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Article
Publication date: 2 September 2019

Nadia Van der Colff, Chris Pentz and Helene Nieuwoudt

This study aims to describe South African consumers’ wine risk perception on varietal level with recommendations for Chenin blanc.

Abstract

Purpose

This study aims to describe South African consumers’ wine risk perception on varietal level with recommendations for Chenin blanc.

Design/methodology/approach

An exploratory mixed methods approach was followed where qualitative data were used to develop the questionnaire. Quantitative data were collected from 2,051 respondents using an online survey. ANOVA and Fischer least significance difference tests were used to indicate statistical significance.

Findings

Significant perceived risks (PRs) associated with Chenin blanc across age and ethnic groups were functional, time and financial risks. Risk-reducing strategies (RRS) in the white wine category were favourite brands and a trusted store, while Sauvignon blanc was also described as an RRS. Recommended Chenin blanc RRS include tastings and events with food.

Research limitations/implications

Measurement of PR remains challenging. This research approach can be reproduced and/or adapted to investigate other struggling varietals and/or regions-of-origin. The convenience sample limits generalisability.

Practical implications

Segments were identified to develop new markets for Chenin blanc. RRS emphasise the importance of real sensory experience rather than media exposure to build knowledge and familiarity.

Originality/value

This study is a pioneering endeavour in terms of using an exploratory mixed methods research approach to investigate and describe risk perception of a specific wine varietal. Recommendations, with implications for strategic marketing decisions, are made for South African Chenin blanc.

Details

International Journal of Wine Business Research, vol. 31 no. 4
Type: Research Article
ISSN: 1751-1062

Keywords

Article
Publication date: 13 January 2022

Martinette Kruger and Adam Viljoen

This study aims to identify the preferences of wine consumers based on age cohorts to identify differences in consumption from a developing country perspective, with a…

Abstract

Purpose

This study aims to identify the preferences of wine consumers based on age cohorts to identify differences in consumption from a developing country perspective, with a predominantly younger population, to determine wine consumption longevity.

Design/methodology/approach

The target population was wine consumers in South Africa. Through convenience sampling, the data were collected in 2020 via a self-administered online questionnaire. In total, 20,997 fully completed the questionnaire. The age categories of the respondents were assigned to a particular age cohort to differentiate the market.

Findings

The age cohorts revealed five cohorts, namely, Gen Z: 18–24 years (11%); Young Gen Y: 25–34 years (32%); Mature Gen Y: 35–44 years (25%); Gen X: 45–54 years (17%); and Baby boomers: 55+ years (15%). Segmenting South African wine consumers based on their age cohorts revealed statistically significant differences based on their socio-demographics, wine preferences and consumption behavior. A typology of domestic wine consumers is consequently proposed: basic, budget conscious and image-oriented wine drinking Gen Z’s; experimenting and enjoyment-oriented wine drinking Young Gen Y-ers; aspirational and purposive wine drinking Mature Gen Y-ers; ritual-oriented, avid and conspicuous wine drinking Gen X-ers; and conservative, value-seeking and experienced wine drinking Baby Boomers.

Practical implications

This knowledge has important marketing implications and can create a greater appreciation for South African wines among the different age cohorts. The research shows the value of the generational theory in understanding wine consumers’ consumption and highlights the importance of analyzing different generations rather than solely focusing on one, as this could lead to mismanagement of resources.

Originality/value

This is one of the most comprehensive national surveys aimed at the South African wine consumer. The research fills the current literature gap regarding the characteristics of the different age cohorts and shows how wine consumption and preferences may change over time.

Article
Publication date: 1 February 1996

Peter Garrett

This is the third in a series highlighting the influence an individual can have on the South African Wine Industry. De Wet decided that the Plant Control Board's bureaucracy…

Abstract

This is the third in a series highlighting the influence an individual can have on the South African Wine Industry. De Wet decided that the Plant Control Board's bureaucracy should be breached because he felt it was doing more harm than good to the wine industry. As a fifth generation Afrikaner he grew up steeped in wine farming and away from town life. His total dedication was strongly reinforced by his experience and graduation at Geisenheim Research Institute during the South African Sanction Years. Following this experienced Mid‐European viticulturists guided him philosophically and practically in leadership of the industry and into the noble white grape cultivars. Mistakes were made but determination and veracity brought world recognition and success to Danie de Wet and, through him, to the whole SA wine industry.

