Inside Asian Gaming

August 2008 | INSIDE ASIAN GAMING 9 The envisioned Vegas-style mega resort is expected to cost US$800-900 million and feature a bevy of entertainment and dining options in addition to a 60,000 sq. ft casino. Regardless of the decision on further domestic casino licenses, Gillmann Investment Asia looks set to continue growing its customer base from the northern parts of China. Mr McDowell points out that a visitor from Shanghai “can fly to Jeju in 55 minutes, then five minutes later they can be in our hotel, and ten minutes later they can be gambling.” Even though the flying time from Beijing to Macau is comparable to that from Beijing to Jeju, he believes “the current congestion at the borders in Macau,” could make Jeju more appealing.“Jeju’s very close, it’s very convenient and it’s a nice place.” Gillmann Investment Asia’s comingmega resort will have a clear focus on high-rollers, and will house 30 VIP rooms. By contrast, Mr McDowell stresses that Macau properties such as Venetian Macao, Wynn Macau and MGM Grand Macau each have fewer than 20 VIP rooms. Mainland Chinese, accompanied by junket operators, will flock to the Jeju mega resort’s VIP rooms, while “the main floor is going to be mostly composed of Japanese,” saysMrMcDowell.Jejupresents a compelling overall holiday package for Japanese visitors. Mr Park points out that“for Japanese to come to Jeju island and spend two days of golfing, with airplane tickets, hotel and all the food, is cheaper than one round of golf in Japan.” Gillmann Investment Asia is also trying to raise the overall appeal of Jeju. Mr McDowell states: “One of our goals was to talk to the other operators and say this is our business model: in order for us to be successful, we need to grow the profile of Jeju island, not just ourselves. We need to get the word out about Jeju and let people know it’s a great place to come and they’ll get a fair deal here. Unless we raise the profile of Jeju, then our work is much harder. So we’re working with the other operators. Sang [Mr Park] is always working with the other marketing guys to try to co-market it. Share charter flights, do all this sort of stuff.” Mr McDowell concedes that Macau will retain its lead as Asia’s top-grossing casino destination, “but we can be second, and second is still okay. There are a lot of people who will visit Macau, but perhaps instead of going to Macau three times a year, they will go to Macau twice and they will come to us once.That’s good enough.” T.H.E. Hotel & LVegas Casino Chief Marketing Officer Sang H. Park points out that “when aperson from China comes to Macau, they think of two things: gaming and sex. When they come to Jeju, it’s more tourism”—from the island’s ubiquitous golf courses (there were 38 at last count) and water sports, to lava caves and the world’s largest Teddy Bear museum.