Designing brand strategies for lesser-known wine regions

Ronald W Rittinger

Prof. Subodh Bhat

BUS 899

August 12, 2010

Overview

This paper explores the scope of scholarly research on wine tourism and destination

branding. Using this research as a foundation, it seeks to answer the question: how

does one design and implement a brand strategy for a lesser-known, or unknown, wine

region? The promotion of regional identity has merit: Johnson and Bruwer (2007) as-

sert that a larger regional image has more associative power than the diluting effect of

American Viticultural Areas (AVAs). While relevant and recent research points out a lack

of study in the area of destination branding, some articles have approached the subject

and offer suggestions for the wine tourism industry in particular. This paper will survey

the research obtained and attempt to deliver preliminary solutions for regional marketers

that wish to push the location of their productʼs origin to the front of their marketing mes-

sage.

Research Methodology

In this research I relied on the ProQuest search tool using different combinations of

keywords. I limited my selections to peer-reviewed articles only. After discovering the

vast amount of tangential information available in general media on the topics searched,

I decided to keep the research applicable to a scholarly project. As a secondary starting

point, relevant articles were chosen from the bibliographies of certain articles. In the

appendix, articles are listed by the keyword search that located them, or, the bibliogra-

phy from which the title was taken.

Kellerʼs influence and CBBE

I used Kevin Kellerʼs Customer Based Brand Equity (CBBE) as a framework to un-

derstand how to develop a branding strategy for a place as a producer of a specific

product: wine. From the perspective of the four building blocks (identity, meaning, re-

sponses, and relationships), successful destination branding strategies in wine tourism

have found their strength at the top of Kellerʼs pyramid. On the surface, it is easy for

consumers to identify a place and similarly easy to understand it. However, the chal-

lenge starts at developing the meaning and the relationship with consumers. This is

why so many successful campaigns have relied on experiential outreach in the form of

festivals or in competitions that assert product quality as a derivative of place of origin,

i.e. a winning wine in a competition lends meaning to the place where the grapes were

grown.

Furthermore, I paid special attention to the breadth of images that consumers might

associate with a region. In order to create a brand image for a region, marketers will

rely on a portfolio of products and experiences that contribute to the whole of a brand.

Wine may be the one of the most prominent associations, but research suggests that

itʼs not enough.

This brings up the question of whether or not there is room for an outside-in ap-

proach where rather than the associations of the place reinforcing the brand equity of

the product (wine), but it goes the other way around. In his chapter on Leveraging Sec-

ondary Brand Knowledge to Build Brand Equity, Keller discusses the advantages of lev-

eraging country of origin and geographic area to reinforce consumersʼ expectations

about a product. Sharing a place of origin can leverage associations that elevate a

product, especially wine, within its category. But if that idea is turned around, so that

regions depend on wine and other products in the portfolio to support, and hopefully

elevate, the its brand image then itʼs a whole new challenge. This is what makes re-

gional branding so difficult.

Destination Branding and Place-based Marketing

Balakrishnan (2009) cites the lack of research in destination branding. She explains

that most of the research is devoted to image or logo design, so she expands her focus

to develop a larger strategy for developing regional brands. She identifies five elements

of successful regional branding strategies:

(1) Vision and stakeholder management.

(2) Target customer and portfolio product matching.

(3) Positioning and differentiation strategies.

(4) Communication strategies.

(5) Feedback and response management.

Each of these components are familiar to brand managers, however Balakrishnan

sheds new light on their relationships within the context of branding a place. She em-

phasizes that similar brand strategies apply to products and services, especially with

respect to combining tangible and intangible elements. Ultimately, her conclusions echo

Kellerʼs brand development processes with regard to positioning (uniqueness) and

choice of elements (images), but she offers useful guidance in “tangiblizing” an experi-

ence which seems especially useful to wine: visitors can take home a product of the re-

gion that delivered a larger experience.

Place-based marketing fosters sustainable competitive advantage because it is a

product attribute that cannot be shared (Thode, 1998). The place of origin is a standard

of uniqueness by which consumers can identify a brand. In an environment where a re-

gionʼs marketers must use shared many shared elements of other wine producers (Wil-

liams, 2001), the challenge is to seize on those identifiers that set a particular region

apart.

