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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: 31 May 2013

Liz Thach, Steve Cuellar, Janeen Olsen and Tom Atkin

The purpose of this paper is to compare and contrast wine sales in neighboring franchise law and non‐franchise law states in order to determine impact on wine price, consumer…

Abstract

Purpose

The purpose of this paper is to compare and contrast wine sales in neighboring franchise law and non‐franchise law states in order to determine impact on wine price, consumer choice, consumer satisfaction, and stakeholder perception.

Design/methodology/approach

The study used qualitative interviews with 14 wineries, distributors, and retailers, statistical analysis of Nielsen Scantrack data, and an online survey of 401 wine consumers in Georgia and Florida, USA.

Findings

Results show statistical proof that Florida offers more wine selection and lower wine prices on matching brands than Georgia. Qualitative interviews indicate wineries, distributors, and retailers perceive differences in wine choice, price, and overall operating costs in these two states. However, there was no statistical difference between a sample of 401 consumers from Georgia and Florida when asked about their satisfaction level with wine choice and pricing within their state.

Research limitations/implications

For practical purposes, the research was limited to only two US states. It would be useful to duplicate this study in other states.

Practical implications

Practical implications include the need for new wineries desiring to enter franchise law states to carefully research regulations and distributors before making a commitment, as well as the social issue of less wine choice and higher prices for consumers in Georgia versus Florida.

Originality/value

This is the first empirical study in the USA to focus on the impact of wine franchise laws on consumer choice and wine price. It yields useful information that contributes to the body of knowledge for wine and policy research.

Details

International Journal of Wine Business Research, vol. 25 no. 2
Type: Research Article
ISSN: 1751-1062

Keywords

Article
Publication date: 1 January 2004

Simone Müller

The German wine law has been made responsible as one of the reasons for the critical market position of German wines inside and outside Germany. As a consequence, a new wine law

Abstract

The German wine law has been made responsible as one of the reasons for the critical market position of German wines inside and outside Germany. As a consequence, a new wine law (the profile wine concept) has been introduced in year 2000. As consumers are increasingly looking for variety and change the wine denomination becomes a critical purchasing criterion beside bottle and brand design. The main function of a wine law is to reduce the perceived purchasing uncertainty of consumers. We analyse the factors that determine the degree of consumer uncertainty when buying wine. This uncertainty can be reduced by the information economics mechanism of signalling. We derive signalling requirements that an efficient wine law should fulfill. Subsequently we analyse how the former German wine law and the new profile wine concept comply with these requirements by analysing their effects on three distinctive consumer groups within the concept of the triangle of goods characteristics. We conclude by opposing governmental regulation on the wine market with possible self regulation possibilities within the industry.

Details

International Journal of Wine Marketing, vol. 16 no. 1
Type: Research Article
ISSN: 0954-7541

Keywords

Article
Publication date: 27 September 2022

Vicki Catherine Waye, Laura Rocca, Monica Veneziani, Christine Helliar and I. Gusti Ary Suryawathy

This study explores the impact of institutions, policies, and regulations at the global, national, and sectoral levels on digitalisation within the Italian and Australian wine

Abstract

Purpose

This study explores the impact of institutions, policies, and regulations at the global, national, and sectoral levels on digitalisation within the Italian and Australian wine industries.

Design/methodology/approach

Drawing on qualitative research data collected from interviews with key personnel in the wine industry, this study shows that both jurisdictions are at a similar stage of emergent digital development despite very different settings.

Findings

Accordingly, the authors find that digitalisation is constrained by common policy and regulatory issues emanating at the global and national levels, such as a lack of data infrastructure and data governance, and the need for institutions at the local and regional levels to spur innovation, especially with SMEs.

Originality/value

This is the first study to analyse the role of policy, regulation, and institutional arrangements in digital diffusion using a cross-country comparison of the wine sector.

Details

British Food Journal, vol. 125 no. 5
Type: Research Article
ISSN: 0007-070X

Keywords

Article
Publication date: 1 February 1976

Government appointed and sponsored committees of every description—select, ad hoc, advisory, inquiry—such a prominent feature of the public scene since the last War, are…

Abstract

Government appointed and sponsored committees of every description—select, ad hoc, advisory, inquiry—such a prominent feature of the public scene since the last War, are understandable, even acceptable, reflect the urgency of the times in which we live. In the gathering gloom of more recent twilight years, they have flourished inordinately, especially in the socio‐political field, where most of their researches have been conducted. Usually embellished with the name of the figure‐head chairman, almost always expensively financed, they have one thing in common—an enormous output of words, telling us much of what we already know. So much of it seems dull, meaningless jargon, reflecting attitudes rather than sound, general principles.

