Hotel occupancy climbs in first half as room rates dip

The city’s hotel sector posted a strong performance in the first half of 2025, with an average occupancy rate of 93.6% across member hotels of the Macau Hotel Association, marking a 3.7 percentage point increase from the same period last year, according to data published by the Macao Government Tourism Office (MGTO).

Despite the rise in occupancy, average room rates dropped by 5% year-on-year to MOP1,335.1. Five-star hotels experienced the largest price decline, with room rates falling 6.7% to MOP1,501.2, while three-star hotel rates saw a slight decrease of 0.9%. Four-star hotels were the only category to record a price increase, up 2.6% to MOP1,117.

President of the Travel Industry Council of Macau, Andy Wu, attributed the stable room pricing to heightened competition within the gaming and hospitality sectors, increased transparency on online travel platforms, and changing consumer behavior.

“Tourists are now more rational in spending. Hotels are cautious in pricing and focus on value for money,” Wu noted, as cited in a Macao Daily report.

He added that hotel rates remained relatively stable even during peak periods like the Lunar New Year and Labor Day holidays, with weekend rates only 10–20% higher than weekday prices.

The city’s hotel supply, which totals around 45,000 rooms – mostly in the five-star category – faces additional pressure from improved cross-border travel with the Greater Bay Area.Times Reporter