Wine Tourism

Alant and Bruwer (2004) argue that although primary motivations for wine tourists

are tasting and buying wines at cellar doors, the secondary motivations are relaxation

and pleasure. This further demonstrates the opportunity to build relationships with con-

sumers through various experiences. Their research posits a valuable framework that

seeks to dispel any generalizations that might be applied to the motivations of wine tour-

ists by illuminating links between the sources. In fact, the framework contains its own

Visit Dynamic that measures the relative influence of the geographic location.

Getz and Brown (2006) further discuss the importance of a wide range of experi-

ences to attract visitors to a wine region. They offer critical success factors for the re-

gion by identifying key components of a visit from the consumerʼs perspective. The

components fall into three categories that bolster support for a holistic approach: (1)

core wine product, (2) core destination appeal, and (3) the cultural product. This article

also touches on the “generational challenge” faced by wine marketers in an effort to un-

derstand how to lure younger consumers to a market that favors more mature partici-

pants, e.g. “baby-boomers.” The consumer experience plays an even greater role in

addressing this concern. In discussing possible communication strategies for marketing

wine to millenials, Barber et al. (2008) suggest messages that communicate wine en-

joyed in the company of friends. The importance of a shared experience as a motivator

for purchase is specifically effective among this segment, but this principle can be ex-

tended to all wine consumers, regardless of demographic.

Scherrer et al (2009) use the Canary Islands as context for exploring the tension be-

tween the wine and tourism industries. The article points our both factors that both fa-

cilitate and impede the development of a destinations image. Their research argues for

the incorporation of local and rural-based experiences with mass marketed tourism

packages. This highlights the power of targeted cultural messages to promote a re-

gionʼs uniqueness, even to less involved consumer.

Lockshin and Spawton (2001) use Australia as an example of branding and use of

brands to promote wine tourism. And in contrast to the Canary Island case, they con-

clude that proper segmentation is essential to developing brand equity, with specific ac-

knowledgement of the differences between high and low involvement customers. Identi-

fying levels of involvement in wine consumers is part of developing long term relation-

ships. Elsewhere, Lockshinʼs other research offers hope for lesser-known regions: in

some instances, a lesser-known region can command premium prices from high in-

volvement customers. In this article, (Lockshin et al., 2004) the authors not only draw

this conclusion but also prove that high regional awareness can positively influence pur-

chase regardless of consumer involvement.

Experience elements of regionʼs image

Pitta (2007) offers a case study of the Nassau Valley Vineyards region in Delaware.

He talks about the building blocks of brand equity and argues that not only are prizes

important in setting a region apart, but activities designed to gain “share of heart” play a

role. These activities can be as varied as the efforts of knowledgeable staff who reach

consumers through personal, direct selling; the availability of seasonal events including

concerts and festivals; and even private labeling services for consumers to have their

brand in the region.

Alonso et al. (2008) examines the role of the tasting room experience in promotion of

a localityʼs wines. In a limited study that also focuses on the Canary Islands region, the

authors noted that the winery visit provides an educational experience directly linked to

the development of wine tourism in the region. The article also first proposes a link be-

tween improving quality of the wines in the development of a brand image, which puts

the pressure on the product to uphold the brandʼs promise.

Proof of the relationship between wine and a regionʼs cultural experience can be

found in Brown & Smith (2010). The researchers also introduce the concept of “serious

leisure” in which amateurs, hobbyists or volunteers undertake activities that will result in

the acquisition of skills or knowledge leading to a career in the selected pursuit. They

use the experience of wineries in North Carolina to show the potential power of promot-

ing wine tourism as serious leisure to strengthen broader regional associations that will

reach various types of wine consumers.

Kapferer (2001) discusses the difficulty inherent to developing local brands in global

economy. While the article mostly focuses on the regional brands of larger multination-

als, some of the strategies he offers can be extrapolated to smaller (local) wine region

brand development. He offers three approaches that have been used by companies to

promote local brands. The first is the use of penetration pricing techniques, a practice

familiar to smaller winery owners. In the interviews conducted by Brett Greenbaum, he

identified this strategy as one employed by Nils Venge to foster that initial purchase to

begin the relationship with a customer.

