Mainland Visitors Average Spending Down by Almost 30pct in Q4

Footfall for souvenir industry rose in Q4 2014 but turnover declined

Retailers believe that although there is increased shopper footfall, overall sales have declined, which they put down to the adjustment of the Mainland economy, with Chinese visitors more cautious in their spending.

The total spending of visitors in Macau, in fact, dropped some 13.9 per cent year-on-year during the fourth quarter of last year, primarily due to the average spend of Mainland tourists decreasing by nearly 30 per cent year-on-year in the quarter, the latest data released yesterday by the Statistics and Census Service (DSEC) reveals.

During the fourth quarter of 2014, the total spending of visitors in Macau reached MOP14.05 billion. The per capita spend of visitors amounted to MOP1,757 as compared to the MOP2,201 shelled out during the same period in 2013, representing a drop of 20.2 per cent.

Spending by overnight visitors, which accounted for 44.9 per cent of the total, dropped whilst that by same-day visitors increased.

According to DSEC, the total spend by overnight visitors in the fourth quarter of 2014 reached MOP11 billion, a slump of 17.7 per cent year-on-year, while the spending of same-day visitors increased by 4.2 per cent, amounting to MOP2.99 billion.

However, although the total spending of visitors dropped during the fourth quarter, for the whole year of 2014 it still posted a growth of 3.7 per cent year-on-year, reaching MOP61.74 billion. Per capita spending for the whole of 2014, by contrast, registered a drop of 3.5 per cent, decreasing from MOP2,030 in 2013 to MOP1,959.

The decrease in the per capita spending of visitors in the city is due to the per capita spending of Mainland visitors dropping to MOP2,038 from MOP2,801 during the fourth quarter, down 27.3 per cent year-on-year, despite the fact that they still spent more than most other tourists.

According to DSEC data, tourists from Hong Kong and Taiwan, who represented the second and third biggest tourist sources for Macau last year, spent 3.79 per cent and 3.94 per cent less year-on-year, respectively, amounting to some MOP912 and MOP1,510 per head in the quarter. The per capita spending of Japanese tourists decreased by 4.7 per cent year-on-year in the quarter. They spent, on average, MOP1,716 in Macau during the three months.

However, tourists from Singapore and Malaysia spent more in the quarter, up 10.2 per cent and 5.1 per cent year-on-year. They were also the groups spending the second most and third most in Macau in the three months, amounting to MOP 1,977 and MOP1,718 per head, respectively. In addition, long-haul visitors spent more in Macau in the previous quarter. Visitors from the United Kingdom spent MOP1,518 per person, representing a year-on-year increase of 19 per cent, while visitors from the United States spent 12.1 per cent more compared to the same period last year, amounting to MOP1,395.

Official data also shows that only the Mainland tourists spent more on shopping than on accommodation whilst in the city, spending 52.9 per cent of their total spending - or 62.9 per cent for those travelling here on the Individual Visit Scheme - on buying jewellery and watches, local food products, cosmetics and perfumes.

Other tourists spent most on buying local food products, with tourists from Japan, Hong Kong and the U.S. spending more than 80 per cent of their total outlay on food here. Meanwhile, none of the non-Asian visitors or Japanese visitors bought jewellery or watches in Macau during the quarter, whilst all other Asian visitors did.