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MGM China hands media account for $3.3bn Macau resort to OMD and Xaxis

MGM China has appointed a joint team from OMD and Xaxis to handle its media strategy for its new multi-billion dollar casino-hotel resort in Macau, the MGM Cotai.

Omnicom Media Group-owned OMD will be responsible for integrated media strategy, planning and buying in Guangzhou and Hong Kong and will also oversee all ATL, search and social media across Hong Kong and China.

Meanwhile, WPP’s Xaxis will handle all programmatic display and video advertising across targeted markets in Asia Pacific. The accounts will be led by the agencies’ teams in Hong Kong.

The agencies were chosen by J. Walter Thompson, which was picked as creative agency-of-record in January. OMD Hong Kong’s chief executive officer Deric Wong said his agency would “leverage the power of collaboration” to deliver “groundbreaking work” for MGM.

Costing US$3.3 billion, the MGM Cotai is expected to open during the fourth quarter of this year. Using a self-described “jewellery box” architectural design, the new hotel will be positioned primarily as an entertainment and luxury centre and secondarily a casino. 

Although gambling remains a flourishing market in Macau, with gross gaming revenues in Macau increasing by nearly 22 per cent in quarter two this year, MGM has faced increased competition from other casino-hotel operators, according to Nasdaq. As a result, MGM’s Macau’s revenues declined by 1 per cent during that quarter.

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