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Article
Publication date: 1 January 2024

Chanwoo Moon, Mark A. Bonn and Meehee Cho

Given the intensified competitiveness in the wine retail industry, partnering with quality suppliers becomes critical to ensure a steady supply of high-quality products and

Abstract

Purpose

Given the intensified competitiveness in the wine retail industry, partnering with quality suppliers becomes critical to ensure a steady supply of high-quality products and sustainable business growth. This study aims to explore how wine supplier quality attributes impact wine retail businesses and if such effects differ depending on wine retail types.

Design/methodology/approach

Data were obtained from wine purchasing managers in Korea. To validate the proposed relationships, structural equation modeling was used. A multigroup analysis was conducted to test distinct roles of on/off-premise wine retail types within this research framework.

Findings

Results support the significance of supplier quality attributes in shaping the landscape of wine retail businesses. Operational and strategic benefits exhibited a positive effect on both financial performance and suppliers’ relationship satisfaction, thereby improving the intent to continue working with suppliers. This study revealed noteworthy distinctions in the effects of supplier quality attributes on operational and strategic benefits between on-premise and off-premise wine retailers.

Research limitations/implications

Findings provide valuable insights to wine suppliers and buyers concerning the establishment of a mutually beneficial long-term interdependent relationship. The approach sheds light on the unique dynamics of wine retail types, contributing to a more comprehensive understanding of the distinct roles of supplier quality attributes on on-premise and off-premise retailers.

Originality/value

This study developed an integrative framework, emphasizing the importance of supplier quality attributes in the wine retail industry. This model offers valuable insights into creating favorable buyer–supplier relationships that result in mutual benefits for both wine retailers and suppliers.

Details

International Journal of Contemporary Hospitality Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0959-6119

Keywords

Article
Publication date: 21 August 2009

Emily McCutcheon, Johan Bruwer and Elton Li

The purpose of this paper is to examine the importance of wine's region of origin in the consumer wine‐buying decision‐making process in the Australian domestic market.

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Abstract

Purpose

The purpose of this paper is to examine the importance of wine's region of origin in the consumer wine‐buying decision‐making process in the Australian domestic market.

Design/methodology/approach

Data collection takes place by means of a self‐administered and online approach in tandem utilising a highly structured questionnaire completed by wine consumers. The sample is limited to three groups of wine consumers – patrons of a wine bar in Sydney and two online wine communities unlocking access to a cross‐section of on‐premise trade and online consumers. The active memberships of the online communities amount to 3,600. In total, 352 usable surveys are obtained.

Findings

Region of origin is an important choice factor in the wine‐buying decision making process of consumers, but particularly so in terms of its multi‐dimensional nature (region name, wine type and grape variety). The most important choice factors in consumers' wine‐buying decisions are quality, price, grape variety, wine style and region of origin. Region of origin varies in degree of influence within different segments. Higher ratings for region of origin are given by female wine consumers, high involvement wine consumers and consumers who have participated in wine tourism to a greater degree.

Research limitations/implications

The findings of this research suggest that wine's region of origin is a significant choice factor in the Australian consumer's wine‐buying decision making process. More than half of the respondents are residents of Sydney and the findings are therefore tentative due to the geographical limitation.

Originality/value

This study is of value to academic researchers, wine industry practitioners, and on‐ and off‐premise operators alike as it furthers the understanding of the importance of various choice factors in the consumer's wine‐buying decision‐making process and in particular the relative importance of region of origin within the main choice factors. It also highlights the specific market segments (geodemographic, behavioural and involvement level) and conditions under which the relative importance of region of origin varies.

Details

International Journal of Wine Business Research, vol. 21 no. 3
Type: Research Article
ISSN: 1751-1062

Keywords

Case study
Publication date: 20 January 2017

Richard E. Wilson

How does a mature business develop new growth markets, assuming it already has new products? That was the challenge facing The Coca-Cola Company and its global system of bottlers…

Abstract

How does a mature business develop new growth markets, assuming it already has new products? That was the challenge facing The Coca-Cola Company and its global system of bottlers in the 2000s when demand for its core line of carbonated soft drinks flattened. The Australian bottler, Amatil, pinned its hopes on energy drinks, a fast-growth, youth-oriented category that was capturing headlines and share away from traditional products. To wrest control from the upstart brands that originated them, Amatil was targeting the retail context where young people congregated and formed their preferences, in pubs, nightclubs, healthclubs, and sporting events. This international case explores the challenges encountered when a mature company with considerable distribution assets, well-honed systems, and entrenched operating procedures attempts to sell into an underserved retail channel with requirements quite unlike those of the company's mainstream buyers. How does it attract market interest? How does it develop new routes-to-market without undercutting the cost efficiencies and delivery value that have earned it dominant position elsewhere? How does it win over what could be its core customers of the future without alienating today's faithful? These are just some of the questions that Amatil management was determined to solve.

