Many of Macau’s casinos have accepted the fact that the VIP market segment will most likely never be the same as it was before and have since moved on to focusing on mass market gamblers just as the Macau government has suggested. Jimei Casino believes different and is not willing to give up just yet on the VIP market segment and recently decided to roll out a new strategy in a final effort to see if it can succeed in bringing in VIP gamblers once more from Mainland China.
Jimei casino holds a gaming license under the SJM Holdings Ltd banner and believes that there could be market for VIP gamblers who are interested in playing slots. This is a very different approach from the past as VIP gamblers who visited the Jimei casino always had a preference for high stakes table games, especially baccarat.
Jimei believes that there is a market for high stake slot players and has opened out a new club that has more than 100 slot machines. The casino is now looking to form new partnerships with junket operators who will focus on bringing over VIP gamblers who are interested in playing the slot machines at Jimei’s new club. Only time will tell if the junket operators are successful in bringing over VIP slot gamblers as the majority of junket operators have always specialized in attracting a VIP clientele that were passionate about table games.
The new Grand Prize VIP Club will pay junkets what is being termed as ‘rebates’ for bringing in these VIP slot players but has not clarified if these rebates will be provided in the form of fresh credit or cash refunds.
In a statement found on GGRAsia, Grant Govertsen, an analyst at Union Gaming Securities Asia Ltd, said “We believe the opening of this slot parlour could be indicative of a segment of the industry (i.e. junkets) that is very much in need of revenue and willing to try an idea that in a different era would likely not have even been considered.”
The Jimei casino is not a very well known casino and is generally rated as a low performing property in Macau. Govertsen remains sceptical over this new strategy because VIP gamblers from Mainland China have not been willing to risk the scrutiny caused by the anti-corruption crackdown and it remains to be seen if the new VIP slots venue in a lesser known establishment will have enough incentive to bring back these VIP gamblers.
However what could work in favour of the Jimei casino is the co-operation of junket operators, as their business has been severely impacted by the anti-corruption crackdown and they might be willing to give it one last shot and work with Jimei’s new VIP slot strategy.