Details

International Journal of Wine Marketing, vol. 8 no. 2
Type: Research Article
ISSN: 0954-7541

Keywords

Article
Publication date: 1 January 1997

Peter Garrett

This is an update of the article in Number 3 of Volume 4 of the Journal in 1992. The omnipotence of KWV backed by the Afrikaans — led government shielded wine farmers to the…

Abstract

This is an update of the article in Number 3 of Volume 4 of the Journal in 1992. The omnipotence of KWV backed by the Afrikaans — led government shielded wine farmers to the extent that they became complacent both before and during the world sanctions. The change of government, downfall of apartheid, and lifting of sanctions all wrought revolutionary changes including a government enquiry into KWV and the wine industry as a whole. Incidentally, export inexperience of many wineries caused errors of judgement in that field. The most widespread was resultant local shortages in spite of previous reassurances to the contrary. The recent worldwide “fruit‐forward” wine style fashion puzzled South African farmers who reacted in various ways and completely out of unison. Nor were they helped by the realisation of the fact that there was widespread vine disease in the country. Nevertheless, exporting volumes quickly surpassed expectation, and consequently the total area under vines began to increase, with many new names entering the industry. The old price control disappeared and market forces began to take control once again. One example of these is the international shortage of red wine, leading to the previously unheard of importation of low priced red wine. Summing up, it is clear that South Africa, the eighth largest of the world's producers, is firmly back in the international wine and spirit market. This is assisted by increasing tourism to the beautiful Cape.

Details

International Journal of Wine Marketing, vol. 9 no. 1
Type: Research Article
ISSN: 0954-7541

Keywords

Case study
Publication date: 26 November 2014

Edward Mabaya, Morgann Ross, Raj Shrestha and Amity Weiss

The main topics covered by this case are marketing strategies in a saturated market, human resource management, small enterprise challenges and constraints and corporate strategy.

Abstract

Subject area

The main topics covered by this case are marketing strategies in a saturated market, human resource management, small enterprise challenges and constraints and corporate strategy.

Study level/applicability

The intended audiences for this case are upper-level undergraduate and graduate students. Students getting their degrees in business, international labor relations, marketing or public policy/administration are the main targets for this case. Students also interested in in agriculture, international development and race relations will benefit from studying this case.

Case overview

The international wine market is highly competitive. Innovative strategies are needed for new wineries to stand out in this saturated market. Both the product quality and its life story are important to consumers. Seven Sisters is exploring two new markets – Nigeria and Sweden – to expand their international presence. Also explored are marketing strategies for deeper penetration of the domestic market in South Africa. The case study illustrates the challenges and opportunities facing a small, women-owned enterprise from an emerging economy that is exploring international markets.

Expected learning outcomes

The specific teaching objective of this case is to teach students the importance of marketing and corporate strategy in a highly saturated market, such as South Africa. Analyzing this case, students will be exposed to value chains, formulating corporate strategy and devising marketing strategy.

Supplementary materials

Teaching notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.

Details

Emerald Emerging Markets Case Studies, vol. 4 no. 8
Type: Case Study
ISSN: 2045-0621

Keywords

Article
Publication date: 31 December 2019

David Priilaid and Jonathan Steyn

In increasingly competitive markets, opportunities exist to meaningfully differentiate product offerings by cue signalling the claims of emergent categories. Therefore, and within…

Abstract

Purpose

In increasingly competitive markets, opportunities exist to meaningfully differentiate product offerings by cue signalling the claims of emergent categories. Therefore, and within the context of wine sales, the purpose of this study models the supply-led price importance of nascent, extrinsic old vine (OV) cues for South African wines to establish whether to what extent and how producers prioritise such nascent cues relative to more established extrinsic cues of worth.

Design/methodology/approach

A data set was compiled of 159 South African wines with OV category cues signalled on front labels, back labels or via marketing material. The play of contending cue variables was computed through an ordinary least square hedonic pricing model.

Findings

In addition to the contribution of established cues such as aggregated critic ratings, grape varieties and area of origin, this study confirms that vineyard age contributes significantly to wine price, particularly when signalled on back labels.

Practical implications

In price setting and positional models, such as brand extensions, the findings prove useful in understanding the inherent value of nascent cues and specifically vineyard age, relative to competing established wine cues of worth.