Understand issues related to retail channel strategy development in fast-changing international consumer markets, and the challenges of adapting legacy routes-to-market systems to changing consumer demands.

Details

Kellogg School of Management Cases, vol. no.
Type: Case Study
ISSN: 2474-6568
Published by: Kellogg School of Management

Keywords

Article
Publication date: 5 June 2009

Stephen Lacey, Johan Bruwer and Elton Li

The purpose of this paper is to examine the level of perceived risk and implementation of risk‐reduction strategies (RRS) regarding the consumer wine purchase decision in the fine…

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Abstract

Purpose

The purpose of this paper is to examine the level of perceived risk and implementation of risk‐reduction strategies (RRS) regarding the consumer wine purchase decision in the fine dining restaurant environment. The study seeks to evaluate the effectiveness of elements within the control, or influence of the restaurant (staff, reputation, previous visitation and previous consumption) on reducing the perceived risk of consumers.

Design/methodology/approach

Data are collected through the use of a self‐administered, highly structured questionnaire in a well established fine dining restaurant in central Adelaide, South Australia over a three week period in April and May 2008. The sample consists of restaurant consumers who made a wine purchase decision at the restaurant during the collection period. A response rate of 85 per cent is achieved resulting in 105 useable questionnaires.

Findings

A low overall level of perceived risk is noted in the wine purchase decision‐making process in the fine dining environment. The restaurant's reputation and advice from staff are found to be important RRS with a high incidence of utilisation. The reputation of the restaurant, incidence of previous visitation and previous consumption of the wine ordered in the restaurant, are all found to reduce the level of perceived consumer risk. A significant incidence of customers engaging in risk‐seeking behaviour through selecting wines with which they are unfamiliar, is also noted.

Research limitations/implications

The findings of this research suggest that the overall level of risk associated with the consumer wine purchase decision may be lower than previously observed and can be reduced through measures within the restaurant management's control. Although tentative due to the exploratory nature of this study, these findings may provide useful insights to the wine and restaurant industries and would benefit from further investigation on a larger scale.

Originality/value

This study is of value to academic researchers, restaurant managers/sommeliers and the wine industry as it highlights important aspects of consumer behaviour with regard to wine purchases in a growing and lucrative sector of the on‐premise trade.

Details

International Journal of Wine Business Research, vol. 21 no. 2
Type: Research Article
ISSN: 1751-1062

Keywords

Article
Publication date: 28 August 2019

Matthew J. Bauman and Christopher D. Taylor

This paper aims to investigate the antecedents that contribute to wine club members’ intention to remain in the wine club. Additionally, this study examines the potential…

Abstract

Purpose

This paper aims to investigate the antecedents that contribute to wine club members’ intention to remain in the wine club. Additionally, this study examines the potential departure and retention rates of wine club members, as well as provides insight into socio-demographic profiles and differences of wine club members.

Design/methodology/approach

This research relied on prior literature to build hypotheses that were tested using multiple linear regression analyses. An online questionnaire was used to recruit a total of 352 usable surveys from wine club members of a winery located in Fredericksburg, Texas. The researchers examined the predictive power of perceived service quality, winery wine club policy, customer loyalty and brand attitude on wine club members’ intention to remain in the wine club.

Findings

Customer loyalty and brand attitude were found to significantly predict wine club members’ intention to remain in the wine club, accounting for approximately 49 per cent of the variance explained. However, perceptions of service quality and winery wine club policy were not found to significantly predict wine club members’ intention to remain in the wine club. Additionally, household income was found to also positively correlate with wine club members’ intention to remain.