Details

British Food Journal, vol. 78 no. 2
Type: Research Article
ISSN: 0007-070X

Article
Publication date: 12 March 2018

Connie Everett, Kimberly Jensen, Christopher Boyer and David Hughes

This paper aims to identify factors influencing the likelihood of consumers trying muscadine wines and among those who have tried them, willingness to pay (WTP) for an in-state…

Abstract

Purpose

This paper aims to identify factors influencing the likelihood of consumers trying muscadine wines and among those who have tried them, willingness to pay (WTP) for an in-state produced muscadine wine.

Design/methodology/approach

The study uses a 2015 survey of wine consumers residing in Tennessee (TN). The survey presented respondents with a referendum choice experiment between a ‘base’ wine (represented by a North Carolina (NC) muscadine wine) and a TN muscadine wine. The study uses probit regressions to estimate factors influencing the probability of trying muscadine, and those influencing TN muscadine wine choice. Estimates of WTP for TN muscadine wine are derived from the model coefficients.

Findings

Older age, living in non-metro households being a weekly wine consumer, preferring red wines, and having visited a winery in the past year positively influence trying muscadines. Older age, liking muscadines and lower product price positively influence TN muscadine choice. Greater importance of wines being local and premiums paid for local foods have positive influences on trying muscadines and WTP for TN muscadine wine. A premium WTP for a TN muscadine over a NC muscadine exists among TN consumers. Among the most influential reasons why consumers chose the TN muscadine were beliefs that purchasing local wines helps local wine grape growers and local economies.

Originality/value

This study provides the muscadine wine industry with estimates of WTP for locally produced muscadines and demonstrates that attitudes toward local wines and premium paid for local foods positively influence trying muscadine wine and WTP for locally produced muscadine.

Details

International Journal of Wine Business Research, vol. 30 no. 1
Type: Research Article
ISSN: 1751-1062

Keywords

Article
Publication date: 22 August 2008

Robert J. Harrington and Michael C. Ottenbacher

This exploratory study aims to investigate the national adoption of international wine industry trends in Germany. Specifically, the paper consider this adoption as perceived by…

Abstract

Purpose

This exploratory study aims to investigate the national adoption of international wine industry trends in Germany. Specifically, the paper consider this adoption as perceived by luxury German wine producers in three wine regions. This study addresses two main questions: what impact do regional German traditions have on techniques used by small wine producers in the super‐premium + segment? Are these traditions balanced with the adoption of New World techniques and trends in viticulture and viniculture?

Design/methodology/approach

Due to the complex nature of the research questions and to provide rich, meaningful descriptions, this study adopted a qualitative method. The researchers did semi‐structured interviews with five highly respected German winemakers in the Rheingau, Württemberg and Baden regions.

Findings

This study shows that German wine producers are heavily influenced by Old World philosophy and traditions as well as New World concepts and technology. Successful wine producers appear to create a balance between the gastronomic identity of the region with advantages of new technologies, business models and trends. Research limitations/implications – The study has been conducted in only three wine regions in Germany. In addition, this study employed the case study approach. Future research could use large sample proposition testing to investigate if the findings from this study can be statistically confirmed and are applicable to other countries.

Practical implications

German wine producers can learn much from New World business models. In particular, revised organizational forms that allow wine producers increased access to travel and promotion of products can assist in increasing demand for quality products as well as on‐going learning through interaction with others in the industry.

Originality/value

German wine is an important subject for academic study, however, it is under‐researched. This exploratory study provides several implications for small to medium‐sized wine producers in Germany.

Details

International Journal of Wine Business Research, vol. 20 no. 3
Type: Research Article
ISSN: 1751-1062

Keywords

Article
Publication date: 9 November 2010

Catherine Viot and Juliette Passebois‐Ducros

The purpose of this paper is to show that the branded wine concept refers to a very heterogeneous category as regards wine made in France, but this sort of wine can appeal to…

3657

Abstract

Purpose

The purpose of this paper is to show that the branded wine concept refers to a very heterogeneous category as regards wine made in France, but this sort of wine can appeal to certain types of consumers.

Design/methodology/approach

An initial qualitative study was carried out to explore consumer representation as regards branded wine. A second, quantitative, study enabled us, through a cluster analysis, to identify brand‐sensitive consumer segments in the wine field.