As a second approach, Kapferer touts the use of cultural identifiers to single out a

regionʼs uniqueness. This seems to most appropriate to wine regions, as it offers a way

“in” for consumers in understanding how the region can pertain to them. Conversely,

the third approach is called the “chameleon” approach where the region makes no effort

to distinguish itself, and attaches itself to an opposite identity in an effort to appear less

provincial. In the context of wine tourism, this third approach is the least applicable.

Conclusion

Clearly, in designing and implementing a brand strategy for a wine region, the pro-

motion of a “holistic” experience that goes beyond wine tasting and purchase is most

effective. The use of festivals, competitions, and cultural events has been cited as a

successful strategy for communicating a regionʼs brand image. When marketers em-

brace the portfolio concept of tangible products and experiences, they can develop a

regional brand that will appeal to both high involvement and low involvement customers.

Rarely does a single wine put a region on the map, but regional branding is long term

process that depends on a range of associations.

Research supports the value in creating regional brand. Not only are these associa-

tions more powerful in the mind of wine consumers than are AVAs, but a strong regional

brand can also benefit other area industries. From the mass-market tourist to the

seeker of “serious leisure,” regions have the opportunity to develop lasting relationships

with visitors that will grow and improve with age like the products that brought them

there in the first place.

Appendix Sources and Abstracts

I. Peer Reviewed a. Search: wine tourism

(6) GETZ, D. (2006). Critical success factors for wine tourism regions : A demand analysis. Tourism management, 27(1), 146-158. AUTHOR ABSTRACT: It was determined that highly motivated, long-distance wine tourists prefer destinations offering a wide range of cultural and outdoor attractions. These preferences are compared to previous studies of critical success factors ac-cording to wine and tourism-industry personnel, and to the general literature on wine and food tourism. Implications are drawn for wine tourism theory, and practical impli-cations are drawn for the development and marketing of wine tourism destinations. NOTES: Examines the attractiveness of wine destinations and provides good infor-mation on segmentation of the wine tourism market. Recommends robust emphasis on experiential benefits: the tourist can enjoy both wine and cultural activities. The winery is not enough to draw consumers across long distances, however respondents reported an aversion to package tours. Yielded from Above Bibliography: • Williams, P. (2001). Positioning wine tourism destinations: an image analysis. In-ternational Journal of Wine Marketing, 13(3), 42–59. ABSTRACT: The ability of tourism regions to attract tourists depends to a great ex-tent on the position of these destinations in the minds of key travel markets. This re-search examines the evolving character of wine tourism destination imagery as pro-jected by wine producers and independent writers. The findings suggest that there has been a shift in wine country imagery from an emphasis on wine production processes and related facilities to more of a focus on aesthetic and experiential values associ-ated with more leisurely recreational and tourist pursuits. The research identifies the need for a greater emphasis to be placed by wine tourism destinations on protecting rural landscapes, encouraging authentic and unique forms of development, and focus-ing imagery projection on those elements of the wine country experience which are central to the interests of wine tourists. Notes: Examines the different kinds of themes associated with choosing/forming wine region images. Emphasizes dominance of rural, idyllic imagery and cautions that presentation of the landscape fares better than images of production or product.

• Brown, G. , & Getz, D. (2005). Linking wine preferences to the choice of wine tourism destinations. Journal of Travel Research, 43(3), 266-276. ABSTRACT: This article explores the links between wine consumers' preferences for wine from particular countries or regions and their interest in, and propensity to travel to, specific wine regions. Data from a convenience sample of 161 wine consumers in Calgary, Canada, revealed that specific appellation-of-origin preferences (e.g., for Australian or French wines)do have an influence on travel preferences and patterns. Nearly 70% of respondents preferred to drink wines from particular origins, and planned wine-related travel by respondents closely matched those geographic prefer-ences. Other factors, however, were also shown to be important in shaping wine tour-ism destinations, including distance and cognitive factors. Implications are drawn for wine tourism marketing and for destination-choice theory. Recommendations are made for future research. Notes: Further evidence that links cultural experiences to strengthen wine tourism. Cites successes and failures of regions like Australia, South Africa, and Spain. Al-ludes to effect of “pilgrimage” regions like Bordeaux. • Lockshin, L., and T. Spawton (2001). “Using Involvement and Brand Equity to Develop a Wine Tourism Strategy.” International Journal of Wine Marketing, 13 (1): 72-82. ABSTRACT: Wine tourism is a major public relations medium and for many wineries a major source of revenue. This article uses theories of brand equity to develop cellar door strategies. These theories are supported by previous research into product in-volvement with wine, which shows that high and low involvement wine buyers behave differently. The two segments must be catered for differently if a winery is to build its overall reputation and brand equity. Wineries can enhance their long-term market-based assets through building customer relationships at cellar door. Strategies and examples are provided. • Barber, N., Taylor, D., & Deale, C.. (2010). Wine Tourism, Environmental Con-cerns, and Purchase Intention. Journal of Travel & Tourism Marketing, 27(2), 146. Retrieved June 24, 2010, from ABI/INFORM Global. (Document ID: 1993312441). ABSTRACT: Sustainable development and marketing are applied across the tourism spectrum, yet a need exists to make them relevant to specific forms of tourism, such as wine tourism. In this consumer-driven economy, tourism marketers often seek ef-fective ways to market destinations. This study attempts to identify the environmental

