SJM has committed to invest MOP$14.0 billion (US$1.8 billion) during the 10-year term of its next Macau casino concession from 2023 to 2032, of which MOP$12.0 billion (US$1.5 billion), around 86%, is planned to be in non-gaming initiatives.
Referring to the company’s “firm foundation which was laid 60 years ago,” SJM said “it had reinvented and rebuilt itself” and was “fully aligned with China’s national development plan and the Macau Government’s dedication to enhance Macau’s positioning as a World Centre of Tourism and Leisure.”
SJM says it plans to “reinvent SJM’s inherent advantages on multiple fronts, including its unique heritage, strategic tourism assets, and network strengths, as well as investing in new non-gaming attractions, to fully harness ‘Tourism+’ cross-sector synergies with the vision to accelerate all-rounded economic diversification and capitalize upon global tourism revival.”
The company said it saw itself as a “catalyst for change” and aligned itself with the “Macau Government’s determination to enhance Macau’s ‘one centre, one platform, one base’ positioning, echoing the words of President Xi Jinping on 20 December 2019 at the celebration of the 20th anniversary of the handover of Macau from Portugal to China. The expression refers to Macau as “a world center of tourism and leisure, an economic and trade cooperation platform for China and Portuguese-speaking countries and a cultural exchange and cooperation base.”
SJM said it would consolidate “its native strengths” and “bear the torch of creating an authentically Macau experience for tourists, and a sustainable environment of resilient growth for Macau’s economy and community.” The company introduced the motto “from society, to society,” and said it was “dedicated to giving back and making ongoing contributions to the development and stability of Macau.”
Fronting the media on behalf of SJM at a Macau press conference on Saturday were Chairman and Executive Director, Daisy Ho, and COO and CFO Ben Toh. Ho said, “We welcome the government’s request for the concessionaires to enhance the non-gaming elements and improve the existing non-gaming offerings and believe that Macau will see an increase in visitors once the epidemic is over.” She also said that SJM has already discussed future work arrangements with the nine SJM satellite casinos approved to continue in Macau from next year.
In terms of developing foreign visitors, Ho said that the first phase of SJM’s development will “focus on Northeast and Southeast Asian markets, as well as foreign visitors to Macau from Hong Kong.” She also said SJM will establish overseas offices to attract different customers to Macau.
Ho informed the press conference that SJM will renovate its two main Macau peninsula hotels, Lisboa and Grand Lisboa, with a total investment of MOP$2.5 billion (US$313 million). Hotel Lisboa will be completely renovated and is expected to be completed by 2027, while the Grand Lisboa renovation will introduce a range of non-gaming elements.
In a statement released to coincide with the press conference, the company went on to detail specific non-gaming investments and refer to its Corporate Social Responsibility (CSR) initiatives, as below.
Community Tourism
SJM said that “modern day tourists desire genuine connections with a destination that enables them to fully immerse in its history and culture” and that it would leverage SJM’s location and network advantages, launching a “Macau Historic Centre Revitalization Plan” which would “involve comprehensively re-engineering its downtown presence and tourism offerings within it.”
The company said the Macau Historic Centre Revitalization Plan will see the San Ma Lo area (from Lisboa and Grand Lisboa in the city center to Ponte 16 at the Inner Harbor) redeveloped into a “thriving cultural district with a strong sense of local community.” The plan is set to include “overhauling the interior of Hotel Lisboa to offer tourism and leisure facilities such as dining, retail, and children’s entertainment to complement the refurbishment works of the adjacent Grand Lisboa Hotel” and would also create a “riverfront food street under the theme of ‘from land to sea’” which is planned to span from Pier 14 to Pier 16 at the Inner Harbor.
SJM envisages that a pedestrian district will be delineated to hold “large-scale events such as special festive markets and Macau Wine and Dine Festivals to place Macau under the global spotlight.” The company also plans to restore and revitalize “Casino Macau Palace” – the famous and historic Macau floating casino. To be docked at Pier 14, Casino Macau Palace will include dining establishments, shops and gaming culture exhibitions. The company said, “Not only will the location revive old Macau allure for visitors, but it will bring significant footfall to local small and medium-sized businesses thereby generating spill-over benefits to the entire economy.”