Research limitations/implications

First, this research relied on self-reported measures. Second, wine club members from only one winery were surveyed, limited generalizability. Third, this paper specifically examined the antecedents of wine club members’ intention to remain and did not examine the reasons why wine club members leave. Ultimately, the main implication of this research is in demonstrating the importance of customer loyalty and brand attitude as antecedents of wine club members’ intention to remain in the wine club, as well as in providing insights as to the potential retention and churn rates of wine club members.

Originality/value

Prior research is yet to investigate the factors that predict wine club members’ intention to remain in the wine club. Thus, this paper provides evidence as to two powerful predictive antecedents that prevent wine club member churn. Furthermore, this research yields additional insights regarding wine consumer behavior within the context of the direct-to-consumer marketing channel.

Details

International Journal of Wine Business Research, vol. 32 no. 1
Type: Research Article
ISSN: 1751-1062

Keywords

Article
Publication date: 1 July 2014

Johan Bruwer, Vladimir Jiranek, Lulie Halstead and Anthony Saliba

The purpose of this paper is to provide clearer insights into and identify the key consumer behaviour metrics of the lower alcohol category (<11 per cent ABV) in the UK wine

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Abstract

Purpose

The purpose of this paper is to provide clearer insights into and identify the key consumer behaviour metrics of the lower alcohol category (<11 per cent ABV) in the UK wine market.

Design/methodology/approach

Data were collected via an online survey from a sample size of 598 regular UK wine drinkers. To operationalise the study, five research questions were formulated. A highly structured quantitatively directed questionnaire was designed to find the answers to the research questions.

Findings

Barriers to a larger uptake of the product category included non-availability of the products, lower quality perceptions, taste issues, lack of awareness, lack of alcohol's “feel effect” and absence of a lower alcohol drinking occasion. Many UK consumers are not yet convinced how/if lower alcohol wine fits into their wine drinking occasions. The lower ABV wine buyer's main profile characteristics are weighted towards females, Millennial and Baby Boomer age generations, mostly mid to low income, who drink mainly white and rosé wines. Lower alcohol on its own is not seen as a big benefit, thus lower ABV wines should be more creatively communicated to sell the benefits.

Originality/value

This study contributes to the knowledge base in that it is the first to investigate consumer behaviour metrics as regards lower ABV wine in one of the world's leading markets, in the process providing some important baseline research information on this category. As such it is of value to academic researchers and practitioners alike.

Details

British Food Journal, vol. 116 no. 7
Type: Research Article
ISSN: 0007-070X

Keywords

Article
Publication date: 23 December 2019

Matthew J. Bauman, Natalia Velikova, Tim Dodd and Trey Blankenship

The purpose of this study is to examine generational differences in consumer Web 2.0 information source adoption for wine purchasing decisions, particularly social media and

Abstract

Purpose

The purpose of this study is to examine generational differences in consumer Web 2.0 information source adoption for wine purchasing decisions, particularly social media and internet-based sources.

Design/methodology/approach

An online survey resulted in 276 responses from wine consumers residing in Texas, USA. Information source usage was tested in two common purchasing situations: for casual and formal consumption. Chi-square analyses and ANOVA were used to examine differences among the generational cohorts in their use of information sources, levels of objective and subjective wine knowledge, wine involvement and risk perception for the two purchasing situations.

Findings

Younger consumers were found to be significantly more inclined to use Web 2.0 information sources, such as wine blogs, wine applications, their contacts’ recommendations on social media and wine experts on social media. Older consumers were more likely to use their own wine knowledge. Of greater interest is that in terms of their reliance on various wine information sources, Generation X behaves as the bridge between Generation Y and Baby Boomers. Generational differences regarding wine involvement, wine knowledge and risk perception also support this notion.

Practical implications

The results of this study reinforce the need for wineries to adopt or create strategic initiatives using Web 2.0 elements. This study also suggests that depending on the purchasing context, consumers use certain information sources more than others.

Originality/value

This research extends the understanding of the information acquisition process by expanding the types of information sources, and also yields valuable insights for consumers’ off-premise wine purchasing decisions.

