Consumer campaign set to lift weekend spending by 20%, DSEDT says

The upcoming Macau Consumer Grand Prix campaign, launching next Monday, will retain previous weekend spending arrangements, with authorities citing historical data showing the campaign effectively boosts local weekend spending by 20%.

The new consumer promotion campaign will run for 13 weeks until November 30, distributing nearly MOP500 million in benefits.

Among the updates, the instant discount for seniors has been increased to MOP500, and a “Care Card” with a MOP500 instant discount will be issued to holders of disability assessment certificates, while the remaining details largely follow the previous campaign model. According to the authorities, as of Tuesday, 2,750 people with disabilities have registered.

The public broadcast program yesterday featured officials and representatives from the Economic and Technological Development Bureau (DSEDT), the Social Welfare Bureau (IAS), and the Macau Chinese Chamber of Commerce, discussing the recently launched campaign.

The DSEDT once again emphasized that this campaign aims to provide targeted support for small- and medium-sized retailers, focusing resources on assisting SMEs while excluding large supermarkets, whose retail sales remain comparable to last year, demonstrating resilience against economic pressures.

According to DSEDT, ineligible businesses include institutions handling common household expenses such as utilities and telephone bills, enterprises with over 100 employees, and medical institutions.

According to the authorities, MOP485 million has been set aside for the campaign, with MOP410 million allocated for electronic vouchers and MOP75 million for consumption incentives via senior citizen cards and care cards.

This marks an increase of nearly 65% in investment compared to the previous event. The DSEDT official emphasized that there will be no interference in the lottery odds to ensure fairness.

Approximately 73% of residents with cross-border consumption habits increased their number of stays in Macau due to such campaigns, with spending primarily concentrated on restaurants, daily necessities, food, and fruits and vegetables.

Data from the previous campaign indicated that the redemption amount was about MOP250 million, with linked consumption reaching about MOP1.04 billion, yielding a linkage ratio of approximately 4.2 times.

A DSEDT official stated, “We anticipate that the linkage effect of this campaign will be similar to the previous one,” citing academic research that projected the new campaign’s multiplier effect to be comparable, with MOP250 million in verified spending, MOP1.04 billion in associated spending, and a multiplier ratio of approximately 4.2 times.

The official noted that the policy successfully achieved its objectives, with local payment amounts rising by 20% over the weekend. Among these, the MOP200 high-value vouchers saw the highest consumption rate at 93%. “Survey data indicated that over 40% of respondents reported that such campaigns prompted them to make additional purchases,” he added.

Some listeners have inquired about the prize draw’s winning rate. Frederico Ma, president of the Macau Chamber of Commerce, emphasized that the lottery’s design aims to stimulate economic growth while maintaining relatively even prize distribution. Adjustments are made based on consumption data and economic cycles.

He highlighted that the upcoming funding allocation is larger than in previous editions, resulting in corresponding increases in winning chances.

“Weekly statistics on redemption amounts will be compiled. Unused funds will be reinvested into subsequent draws to ensure all prizes have an opportunity to be claimed […] The overall goal is to maintain participants’ enthusiasm while stimulating economic consumption.”

Survey shows 54% of SMEs see revenue decline

A recent survey conducted by the Macau Economic and Livelihood Alliance has revealed that more than half of the city’s small, micro, and medium-sized enterprises (SMEs) are facing declining revenues, citing fierce market competition and high operating costs as major obstacles to growth.

The survey randomly sampled 1,037 SMEs and incorporated in-depth interviews with 15 industry experts and academics, analyzing support measures for SMEs in Macau, Hengqin, and the Greater Bay Area over the past three years.

According to the results, 54% of surveyed SMEs reported a decline in turnover, while 62% said they were unaware of existing government support programs, citing opaque application processes and complex procedures as barriers.

Despite these challenges, over 70% of SMEs indicated a willingness or intention to adopt digital operations. However, fewer than 10% have fully implemented digitalization, and those that have largely remain at an experimental stage, highlighting a gap between intent and capability.

The research team recommended establishing a “one-stop SME policy platform” to simplify application processes, provide marketing subsidies, expand policy outreach, and offer advisory matching services.

They also suggested introducing mechanisms to evaluate the effectiveness of support measures, aiming to foster a more resilient and innovative business environment for local SMEs.