Sports Events
SJM described sports as “a powerful catalyst for tourism and economic development as well as destination branding” and said it would “focus its growth efforts on football, tennis, and golf among others, three of the top 10 most popular sports worldwide.” The company set a goal to “introduce anchor sports events on Macau’s annual event calendar” and noted that in 2021, the Chinese tennis event “CTA Tour SJM Professional Finals (Macao) and National Tennis Championships were successfully brought to Macau by SJM as a recurrent event.”
It says plans are “underway to host the Macau Open Golf Championships on an annual basis” and pledged to title-sponsor “invitational soccer matches between top teams from major leagues in Asia and around the world.”
The company also said that in anticipation of the 2023 Asian Games and the 2025 Guangzhou-Hong Kong-Macau Games, “a series of martial art activities will be launched to promote Chinese national heritage to the world,” claiming that “extra mileage will be generated by creating spin-off programs from these significant sporting events so as to encourage participation from residents and communities.”
City of Gastronomy
SJM noted that it had “the most Black Pearl Diamond restaurants in Macau, the longest-running Michelin 3-star awards, as well as the most extensive wine collections across Asia” and referred to these as “unique strengths of the company.” It committed itself to “continue to pursue culinary excellence, bearing testament to Macau’s reputation as a UNESCO-designated Creative City of Gastronomy.”
SJM said it would open over 15 new dining outlets at Grand Lisboa Palace and Grand Lisboa, “creating original and home-grown gourmet experiences, as well as introducing world-popular restaurant brands” and promised to “continue to seek leading industry accolades to place Macau as a top gastronomic destination on the world map.”
Art and Culture
SJM referred to “Macau’s unique confluence of Chinese and Western culture” and said it would establish three new theme-specific museums, with one to “house an art and culture pavilion with The Lisboa Story as its inaugural exhibition, featuring an exquisite trove of antiquities and artifacts from near and far that SJM and its parent company STDM collected over the decades.” The company said the exhibition “will be enhanced with high-end digital technologies to provide for an immersive cultural experience” and that “an auxiliary space will be annexed to give Macau’s native artists a platform to showcase their talents.”
The other two museums are “earmarked to highlight the gaming heritage of Macau, including the city’s first sizable gaming history museum” which it said would be located at Casino Macau Palace.
SJM said it would “continue to leverage Grand Lisboa Palace as a platform to facilitate art exchanges” and promised to organize “major exhibitions such as outdoor lantern festivals and indoor art installations” which would “bring together local, GBA and Asian artists to foster a dynamic art community.”
Exhibitions and Conventions
The company said it would “comprehensively upgrade MICE facilities at Grand Lisboa Palace” as well as “create a garden theme venue adjacent to the Jardim Secreto that combines the benefits of both indoor and outdoor environments to cater for small to medium sized events as well as modern MICE configurations.” It also said it would leverage the “diversified MICE offerings at Macau Tower, whose ownership is under parent company STDM, to meet the unique demands from different delegations.”
Entertainment and Performances
SJM said it plans to create an in-residence performance by a renowned choreographer, as well as other forms of entertainment, and that this would “encourage longer stays from visitors.”
Corporate Social Responsibility (CSR) by supporting SMEs
Moving to the support of SMEs as part of its CSR commitments, SJM said it intends to “collaborate with local travel agencies to promote cultural tourism and encourage visitors to stop by the neighborhood’s distinctive old stores.” It also said that “as Grand Lisboa Palace’s ‘Made in Macau’ area extends, an increasing number of small and medium-sized enterprises will launch their businesses there,” thus promoting SME brands, increasing their visibility, and “luring customers to original shops in town by utilizing the resort’s catchment effect.” SJM has promised to develop a new mobile app to consolidate offers of small and medium sized businesses and showcase them to visitors.
Corporate Social Responsibility (CSR) by protecting local employment
SJM noted it has “long maintained a 90% local employee ratio” and said that in keeping with growth in non-gaming opportunities, it offers a variety of retraining programs on subjects such as “foreign languages, tour guiding, as well as Macau’s history and culture, to enable lateral growth for its staff.” It also said that 94% of middle and high-level management jobs are filled by local personnel and that “though leadership programs and certifications, employees enjoy clear career paths and job security,” noting that “such consistent efforts can ensure a stable talent pool and build resilience for the labor market.”