Originality/value

This study extends the wine pricing theory by validating the viability of nascent OV cues in the modelling of a wine’s value.

Details

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

Keywords

Article
Publication date: 3 July 2017

Benjamin Wilhelm Lategan, Chris D. Pentz and Ronel du Preez

The purpose of this paper is to: determine the relative importance that Generation Y consumers indicate for 13 wine attributes in their selection of wine; determine if these wine

Abstract

Purpose

The purpose of this paper is to: determine the relative importance that Generation Y consumers indicate for 13 wine attributes in their selection of wine; determine if these wine attributes are significantly distinct in importance in the mind of the consumer; and compare the wine attribute importance findings with the US findings of Chrysochou et al. (2012).

Design/methodology/approach

Quantitative data were gathered from a convenience student sample (n=429) to which the Best-Worst Scaling method was applied for 13 pre-determined wine attributes in a Balanced Incomplete Block Design. Data analysis included descriptive statistics, reliability analysis, t-tests and mixed model repeated measure ANOVA.

Findings

Respondents were able to differentiate between the importance of wine attributes. Taste was the most important wine attribute followed by someone recommended it. Alcohol level below 13 per cent was least important. Firm controlled information such as information on back label was of little importance. South African Generation Y consumers seem to select wine similarly to those in the USA.

Originality/value

Findings contribute to generation-based research in wine marketing and increase the understanding of the wine selection behaviour of Generation Y consumers in South Africa. More effective marketing strategies to Generation Y consumers can result to grow wine consumption in this significant segment.

Details

British Food Journal, vol. 119 no. 7
Type: Research Article
ISSN: 0007-070X

Keywords

Article
Publication date: 1 January 2002

Peter Garrett

This article sets out the state of the South African wine market at the latter end of the year 2001. Whilst it has not recovered fully from world sanctions the damage has mostly…

Abstract

This article sets out the state of the South African wine market at the latter end of the year 2001. Whilst it has not recovered fully from world sanctions the damage has mostly been eliminated. Extensive recent publicity including both well‐ and ill‐informed criticism suggests a bright future for the South African Wine Industry.

Details

International Journal of Wine Marketing, vol. 14 no. 1
Type: Research Article
ISSN: 0954-7541

Keywords

Article
Publication date: 1 February 1993

Peter Garrett

This is intended to be the first of a series studying the way in which a small number of people have had a compelling effect upon the South African Wine Industry. John Platter's…

Abstract

This is intended to be the first of a series studying the way in which a small number of people have had a compelling effect upon the South African Wine Industry. John Platter's annual production of his South African Wine Guide since 1980, with tasting and other notes on every South African wine known to be available, as well as a host of technical and statistical data, has penetrated the whole industry.

Details

International Journal of Wine Marketing, vol. 5 no. 2/3
Type: Research Article
ISSN: 0954-7541

Keywords

Article
Publication date: 2 November 2012

Nick Vink, Alain Deloire, Valerie Bonnardot and Joachim Ewert

The purpose of this article is to attempt to synthesise the lessons from at least four different ways of looking at the South Africa wine industry: economics, climatology…

Abstract

Purpose

The purpose of this article is to attempt to synthesise the lessons from at least four different ways of looking at the South Africa wine industry: economics, climatology, viticulture, and the sociology of work.

Design/methodology/approach

The economic performance of South Africa's wine industry since democratisation in the early 1990s is reviewed, as is the effect of climate change on the industry. This is followed by an assessment of possible strategies for building international competitiveness whilst simultaneously coping with the effects of climate change.

Findings

While industry systems should allow the marketing of speciality wines (e.g. from a single vineyard, from a single estate), this is not a viable strategy for most wine producers. Furthermore, climate change will lead to volatility in the characteristics that identify different terroirs.

Practical implications

Industry strategies should rather focus on the benefits of diversity, but with a range of adaptations that will also result in better quality wines. These encompass quality; geographic location; viticultural practices; the style of wines and the renewal of skills. In synthesising this argument, the authors then consider whether such a strategy could enhance or hinder greater international competitiveness for the industry.

Originality/value

The results can be taken into consideration by policy makers and industry stakeholders in designing future strategies.

Details

International Journal of Climate Change Strategies and Management, vol. 4 no. 4
Type: Research Article
ISSN: 1756-8692

Keywords

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