MACAU, CHINA. Macau’s tourism industry continued its strong recovery in 2023 with visitor arrivals reaching 28.2 million, representing 71.6% of the pre-pandemic levels when the city welcomed 39.4 million tourists.
Data from the Statistics and Census Service shows that Mainland China remains Macau’s key source market, accounting for 67.5% of the total. There were 19,049,147 Mainland China visitors to Macau in 2023, a steep rise of +273.1% compared to the previous year. The number of visitors travelling under the Individual Visit Scheme stood at 10,634,155, up by +532.3%.
Hong Kong represented 25.5% of the total number of visitors to Macau last year, reaching 7,195,801 – an increase of +1,301.5%.
Macau saw the return of international tourists in 2023, with 1,459,566 arrivals. The number of international visitors surged by +10,589.7%, against a low base in 2022.
Visitor numbers from Mainland China, Hong Kong and international sources in 2023 reached 68.2%, 97.8% and 47.6% of the corresponding levels in pre-pandemic 2019.
In December, 2,943,930 travellers arrived in Macau, up by +656% year-on-year.
Mainland China was the top source of visitors during the month, with 1,962,223 arrivals, an increase of +483% year-on-year. Of these, 1,060,216 travelled under the Individual Visit Scheme, up by +542.1% from the same period in 2022.
Macau also recorded a sharp increase in the number of Hong Kong visitors (686,441) and international visitors (238,611), soaring by +1,501.6% and +7,223.8% year-on-year, respectively.
Softening spend
Vibrant arrivals numbers don’t always translate to rising spend levels, however.
Macau’s retail sales – including travel retail – experienced fluctuating fortunes in 2023 with high-end retailers and brands noting a steady softening of spend during the year despite rising visitor numbers. That inverse relationship was driven by a muted Chinese economy and an increasing tendency among Mainland visitors to spend on non-shopping attractions.
The value of retail sales in Q3 dipped by -5.9% quarter-on-quarter. Importantly, sales values of department stores and leathergoods registered respective decreases of -12.2% and -10.6%, according to Government of Macao Special Administrative Region Statistics and Census Service.
Moreover, the sales volume index dropped by -6.5% quarter-on-quarter, with the indices of department stores (-12.3%) and leathergoods (-11.4%) showing a relatively large fall.
The Q4 and year-end figures will be announced on 27 February.
“As compared with the third quarter of 2023, about 41.8% of the retailers envisaged sluggish business in the fourth quarter, 41.7% expected stable performance and 16.5% anticipated a favourable outlook,” a Government of Macao Special Administrative Region Statistics and Census Service Q3 report said. ✈
