional global hospitality and lifestyle brands to our resort in future phases.

“Our Phase 4 development, which is now topped out, promises to be a great leap forward for luxurious hospitality and entertainment worldwide. We are also planning a high-tech branded and immersive theme park.

“These facilities will offer our guests and tourists to Macau a next generation resort experience – one that is always fun and engaging, green and sustainable, technologically-advanced and unforgettably Galaxy.

“By aligning our efforts with the government initiatives, particularly the tourism plus strategy, we can attract a broader range of international visitors and enhance our tourism offerings. This represents a prime opportunity for all gaming concessionaires to innovate as we are doing and create diverse branded experiences that appeal to both today’s and our future international visitors.”

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Tags: Francis LuiGalaxy Entertainment GroupGalaxy Macauhotel roomsMacau
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Ben Blaschke

Ben Blaschke

A former sports journalist in Sydney, Australia, Ben has been Managing Editor of Inside Asian Gaming since early 2016. He played a leading role in developing and launching IAG Breakfast Briefing in April 2017 and oversees as well as being a key contributor to all of IAG’s editorial pursuits.

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