wine tourist by examining environmental personality characteristics and certain demo-graphics on purchase intention, thus making it possible to better understand their con-cerns and motivations, which should aid marketing and advertising efforts. The results suggest wine tourists may be willing to pay for environmentally friendly wines with fe-males possessing stronger environmental attitudes about protecting wine region des-tinations, thus influencing stronger behaviors toward purchase intention. [PUBLICA-TION ABSTRACT] • Brown, C., & Smith, F.. (2010). Wine Tourism: A Serious Leisure Approach. Journal of Service Science, 3(1), 29-33. ABSTRACT: Today wine tourism is emerging as an important component of rural di-versification in North Carolina. Using Stebbins' (1992) model of serious leisure as a guideline, the purpose of this study is to explore how wine tourism may be viewed as a type of serious leisure and to suggest a conceptual approach to the study of wine con-sumers in order to develop effective wine marketing strategies for local wineries in North Carolina. In addition, this study suggests an approach that small North Carolina wineries might use to identify various types of winery visitors and better position their products. • Mercedes Marzo-Navarro, & Marta Pedraja-Iglesias. (2009). Wine tourism devel-opment from the perspective of the potential tourist in Spain. International Journal of Contemporary Hospitality Management, 21(7), 816-835. ABSTRACT: The main objective of this study is to determine the factors that could have an impact on intentions to participate in regional tourism activities related to wine, from the Spanish customer's point of view. This study analyses the opinions of potential wine tourists. They are asked about the importance they give to various items regarding intention to participate in wine tourism. These items have been taken from a review of the relevant literature. The dimensions that could have an impact on partici-pation in tourism activities related to wine are determined through a factor analysis. These dimensions, together with the barriers traditionally encountered to any kind of tourism activity, are used in a regression analysis. The predictors of the intention to participate in wine tourism are thus determined. The services offered by wineries, the possibility of increasing knowledge about the wine product, the possibility of providing leisure activities, and interest in the wine product, are factors that positively affect the intentions of potential wine tourists. In the context analyzed, neither cost nor time nor distance act as barriers to the development of wine tourism. Tourism agents are pro-vided with data for successfully developing wine tourism. Thus, in addition to elements that can be controlled by the provider - such as winery services, activities for children, wine therapy activities and activities to increase knowledge of wine - elements that cannot be controlled also have an influence, such as a tourist's interest in wine. This makes it necessary to develop communication strategies that increase interest in the