Findings

There is a divergence in consumer representation between novices and experts. The former considers A.O.C.s (Appellation d'Origine Contrôlée, a French official label of protected geographical indication) and regions as brands while the latter have a narrower vision of what a branded wine means. The “discoverers”, the youngest consumers (18‐29 years old), who are interested in wine and have little knowledge of it are most liable to be influenced by wine brands. The novices and routine consumers are also brand sensitive but to a lesser degree. The experts, on the other hand, are not influenced by brands.

Research limitations/implications

The influence of the brand derives from the declarative. A more indirect measure which mixes the brand with other wine attributes would be preferable. The use of a sample of convenience means results can only be generalized with caution.

Practical implications

There indeed exists a place for branded wines on the French market but an association is needed with other attributes such as the origin and/or the grape variety.

Originality/value

Little research has been devoted to the French consumer's acceptance of branded wines.

Details

International Journal of Wine Business Research, vol. 22 no. 4
Type: Research Article
ISSN: 1751-1062

Keywords

Article
Publication date: 26 September 2023

Damien Wilson, Maxwell Winchester and Michael S. Visser

This study aims to understand the degree of predictability and value in analyzing consumer purchase patterns in the US wine retail market. The study considers whether brands in US…

Abstract

Purpose

This study aims to understand the degree of predictability and value in analyzing consumer purchase patterns in the US wine retail market. The study considers whether brands in US wine retailing follow the well-established Duplication of Purchase Law and Double Jeopardy Law.

Design/methodology/approach

Over 20,000 customer panel wine purchases were analyzed from a number of locations within a supermarket chain based on the West Coast of the USA. Cross-purchasing behavior for the top 20 wine brands by market penetration was analyzed to assess whether the well-established Duplication of Purchase Law and Double Jeopardy Law hold up in this wine retail setting in the USA. The degree of predictability and the existence of anomalies in expected cross-purchasing behavior were identified in the analysis.

Findings

Results confirmed a Double Jeopardy pattern and that wine cross-purchasing patterns for the most part followed the Duplication of Purchase Law. However, exceptions to these patterns were found, which indicated areas in need of managerial attention due to the potential to remedy, develop or monitor the most prominent variations between predicted and realized cross-purchasing behavior. Repeated identification of variations has been identified in other product categories, known as market partitions.

Originality/value

Although it is commonly believed that wine is a unique product category, the results of this study demonstrate that consumer behavior toward wine is similar to other fast-moving consumer goods. The exceptions suggest that while similar consumer purchase patterns are evident, consumers are more likely to cross purchase wine brands and grape types more than would be expected given Duplication of Purchase Law benchmarks.

Details

International Journal of Wine Business Research, vol. 35 no. 4
Type: Research Article
ISSN: 1751-1062

Keywords

Article
Publication date: 7 June 2019

Damien Wilson and Maxwell Winchester

This study aims to understand the market structure and explore the applicability of recognised generalisations to a European wine retail market. The study considers whether brands…

Abstract

Purpose

This study aims to understand the market structure and explore the applicability of recognised generalisations to a European wine retail market. The study considers whether brands in European wine retailing follow the established double jeopardy and duplication of purchase laws, with the aim of investigating their limits so as to identify where market partitions are evident.

Design/methodology/approach

The researchers conducted a cross-purchasing analysis within the wine category over a 12-month period, using a customer panel of n = 25,000 across a chain of independent retail stores in an English-speaking European country. Analysis was conducted across purchases of the top 20 wine brands.

Findings

Consumer wine repurchase results confirmed a double jeopardy pattern. These consumers’ wine repurchasing behaviour from other top-20 wine brands could have generally been predicted in line with the duplication of purchase law. However, a small number of exceptions to these patterns were identified, suggesting the existence of market partitions.

Research limitations/implications

In this study, market partitions were evident for selected brands, a wine region and a common grape variety, Sauvignon blanc. Such exceptions illustrate that consumer purchase patterns can deviate from predictions, for a small number of brands in a consumer goods category than would be expected given duplication of purchase law norms. Such anomalies to empirical generalisations help demonstrate boundary conditions and lead further research on the market conditions required for such anomalies to be evident. Implications suggest that further research should be conducted on the product features creating market partitions.

Practical implications

The findings suggest that regional wines can appeal to a more clearly partitioned customer group within the clientele, but that substitution is noted among brands within regions.

Originality/value

To the best of the authors’ knowledge, this is the first study to use a large sample consumer database to determine the generalisability of two well-established empirical generalisations: the double jeopardy and duplication of purchase laws, to the wine retail market. Knowing these are applicable to the wine retail markets allows wine producers and retailers to predict expected repurchase and cross-purchasing norms.

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