Nelson Barber

Capturing the younger wine consumer

This study examines the importance of market segmentation and consumer characteristics, such as product knowledge, purchase confidence, and generational differences during the purchase decision. By segmenting consumers in this manner, it is possible to better understand their concerns and motivations aiding wine producers and retailers in directing their marketing and advertising efforts. The results of this study indicate that they are differences in how the younger generations view information sources and that marketing to the Generation X would require direct and to the point advertisements that create a product image closest to this groups views and for Millennial, reflecting on images of friends sharing wine.

Purchase Attributes of Wine Consumers with Low Involvement

Abstract The past decade has seen a dramatic increase in wine consumption. With this increase comes the need to understand how consumers choose wine. Wine consumers have different types of experiences and expectations, and a one bottle fits all method of catering to wine consumers is not an appropriate marketing strategy. Consumer segmentation based upon involvement with wine is critical to understanding buying behaviors. This study used factor analysis and logistic regression to identify the wine novice and what marketing cues they use to purchase wine. The results identified key marketing cues wine novices use to purchase wine and revealed yet another involvement category: the emerging wine learner.

Environmental Sustainability in the Hospitality Management Curriculum: perspectives from Three Groups of Stakeholders

Debate about sustainability centers on the responsibilities of consumers and businesses working towards a sustainable future with a new focus on business management. This focus should be considered as a key component within undergraduate hospitality management programs with varied courses, content and sequencing. Graduates would possess a range of perspectives and competences increasing awareness of good sustainable business practices. To develop a meaningful curriculum model, three stakeholders (students, educators, and industry professionals) were assessed on their perspectives of environmental sustainability, its importance in hospitality curricula, and suggestions for course content and pedagogic approaches. The results suggest significant differences between the groups in their attitudes, behaviors, interest in sustainability, importance of environmental issues and topics in the curriculum.

Assessing the Relationship of CEO Compensation and Company Financial Performance in the Restaurant Segment of the Hospitality Industry

Abstract There is a perception that little relationship may exist between company performance and CEO compensation. CEOs have personal goals that can conflict with the interests of shareholders. One approach to resolving this has been to align the incentives of executives with the interests of the shareholders. This solution may affect how top executives behave, and the caliber of executives an organization attracts. Using the Nations Restaurant News Stock Index, this study examined the correlation between company performance and CEO compensation in the restaurant industry. Results show that a positive correlation exists, although weak, among CEO compensation, gross revenue, net income, and stock price. Regression analysis indicated that stock price was a statistically significant predictor of CEO compensation.

Environmental attitudes towards wine tourism

Wine tourism marketers frequently seek new ways to promote destinations, often executing ecologically sustainable practices. As consumer environmental knowledge of a wine tourism destination increases, consumer attitudes change, influencing perceptions of the environmental policies of a wine region. In this consumer-driven economy, it is therefore important to search for effective ways to market destinations, and one approach is selective marketing. By focusing on consumers in this manner, it is possible to understand better their concerns and motivations, which should aid in marketing and advertising efforts. This study investigated wine consumers environmental concerns and attitudes about wine regions. Results suggest environmental attitudes differed by demographics regarding the impact of wine tourism, providing ideas on further marketing efforts for those involved in wine tourism.

CEO Turnover in the Foodservice Industry: Is There a Relationship to Key Financial Performance?

The foodservice industry has grappled with turnover at the operational level for many years, and at the managerial level turnover appears to be greater than in other industries. At the corporate level, it appears to be increasing; whats more, the individuals at this level (executive managers and boards of directors) are ultimately responsible for the strategic direction and financial success of a business, and excessive turnover could affect the capacity for growth and constrain profitability. This study examined the relationship between firm performance and CEO turnover in the restaurant segment of the hospitality industry. Logistic regression indicates that negative stock and accounting returns can be a good predictor of turnover. In addition, the results of this study suggest another stage of life cycle development, representing rebirth or a “postlisting life cycle.”

Wine packaging: marketing towards consumer lifestyle to build brand equity and increase revenue

The wine industry considered product quality as key to increasing competitiveness. However, when wines are perceived quality neutral, regardless of other existing differences, consumers will substitute one wine for another exposing producer to intense price competition. To differentiate wines, a determination of what values consumers place on wine packaging may be established in other dimensions such as environmental or functional benefits with current research suggesting these values go further than quality and price. Linking the techniques of revenue and brand management may provide a winery with revenue growth and customer loyalty. This study examined dimensions of wine packaging equity, benefits wine consumers seek and the motivational preferences and relationships between consumer lifestyles. Results indicated that wine packaging equity originates in four motivational factors that are strong predictors of preferences. Linking dimensions of packaging equity to consumer lifestyle, demographic and behavioural variables allow marketers to tailor communication strategies closely to markets for potential revenue enhancement.

Maximizing Shareholder Wealth: Understanding Systematic Risk in the Restaurant Industry

ABSTRACT Investors describe the uncertainty of a businesss success or failure as risk, and managers must monitor this risk because it affects a companys cost of capital, market value, and ultimately shareholder wealth. Using regression analysis, this study reexamined how the systematic (market-related) risk of a companys common stock is linked to corporate behavior and financial performance. The results suggest that properly investing excess cash flow in operating assets and high asset turnover may lower systematic risk and, depending on a companys stage of development, director turnover may increase systematic risk.

Blanching Bones in Stock Production: Is this a Wasted Step?

Research was conducted to study the impact that blanching meat and bones has on chicken stock production. Traditional chicken stock was made using the blanching process and then compared to a similar but unblanched product. Objective testing was accomplished by taking colorimeter pictures in the Hunter Lab scale. Subjective testing was done using human subjects as sensory testers. This experiment suggested that there were detectible differences in flavor, aroma, and visual appearance between the two products. In addition, the sensory testers overwhelmingly preferred the unblanched product.

Desirability bias and perceived effectiveness influence on willingness-to-pay for pro-environmental wine products

Purpose Consumer marketing suggests that greater concern for the environment is impacting purchase behavior. Recent surveys into US pro-environmental (PE) purchase patterns show a considerable gap between consumers’ attitude and actual behavior regarding PE products. What these products have in common is a normative component. This research aims to understand whether perceived consumer effectiveness (PCE) and social desirability bias (SDB) influence consumers’ purchase decisions regarding PE wine products and willingness to pay (WTP). Design/methodology/approach To assess whether PCE and SDB influence consumer’s actual WTP for PE and conventional wine despite normative beliefs (NBs), two studies with sample sizes of 117 and 124 were conducted in the USA. The first part of each study involved surveying participants as to their NB, SDB, PCE and demographics. The second part of the study measured their actual WTP through participation in an experimental auction. Findings Consumers with high levels of NBs were significantly more likely to pay higher premiums for PE wines compared to non-PE wines and had higher levels of PCE, suggesting that they believe their purchase behavior makes a difference to the environment. However, this same group is strongly influenced by SDB, indicating that they may “over-report” desirable behaviors. Controlling for PCE and SDB, the significant difference in price for PE wine and non-PE wine was mitigated. Those with lower NBs were just the opposite, less concerned whether their purchase behavior directly impacts the environment, feeling that non-PE wine may be a better value proposition. Research limitations/implications The use of an auction method to assess actual behavior may be skewed by the attempt to get a winning bid, and this research was conducted in one particular part of the USA, which limits the generalizability of the results to other parts of the country or world. Originality/value The findings from the current research provide important information for wine producers, distributors and retailers, specifically the development of marketing and branding strategies, and as a method for normative product/brand differentiation in a competitive marketplace.