wine product and in related activities. A review of the existing literature on the ap-proach to wine tourism development allowed the authors to establish that there are no papers examining the determinants that could have an impact on participation in tour-ism activities related to wine in Spain. Moreover, the tested model includes incentives for, and barriers to, the strategic development of wine tourism. • Scherrer, P., Alonso, A., & Sheridan, L.. (2009). Expanding the destination im-age: wine tourism in the Canary Islands. The International Journal of Tourism Re-search, 11(5), 451. ABSTRACT: Tourism to the Canary Islands is centered around competitively priced holidays focused on the sun and beach mass tourism experience. A restructure of the islands' wine industry offers opportunities for developing new tourism alternatives based on gourmet products and traditional landscapes. This paper examines the po-tential of wine tourism from winery operators' perspectives. Challenges to overcome in the development of a successful sustainable local wine tourism industry include the need for expansion of the destination image to reflect the region's wine-making history and scenic qualities; a shift towards independent high-yield travelers; and reintroduc-ing local produce in the mass tourism product. Cohen, E., & Ben-nun, L.. (2009). The important dimensions of wine tourism experi-ence from potential visitors' perception. Tourism and Hospitality Research: Special Is-sue: Papers from the 1st QATEM Workshop, 9(1), 20-31. Retrieved June 27, 2010, from ABI/INFORM Global. (Document ID: 1625158391). NOTES: Suggests strategies based to boost regional attractiveness based on evi-dence shown in two dimensional models. • Jingxue Yuan, Liping A Cai, Alastair M Morrison, & Sally Linton. (2005). An analysis of wine festival attendees' motivations: A synergy of wine, travel and special events? Journal of Vacation Marketing, 11(1), 41-58. ABSTRACT: As special-interest tourism, wine tourism is becoming increasingly impor-tant for wine-growing regions. But wine marketers are faced with a paucity of empirical data when examining wine tourists' characteristics and behavior. This issue needs to be addressed if marketers want to implement more effective strategies to target the market. Visiting wine festivals is an important component in the complete construct of wine tourism. What might have motivated the participants to visit such an event has become critical for wine-growing destinations when they attempt to use wine festivals to promote the wineries and regions. This research study used a survey instrument specially designed to test participants' motivations to attend a regional wine festival in a Midwestern state in the USA. Both festival and wine tourism motivations were inte-

grated in the measurement scale. The findings showed that attendees were motivated by a variety of factors which were associated with the focus on the different elements incorporated in the theme of the festival - a synergy of wine, travel and special event. Wine festivals can be used as a vehicle to attract younger people to become more in-terested in wine. They create a good venue to tap into future target markets for wine tourism development. NOTES: Points up value of wine festivals in creating “total” event for wine tourists. Discusses value of festivals for targeting younger demographic. b. Search: wine region branding • Abel D Alonso, Lynnaire Sheridan, & Pascal Scherrer. (2008). Importance of tast-ing rooms for Canary Islands' wineries. British Food Journal, 110(10), 977-988. Re-trieved June 28, 2010, from ABI/INFORM Global. (Document ID: 1662304501). ABSTRACT: The purpose of this paper is to explore the role of the tasting room for wineries from a re-developing Spanish wine region, and identify the challenges winery owners currently face in their pursuit to market their wines through the tasting room. Between May and June of 2007 a total of 23 winery owners, managers and wine mak-ers located in the Canary Islands were interviewed from a sample of 61 wineries iden-tified in Tenerife and La Palma islands. The findings confirm the vital importance of the tasting room as a marketing, branding, and educative vehicle for the wine product. Overall, wineries focus on the tasting room as a way to advertise and present their wines to visitors and passers by as part of a long-term strategy, rather than as a way to make direct wine sales. It is acknowledged that the sample of only 23 participating businesses may not be enough to make generalizations about the impact of the tast-ing room on wineries of the Canary Islands. However, the sample does provide useful insights into the benefits, issues and challenges of the tasting room in this context. The findings demonstrate the innovative and proactive spirit of winery management, including the push for quality and educating visitors, as key to survival and success in this very competitive industry. In this process, the role of the tasting room becomes critical to achieve those objectives. The study provides new insights into the role of the tasting room in a Spanish wine region that has received very limited attention. The ex-ploratory nature of this study also provides an avenue for future studies into an indus-try that is growing around a region's main income magnet: tourism. Yielded from above bibilography

Pitta, D. (2007), “Building brand equity and share of heart at Nassau Valley Vine-yards”, Journal of Product & Brand Management, Vol. 16 No. 2, pp. 148-51.

