Inside Asian Gaming

INSIDE ASIAN GAMING | Oct 2007 16 “Because this is a limited-licence envi- ronment, it favours business models offering higher returns on investment, and there is evidence of that.” The sight and sound of Messrs Adelson and Wynn exchanging banter has become as routine as boxers trading insults at a Las Vegas pre-fight weigh-in. But in the heavy- weight contest between Wynn and LVS, the two chairmen give the impression that gen- uine philosophical differences about busi- ness are at the heart of this public rivalry. Business model Mr Adelson’s instinct has been to expand the winning formula of The Venetian in Las Vegas with a super-sized version in Macau. Mr Wynn’s reaction to Macau has been to scale things down, at least on the accommo- dation side. His first Macau resort has a ho- tel capacity around one quarter that of The Wynn in Las Vegas—600 rooms versus the Nevada site’s 2,700 rooms. But while ‘bigger’ is easy to measure and quantify, ‘better’ is a subjective matter. One person’s gorgeous chandelier is another per- son’s vulgar light fitting. A second problem is that neither of the rivals accepts the terms on which the other chooses to fight. You won’t catch Mr Adelson conceding that his Venetian Ma- cao isn’t classy. As far as he’s concerned it’s bigger and better. If we accept just for a moment the ba- sis of Mr Wynn’s premise—that ‘better’ is a measurable quality and that Wynn Macau possesses it—what factors, other than scale, really set the rival Macau properties apart in terms of how customers react to using the facilities? The hotel suites at both resorts have gen- erally received favourable reviews, though until more casinos are built on Cotai, the Wynn is likely to remain popular because of its downtown location.Wynn Macau’s rooms achieved 91.9% occupancy in the third quarter, according to the company, up from 86.2% in the previous quarter. Average room rates fell though from US$258 per night to US$245 per night. Mr Wynn’s trademark habit of using his properties as impromptu art galleries for valuable paintings taken from his collection has continued in Macau. At Wynn Macau it was‘Among the Roses’by French impression- ist Pierre-Auguste Renoir, and ‘The Persian Robe’ by French modernist Henri Matisse. Mr Adelson has gone for quantity, covering the main hallway ceilings of his property with rococo-style gilding and painting. Showmen In a gambler’s market such as Macau, Venetian Macao’s wow-factor ceilings