The Chinese wine market: a market segmentation study
Asia Pacific Journal of Marketing and Logistics
ISSN: 1355-5855
Article publication date: 3 June 2014
Abstract
Purpose
The purpose of this paper is to examine how the Chinese wine market can be meaningfully segmented and to explore marketing implications for the Australian wine sector.
Design/methodology/approach
The research is descriptive in nature, using an online survey to collect quantitative data on wine consumer behaviour. A total of 407 responses were obtained. Data analysis included descriptive analysis (frequency distributions) and cluster analysis.
Findings
The research identifies three clusters of wine consumers: “the extrinsic attribute-seeking customers”, “the intrinsic attribute-seeking customers” and “the alcohol level attribute-seeking customers”. These groups of consumers were categorised using a behavioural (benefit) segmentation base.
Research limitations/implications
The use of an internet survey and convenience sample limits generalisation of the findings. The adoption of a behavioural basis in conducting the segmentation is a limitation. The use of more complex segmentation bases, such as psychographics, may yield a richer understanding of the Chinese wine consumer in future studies.
Practical implications
The customer profiles provide Australian wine marketers with an insight into Chinese wine consumer behaviour. Brand positioning can be improved by ensuring that the brand emphasises certain product attributes which the segments value when choosing wine.
Originality/value
Little previous research on market segmentation has been conducted in mainland China. For Australian wine marketers, this study provides a baseline study into market segmentation and may assist with targeting and brand positioning decisions.
Keywords
Acknowledgements
This research was supported by a grant from the Faculty of Law, Business and Creative Arts, James Cook University. Professor Zhou, in the School of Business, James Cook University, is thanked for his assistance in the development of the questionnaire and for acting as a mentor.
Citation
Bo Liu, H., McCarthy, B., Chen, T., Guo, S. and Song, X. (2014), "The Chinese wine market: a market segmentation study", Asia Pacific Journal of Marketing and Logistics, Vol. 26 No. 3, pp. 450-471. https://doi.org/10.1108/APJML-07-2013-0089
Publisher
:Emerald Group Publishing Limited
Copyright © 2014, Emerald Group Publishing Limited