ABSTRACT: Purpose - The aim of this paper is to describe an innovative promotional and product development approach that has implications for new product developers in consumer industries. Design/methodology/approach - The case describes an ap-proach to new product development and promotion. The organization's original name has been retained as well as individual managers' names. Findings- The paper pro-vides information and action approaches to new product developers that may reduce the risk of product failure. The subject company recognizes that third party competitive awards are public relations tools to build sales and product image. Their results offer direct implications for new product development and promotional teams in the wine in-dustry. By extension, the implications may aid traditional companies outside of the wine industry. Research limitations/implications - As in all case studies, the specific conditions found in one organization may not be found more generally in others. Readers are cautioned that the conclusions drawn in the case may have limited appli-cability. Practical implications - The case depicts an innovative application of word of mouth generating quality competitions in boosting sales. It also depicts the use of consumer and expert opinions in selecting wines to submit for judging. Other organi-zations may find the technique of value in their own efforts. Originality/value - The case is one of the first to describe a successful promotional technique that minimizes the reliance on advertising and concentrates on the product quality characteristics re-sulting from the product development process. c. Search: wine place branding • Ryan, M., & Mizerski, K.. (2010). Place branding for sustainable futures: A case study. Place Branding and Public Diplomacy, 6(1), 49-57. ABSTRACT: This article discusses how 'New Norcia' has changed from simply the name of a small rural town in regional Western Australia, to a high equity, 'typical' brand. It outlines the importance of the extrinsic and intrinsic characteristics and the subsequent strong link with the marketplace. The article illustrates how a brand can, and has, reflected a current trend in society, while maintaining the fundamental beliefs and traditions of a devoted religious order. In establishing their business, the New Norcia monks chose to preserve the monastic ambience of their town by focusing on a fundamental ethos of their Order - that of offering hospitality to all who come to their door through the provision of monastic staples - bread, olive oil and wine. An emerg-ing form of branding, based on 'place', is discussed. TOO NEW TO BE ACCESSED ONLINE - WAIT ONE YEAR d. Search: wine place brand • Johnson, R. , & Bruwer, J. (2007). The balancing act between regionality and american viticultural areas (avas). Journal of Wine Research, 18(3), 163-172.

ABSTRACT: This paper explored and provides a literature meta-analysis of the rela-tionship between American Viticultural Areas (AVAs), and their concurrent geopolitical regions (counties). The ever-increasing number of AVAs results is a fragmented offer-ing in terms of the place-of-origin marketing strategy to consumers and is not desir-able, especially when the AVA is not represented along with a regional context. Most AVAs have very weak regional brand strength when compared with that of their corre-sponding counties. The industry bias toward marketing unknown appellations could therefore be enhanced by reference to strong, value-laden regional images. The na-ture and strength of these regional brand images should be determined through di-rected research efforts first. NOTES: Documents the importance of place associations to strengthen food/wine brands. Proposes value of collaborating as a region. e. Search: value of regional branding • Pike, A. (2009). Geographies of brands and branding. Progress in Human Geog-raphy, 33(5), 619-645. ABSTRACT: This paper seeks to elucidate the geographies of brands and branding through interpreting their geographical entanglements. Focusing upon goods and serv-ices, it argues, first, that the object of the brand and the process of branding are geo-graphical because they are entangled in inescapable spatial associations. Second, these spatial associations matter because they are geographically differentiated and uneven. Third, geographically entangled brands and branding are closely related to spatially uneven development through the articulation and reinforcement of economic and social inequalities and unequal and competitive sociospatial relations and divi-sions of labour. Despite their apparent pervasiveness and significance for geographi-cal inquiry, the geographical entanglements of brands and branding have been under-investigated in Geography and hardly recognized and poorly specified in other social science research. A critical account is provided that demonstrates the entangled geog-raphies of brands and branding in their: (1) geographical origins, provenance and so-ciospatial histories; (2) spatial circuits of value and meaning and uneven development; and (3) territorial and relational spaces and places. Reading the changing forms, ex-tent and nature of the geographical entanglements of brands and branding provides a novel but relatively overlooked window to consider and illustrate the vital spaces at the intersections of economic, social, cultural and political geographies, the tensions be-tween relational and territorial notions of space and place and the politics and limits of brands and branding. Learning from wider social science, the paper demonstrates the importance of geography by projecting more clearly specified and sophisticated treat-ments of space and place into accounts of brands and branding.

