Hotels focus on efficiency as Golden Week demand expected to rise

[Photo: Renato Marques]

Macau hotels are turning to internal efficiency measures to remain competitive during the upcoming Golden Week holiday, as geopolitical tensions in the Middle East drive up operating costs, a hospitality industry leader has said.

Cheung Kin Chung, chairman of the Macau Hoteliers and Innkeepers Association, expressed confidence about visitor numbers for the Labor Day holiday period in a recent interview with Macao Daily.

This year’s Golden Week runs from May 1 to 5, with May 9 designated as the resumption of normal work schedules.

Brent crude, the global oil benchmark, climbed to MOP767 on Monday, reversing a recent low of MOP686. The sharp increase has pushed up operational expenses for hotels, particularly affecting boilers and transportation.

“The sharp rise in international oil prices has inevitably affected the operating costs of hotels,” Cheung said. He noted that the industry aims to absorb some of the additional burden through internal efficiency gains rather than passing the full cost onto consumers.

According to Cheung, room booking activity typically intensifies in the days leading up to the holiday, with reservations expected to rise further as May 1 approaches.

He observed that hotels are demonstrating strong self-discipline on pricing, with most reaching a consensus to keep existing room rates stable.

Both government authorities and the hotel sector are monitoring rates closely to prevent unreasonable fluctuations.

Cheung added that quality and price management are now being prioritized, as unreasonable rate changes could affect traveler confidence. Despite rising fuel costs, hotels are working to ensure guests receive better value for money during the holiday period.

On the topic of expanding international visitation, Cheung said most hotels are now better prepared to receive guests from Muslim countries compared with previous years. However, he acknowledged that finding ways to expand halal dining options remains a significant challenge.

“The big challenge still revolves around finding ways to expand halal dining options and to add more places, both inside and outside hotels, that can cater to Muslim guests,” Cheung said.

The association has been promoting halal food certification and has already made some progress. The objective, Cheung explained, is to ensure Muslim travelers feel comfortable during their stay and confident about the meals provided.