Luigi Galletto

Determinants of WTP for Prosecco wine: A latent class regression with attitudinal responses

Purpose – Under investigation is Prosecco wine, a sparkling white wine from North‐East Italy. Information collection on consumer perceptions is particularly relevant when developing market strategies for wine, especially so when local production and certification of origin play an important role in the wine market of a given district, as in the case at hand. Investigating and characterizing the structure of preference heterogeneity become crucial steps in every successful marketing strategy. The purpose of this paper is to investigate the sources of systematic differences in consumer preferences.Design/methodology/approach – The paper explores the effect of inclusion of answers to attitudinal questions in a latent class regression model of stated willingness to pay (WTP) for this specialty wine. These additional variables were included in the membership equations to investigate whether they could be of help in the identification of latent classes. The individual specific WTPs from the sampled respondents ...

Consumers WTP for Wine with Certified Origin: Preliminary Results from Latent Classes Based on Attitudinal Responses

This article investigates preference heterogeneity of wine consumers by using latent class models based on attitudinal questions. Such responses turn out to be an important source of additional information when the goal is to identify different groups of people with a similar wine preference structure. We assume that preferences are latent and the responses to attitudinal questions are the visible effect of this latent heterogeneity. In this study evidence is found of four different classes of respondents with similar response patterns. We focus on preferences for a well-known wine, the Prosecco, and use a sample of the population in the area of production. For each preference-class we estimate a class-specific WTP (willingness to pay) equation for this wine, so as to estimate the class responsiveness of WTP to various determinants. Estimates for a four-class model are discussed in detail to illustrate the potential of this approach in characterizing the preferences of local consumers for the two most common certifications of origin.

More crop for drop - climate change and wine: an economic evaluation of a new drought-resistant rootstock.

The current paper presents the results of an economic evaluation of a new drought-resistant rootstock (M4), capable to maintain in adverse environmental conditions high photosynthetic activity, to accumulate osmotic compounds and to compensate for the accumulation of sodium and chlorine in the grapevines, in two core Italian grapevine growing areas: the North-East and Sicily. After collecting data on quantitative (yield per plant in kg) and qualitative parameters (°Brix, anthocyanins, pH) of experimental vineyards (Cabernet Sauvignon variety) planted using the traditional rootstock 1103P and the innovative M4 rootstock, over a seven-year period, a cost-benefit analysis calculated the effects of replacing the traditional rootstock. The results show that M4 rootstock yields higher net revenues compared to the best situation of 1103P rootstock, roughly in 40% of North-East vineyards and in more than 80% of their Sicilian counterparts. In addition, 14% of North-East vineyards and more than 94% of Sicilian vineyards are currently exposed to drought risk, and these areas are expected to increase in the coming years. Thus the M4 rootstock, as other related innovations [51-53], could significantly improve watersaving strategies, which are gaining increasing attention from both public bodies and wine companies.

The Liberalisation of Planting Rights in the Eu Wine Sector

The study analyses the theme of production potential regulation and of the planned abolishment of the planting rights regime considering the constraints defined by the CAP evolution, the current situation of the market, the role in the market of different regions and the structural complexity of the European wine industry. The study, starting from the analysis of the implementation of the planting rights regime across the EU and through an investigation of what could be the effects of the abolishment of the planting rights regime, defines which should be the policies to: a) counterbalance the effects of the liberalization of plantation; b) improve the functioning of the planting rights regime by implementing a new mechanism of functioning.

Politiche di valorizzazione nella filiera vitivinicola

The wine market is strongly differentiated according to consumer’s expectations as well as firm’ strategies while the competitiveness among wine companies has increased over time. However, the success on the market changes dramatically among firms, production areas, types of wine, etc. The paper presents main features of Italian wine market with special attention to strategies adopted by firms along the wine supply chain, the enforcement of Vqprd wine system, the impact of promotion strategies on international wine market. The methodology for wine market analysis has been firstly figured out. The market theory about monopolistic competition or oligopoly power cannot fully explain the dynamic of wine sector over time as well as the features and behavior of wine firms. Thus, approaches based on strategic groups or Porter’s cluster competitiveness seem to fit better what has happed in wine sector. The role of wine sector goes beyond the market involving a strategic role on the territory, especially in marginal areas, on the environment (e.g. landscape), on the tourism (e.g. enotourism). Peculiarities of Italian wine market have also emphasized at both supply and demand side showing factors which driving and affecting the features of wine firms. This analysis has figured out a quick response of wine companies to consumer preference changes at both national and international level. Market trends such as the increasing in Vqprd wines, the shift from draft to bottled wines or the strong increase in price differentiation and quality have been boosted by the innovation processes in grape production, wine making, supply chain arrangements and marketing activities about product (e.g. packaging), communication and distribution channels. Further the strategic analysis has been focused on two key aspects: the role played by Consortia in reinforcing the reputation of collective brands such as docg/doc wines and the effect of wine promotion in extra ue countries. Recently, the role of Consortia has been reviewed. The institutional task about controls over grape and wine production has been shifted to private and independent agencies while new arrangements have been set up. Among them the control over supply and policy actions at consumer level. Other traditional activities such as the protection of collective brands on international markets and the promotion have been reinforced, especially on Consortia involving a high share of producers, since financial support is now afforded by all producers regardless their membership to the Consortium. However, only a few Consortia are able to carry out these activities since many of them have a low representativeness. The case of Prosecco Consortium is then presented showing the effect of the reform of denomination of origin which has restricted the use of Prosecco to docg/doc areas only. Finally, the Italian promotion activities on third countries, financed by the wine cmo, have been outlined. Results suggest an high attention towards north American countries while promotion in Eastern countries has increased in the last year.

Le aziende vitivinicole del distretto del Prosecco DOC di Conegliano Valdobbiadene: un’analisi campionaria delle innovazioni, dei rapporti distrettuali e del posizionamento strategico

The aim of this study is to examine the innovations, the relationships and the strategic positioning of a sample of wineries belonging to the “Prosecco COD of Conegliano Valdobbiadene District”. The survey was carried out by means of a questionnaire, answered by directly interviewing wine makers. The main findings suggest that there are many small wineries and, on the other hand, few large firms. This fact provides evidence for a “Marshallian District”, where a push to innovations, in particular in viticulture and enology, takes place. The network of relationships is strong from the production viewpoint, but it is weak in terms of communicability among producers, who do not trust too much in some local institutions. With reference to strategic positioning, the high quality of the product is a common feature.

La multifunzionalità nel distretto del Prosecco DOC Conegliano Valdobbiadene

The article examines the multifunctionality issue in a highly specialized wine area, which is the Prosecco DOC di Conegliano Valdobbiadene, based on a sample survey of producers. In addition to a descriptive analysis of the many aspects that contribute to the farm multifunctionality, we put forward a synthesis index (IMF) and the identification of some multifunctional typologies by means of cluster analysis. The results provide a picture with lights and shadows, where two well-defined typologies emerge. They show a good or high multifunctionality rate, in comparison with the majority of the farms, which are still predominantly oriented to the main production (Prosecco grape or wine) and poorly oriented to multifunctional agriculture. IMF’s variability remains largely unexplained by some structural variables, which, on the other hand, have proved to affect some of the IMF components.

Situation and Perspectives of Organic Meat in Italy

Although organic meat consumption has recently shown a great percentage growth in some EU countries, different problems have risen in order to supply the markets with adequate levels of organic meat, especially in countries like Italy where conventional meat production is based mostly on very intensive methods.