MGM Macau’s Kevin Lei on the future of casinos with smart table technology    

Jenny Ortiz September 26, 2024

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MGM Macau’s Kevin Lei on the future of casinos with smart table technology    

The casino industry is witnessing a shift as smart table technology transforms the classic table game experience. In Macau, all six major concessionaires have either adopted or are in the process of rolling out this innovation, reflecting a broader change in how casinos function. By incorporating radio frequency identification (RFID) and artificial intelligence (AI), smart tables streamline tasks, enhancing accuracy in game management, player tracking, and overall operational efficiency.  

In an exclusive interview with SiGMA News during SiGMA Land Based Retreat, Kevin Lei, Vice President of Gaming Strategy and Optimisation at MGM Macau, discussed the growing role of smart table technology in the casino industry. This innovation, which has become a central feature of gaming in Macau, promises to revolutionise casino operations through data-driven optimisation and enhanced customer experiences.  

MGM Macau pioneering smart table technology  

“This [smart table technology] definitely will be the future,” Lei said.  

MGM Macau was among the first to adopt smart table technology at a large scale, with its MGM Cotai property leading the charge since 2018. Lei explained, “We were the first to deploy smart table operations on a massive scale for mass gaming in Macau. After years of fine-tuning the product and working closely with vendors, we have been able to adapt the technology to fit the Macau market.”  

The key advantage of this technology lies in its ability to collect and analyse data from gaming operations in real-time, allowing casinos to make informed decisions rapidly. “One of the biggest benefits of smart tables is the data they provide, allowing us to evaluate our decisions quickly and efficiently,” Lei noted. This data not only supports revenue growth but also enables constant improvements in gaming strategies, ultimately enhancing the overall player experience.  

Citi’s latest analysis of the Macau gaming industry highlights the long-term potential of smart gaming tables and RFID technology to boost gross gaming revenue (GGR). Citi pointed out that smart gaming tables can speed up gameplay, with a potential 5.9 percent increase in GGR for every five seconds saved per baccarat game. This faster gameplay is expected to drive revenue growth without the need for increased visitor numbers.  

A decade of development  

According to Lei, the efforts to integrate smart table technology have culminated in measurable benefits. “We started with small deployments about ten years ago, but the real, meaningful gains have only started emerging in the last three to four years,” Lei revealed.  

The evolution and adaptation of technology are ongoing, with expectations that smart tables will soon dominate major Asian markets. “By 2025, smart table technology is expected to play a dominant role in Asian gaming markets. The acceptance of this technology in Macau, particularly for the baccarat game, has been very high, and I see this as the future of casino gaming,” Lei added.  

Leveraging data for optimisation  

An important aspect of smart table technology is its ability to collect and analyse data, which is then used to optimise both gaming products and customer service. Lei highlighted how MGM Macau utilises this data, stating, “The data itself doesn’t generate revenue, but it allows us to justify our decisions. It helps us to set targets, monitor progress, and assess whether we are delivering the desired results.”  

He elaborated on the decision-making process enabled by this technology: “By following this cycle of data-driven action, we can continuously improve our product operations. It’s a decision-making tool that allows us to improve performance, both for customers and dealers, based on real-time information.”  

MGM Macau on diversifying beyond gaming  

Source: MGM Macau

MGM Macau is also focusing on diversifying its offerings beyond gaming, which is in line with the Macau government’s push for non-gaming activities to attract a broader range of tourists.   

“Macau is becoming a vibrant city full of energy, with multiple reasons for visitors to come, including entertainment shows that extend their stays,” Lei said. “The diversification strategy has led to better customer experiences. The non-gaming attractions have allowed us to extend the time visitors spend in Macau, and we’ve seen a significant improvement compared to pre-pandemic times.”   

MGM Macau has been experimenting with various entertainment offerings to determine which activities resonate most with visitors, an ongoing effort that will be refined in the coming years. Last year, during their licences’ renewal, Macau’s six casino operators committed billions to enhance the city’s non-gaming attractions. In their renewal proposals, they detailed plans for new developments aimed at diversifying Macau’s tourism, which currently depends heavily on Mainland China.   

Challenges facing the gaming industry in Macau  

While smart table technology and diversification bring significant opportunities, Lei acknowledged that the gaming industry in Macau is not without challenges. “We see a lot of competition from other regions, but Macau’s unique position in the gaming industry, both in terms of location and product, gives us a competitive edge,” he remarked.  

“Competition drives us to constantly invest in innovation and look for ways to improve our offerings,” he said, emphasising the importance of staying ahead in a rapidly evolving market.   

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