Should Hong Kong be worried?

The meteoric rise of Macau is a fascinating story, but as we head into this renewed period of growth and development, what we have seen so far is really just the tipping point of what is possible in this former Portuguese colony.

We all know Macau as weekend getaway when friends or family are in town, somewhere to blow your money at the casinos, eat a load of good food and maybe check out the Ruins of St Paul's. Usually it's just a day trip, or longer if you lose all your money and miss the ferry home.

But a number of significant deals in the past six months suggest that confidence in Macau as more than just Asia's solution to Las Vegas ring true.

We can now see Macau as an entertainment hub, drawing acts likes Celine Dion (it's ok if you're into that), The Police and Avril Lavigne; big draw cards, despite your musical tastes. The Windsor Arch Macau Grand Prix returns in mid-November.

We can also see Macau as an emerging media market, with custom magazines for key hotel groups now being shopped around. Radio group Metro Broadcast launched its first multimedia offering in Macau, Metro Finance, in partnership with Macau Cable TV. The out-of-home sector is also set reap benefit from a major influx of tourists. Are these a sign of things to come? Indeed.

Macau is also proving to be a nice little earner for agency groups, with Omnicom the latest to reap the business benefits of the emerging Cotai Strip and its associated partners, having landed all media and marketing projects for Melco Crown Entertainment's City of Dreams project, due to open in the first half of 2009. And we should expect more of the same. Luxury retail group Taubman has earmarked US$2.5 billion for The Mall at Studio City retail complex due for completion in 2011. Taubman is touting the mall as Asia's mega-luxury shopping complex, which will play host to dozens of luxury brands. But it's the tourism numbers that should get any brand manager hot under the collar.

By 2011, some are predicting that Macau will draw some 40 million tourists, with Mainland Chinese helping to fuel this spectacular growth. While Macau and much of the Cotai Strip is basically a construction zone, it should serve as a warning that much of what we have come to expect from Macau will only continue to evolve.

Maybe it's time for the Hong Kong Tourism Board, local PR companies and event organisers to cement Hong Kong's position as the city for corporate events, entertainment draw cards and retail exuberance.