Identifying wine consumers interested in environmentally sustainable production practices

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Abstract

Purpose: This study aims to characterize several wine consumer segments who were “likely” to sample (i.e. taste before purchasing) wine from vineyards using cover crops, a sustainable production practice that reduces herbicide applications, and identify those with a greater probability of being a viable target market based on survey responses. Design/methodology/approach: A total of 956 wine consumers from the Mid-Atlantic and boarding US states were separated into segments based on an ECHAID (exhaustive Chi-square automatic interaction detector) classification tree from internet survey responses. Findings: Out of the 12 created segments, 6 (n = 530, 72% of training data) contained participants who were at least 1.02 times (index score =102%) more “likely” to try the wine compared to the overall sample and were willing to pay $18.99 for a 750-mL bottle of the wine, which included a $1 surcharge to cover associated production costs. Of these, three (n = 195, 26%) had the greatest potential for which a marketing plan could be developed (index scores of 109%–121%), with over half in each segment willing to pay $20.99 for the bottle of wine, which could motivate growers to consider implementing this sustainable strategy. Originality/value: Although several segments of participants were “likely” to sample the sustainably produced wine, an ECHAID classification tree allowed us to identify participants who would not pay $18.99 for a 750-mL bottle of wine, even after learning about the use of cover crops and the trade-off ($1 bottle surcharge). By narrowing the number of potential “likely” segments to those with a greater potential of sampling the wine, more purposeful marketing strategies can be developed based on demographics, attitudes, and behaviors defined in the model.

Original languageEnglish (US)
Pages (from-to)86-111
Number of pages26
JournalInternational Journal of Wine Business Research
Volume34
Issue number1
DOIs
StatePublished - Feb 2 2022

All Science Journal Classification (ASJC) codes

  • Business, Management and Accounting(all)

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