Details

International Journal of Wine Business Research, vol. 32 no. 2
Type: Research Article
ISSN: 1751-1062

Keywords

Article
Publication date: 1 February 2003

Robert Eyler

Direct shipping laws restrict the amount of wine traded between states in the United States as well as international trade in the wine industry. The effects of these laws are…

Abstract

Direct shipping laws restrict the amount of wine traded between states in the United States as well as international trade in the wine industry. The effects of these laws are twofold. First, they restrict consumer choice, through higher prices and fewer goods available. This is the classic way in which barriers to trade reduce consumer and societal welfare. For the international wine company, marketing and distribution costs rise due to the fact that certain markets are not directly available. For all potential exporters to the US. these direct shipping laws add to difficulty in competing and reduce availability. The data show that the elimination of the laws would reduce prices, increase quantities sold, and increase competition in wine, especially through direct shipping. These laws affect firm choice on product delivery and market penetration.

Details

International Journal of Wine Marketing, vol. 15 no. 2
Type: Research Article
ISSN: 0954-7541

Keywords

Article
Publication date: 12 June 2017

Johan Bruwer and Emily McCutcheon

The purpose of this paper is to facilitate a better understanding of the insights provided by adopting a behaviourism perspective of the socio-demographics, consumption dynamics…

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Abstract

Purpose

The purpose of this paper is to facilitate a better understanding of the insights provided by adopting a behaviourism perspective of the socio-demographics, consumption dynamics and retail channel patronage of wine consumers and the potential marketing implications these have.

Design/methodology/approach

Systematic random sampling yielded 811 surveys of wine consumers collected at households across Australia’s three main consumption metropoles. A hierarchical multiple regression model is used to test the predictive ability of the socio-demographical variables, gender and age, on personal wine consumption.

Findings

Specific differences exist in the consumption behaviour and wine type preferences of males and females, and between generational cohorts, specifically Millennial and older consumers. There are gender significant differences in wine type consumption, which in turn is moderated by not only the “classical” socio-demographic variables, but also the retail outlet types preferred for product purchase. Younger Millennial females place more importance on external choice cues in making their buying decision than males. The gender and age generation socio-demographic variables are not strong predictors of personal wine consumption.

Practical implications

Opportunities exist for niche-marketed brands targeted at specific segments such as young females and this study highlighted their specific needs and consumer behaviour dynamics.

Originality/value

This study illustrates through carefully executed wine consumer behaviour research, directed by questioning from the extant literature, how information derived from a behaviourism perspective can intelligently inform marketing strategies. In the process, it also provides “baselines” for future research.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 29 no. 3
Type: Research Article
ISSN: 1355-5855

Keywords

Article
Publication date: 11 April 2016

Tanja Kamin and Daša Kokole

Alcohol availability is strongly related to excessive alcohol consumption. This study aims to examine social marketing’s response to concerns about retailers’ noncompliance with…

Abstract

Purpose

Alcohol availability is strongly related to excessive alcohol consumption. This study aims to examine social marketing’s response to concerns about retailers’ noncompliance with the minimum legal drinking age (MLDA) law by proposing and evaluating a social marketing intervention directed at sellers in off-premise stores.

Design/methodology/approach

The study is based on a non-randomized quasi-experimental design, focusing on an evaluation of the implementation of the “18 rules!” intervention in four cities in Slovenia. Two waves of underage purchase attempts were conducted pre- and post-intervention in 24 off-premise businesses, following a mystery shopping protocol.

Findings

The initial rate of retailers’ noncompliance with the MLDA law in off-premise establishments was high. After the social marketing intervention, an increase with compliance with the law was observed; the proportion of cashiers selling alcohol to minors after the intervention decreased from 96 to 67 per cent. Qualitative insight suggests an existence of retailers’ dilemma in complying with the MLDA.

Research limitations/implications

A social marketing approach could contribute to a better understanding of the social working of the MLDA law.

Practical implications

A social marketing approach could complement the usual enforcement strategies and contribute to a better understanding of the social working of the MLDA law, and encourage deliberate retailers’ compliance with it while developing valuable exchanges among people and stakeholders.

Originality/value

The paper conceptualizes retailers’ dilemma in complying with the minimal legal drinking age law and offers social marketing response to it. Results of the study show that also solely non-coercive measures have the potential in increasing retailers’ compliance with regulations.

Details

Journal of Social Marketing, vol. 6 no. 2
Type: Research Article
ISSN: 2042-6763

Keywords

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