Q&A | JD Clayton, President Studio City: “What we are bringing to the table will appeal across a lot of markets”

JD-ClaytonJay Dee Clayton has been Property President of Studio City since January 2015. He began his career in the casino hotel industry in 1975 and has developed “a wide range of skills and gained extensive international experience in all facets of casino/hotel operations,” states his official resume. He has played major roles in a number of developments and has been involved in launching many new casino resort properties across Asia, Macau included, and the US.
When JD Clayton talked to us, in an exclusive interview, the table allocation to Studio City was not yet known. (They have since been granted 250 new-to-market tables.) Apart from that the property was ready to open, conducting the last tests before the opening date. The operation he runs is a partnership between Melco Crown (60%) and an investment fund (40%).  A cinematically-inspired integrated resort, it is for the company run by Lawrence Ho and James Packer, “the most diversified entertainment offering yet experienced in Macau.” Mr Clayton is well aware of that “promise and challenge.”

Macau Daily Times (MDT) – This is a different property in Cotai, with really different attractions. Is it to get a different inbound market?
JD Clayton (JDC) – Certainly, the project we’ve built here is something that is offering much, much more than gaming and so, that’s why there has been a big investment in the attractions and non-gaming amenities that we have here.  So we are looking at the broader market; not just the gaming market throughout China and Asia and the world. In fact, what we are bringing to the table here are a lot of things that have appeal across a lot of markets and even some international brands that we are working with. Pacha for instance, is something that is internationally well known and there are a lot of Pacha fans in the world that like to come to the new Pacha openings.  So I would expect to see a little bit of inbound from the Pacha aficionados, so to speak and elsewhere, you know.  The other things that we have here are with respect to our Warner Brothers collaboration on two things, the family entertainment center, the Warner Brothers fun zone and also, our Batman Dark Knight flight.
MDT – You mentioned the Pacha disco and you have club Cubic at COD.  Are they not a bit competitive?  You think there is a market for both?
JDC – Yes, I believe there is.  Certainly with Pacha, we bring a brand that people are familiar with.  Cubic has its clientele.  Will we compete?  Yes.  Will we also work off each other?  I think there’s some synergy to be had there.  So I think that we can both benefit from another club in the market.
MDT – So 13 days from opening… In a time of declining gaming receipts. What do you think, is this the right time to open shop?
JDC – Of course, I would have loved a better situation, but we’re a company that knows how to deal with change and changing circumstances.  The one thing that I personally see is, it seems like things are stable in terms of where the gaming revenue is in the market right now. So in terms of a stabilised situation, I think we are there and that was, I guess, one of the things that the industry was waiting for here was a stabilisation signal of sorts.
MDT – How did you welcome the comments by Li Gang a couple of weeks ago? Were they encouraging for the industry?
JDC – Oh, absolutely, and when you look at the various analysts and the gaming stocks and so forth, it was all encouraging news, and just on that news. I think it is good news.  [Chinese officials] don’t make … hollow statements.  So I think there is some weight behind that.

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