Notes: Emphasizes that all the elements of brand equity are “inseparably entangled in space and place.” Yielded from above bibliography • Jean-Noel Kapferer. (2002). Is there really no hope for local brands? Journal of Brand Management, 9(3), 163-170. ABSTRACT: Since Ted Levitt's seminal article on the globalization of business, the case now seems closed. In all managerial and consulting circles, and in most busi-ness reviews, global brands are the only thing that count, and the process of global branding the only thing worth spending time on. Indeed, all multinational companies are now engaged in a fierce and drastic reduction of their brand portfolios, focusing exclusively on the brands able to globalized. Recently, L. Owen Jones, CEO of L'Oreal, explained the remarkable growth of the company by the concentration of its activity on 12 truly global brands. This paper reconsiders the arguments for globaliza-tion in the light of local brand successes. Notes: Offers three strategies to develop local brands: penetration pricing, cultural de-fender, and chameleon approaches. The first two are applicable since wineries do of-fer prices much less than more prestigious regions. As the brand develops equity the price increases (consistent with Greenbaumʼs research). The chameleon approach is not applicable since itʼs based on developing brand images and associations that are antithetical to the local environment. • Thode, S.F. and Maskulka, J.M. (1998). Place-based marketing strategies, brand equity and vineyard valuation. Journal of Product and Brand Management 7 (5), 379–99. ABSTRACT: Many firms, wine producers among them, have successfully communi-cated the quality of their products to the market by emphasizing the geographic origin, or location of production of critical ingredient(s) found in the product. The purpose of this article is to: introduce the concept of a “place-based” marketing strategy, i.e. a marketing strategy that identifies a consumer product with a specific geographic area; explain why it is essential to the wine business; and, why it may be superior to other types of marketing strategies for certain types of agricultural products. Additionally, traditional valuation techniques applied to agricultural land typically assume that agri-cultural goods are undifferentiable commodities. With the growing trend toward the production of “place-based” agricultural products, the traditional valuation methods omit an important variable – the potential for the geographical source to help develop a productʻs brand equity. This paper also discusses land valuation techniques and ap-

plies the concept of products of place to the trend among Californian wine growers to produce wines with vineyard designations.

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f. Search: place-based branding • Melodena Stephens Balakrishnan. (2009). Strategic branding of destinations: a framework. European Journal of Marketing, 43(5/6), 611-629. ABSTRACT: Travel and tourism is the second largest global industry with daily inter-national revenues of approximately US$2 billion, and investments of 12 percent of world GDP. Though this is a highly competitive industry, there is a paucity of academic research on destination branding. This paper aims to present a branding framework for designing successful destination strategies. This exploratory study seeks to deter-mine key factors that affect the strategic branding of destinations. Similar fields like place marketing, destination marketing, services, product and corporate branding were reviewed along with destination case studies. Based on this review and its ex-trapolation to the destination context, a framework for strategic branding of destina-tions was formulated. Successful strategic branding of destinations is dependent on several inter-related components, which are discussed. The paper highlights key is-sues in destination branding and provides a platform for future research. The value of the paper is high as it provides a practical framework for governing bodies to consider when investing time, money and effort when creating a global destination. • Blain, C., Levy, S., & Ritchie, J. (2005). Destination Branding: Insights and Prac-tices from Destination Management Organizations. Journal of Travel Research, 43(4), 328-338. ABSTRACT: Search again for text in sage premier g. Search: wine region brand • Lockshin, L., Jarvis, W., dʼHauteville, F. & Perrouty, J. (2004). Using simulations from discrete choice experiments to measure consumer sensitivity to brand, region, price, and awards in wine choice. Seventh Sensometrics Meeting, Davis, USA, 28-30 July 2004. ABSTRACT: The complexity of the wine category has forced researchers to try dif-ferent means to understand how consumers choose wines. This research uses a dis-crete choice experiment approach to understand how key extrinsic cues are used by different consumer groups when choosing wine. We extend common practice by using a simulation algorithm to show how relative purchase rate changes as brand, region, price, and award are changed. The results show that low involvement consumers use price and award to a greater degree than high involvement consumers. A gold medal increases the choice probability the most, but mainly at the lower and middle price points, and a well known region amplifies the desirability of small brands more than large brands. The results are complex across the four factors and two levels of in-

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volvement, but provide a realistic appraisal of how consumers use extrinsic cues in combination when choosing wines. The strong differences in choice behavior between low and high involvement consumers show this to be a viable segmentation strategy and one that other researchers should consider utilizing.

• Alant, K., & Bruwer, J. (2004). Wine Tourism Behavior in the Context of a Motiva-tional Framework for Wine Regions and Cellar Doors. Journal of Wine Research, 15(1), 27-37. doi:10.1080/0957126042000300308. ABSTRACT: Most wine tourists and visitors to wine regions can be viewed as actual or potential consumers of a lifestyle beverage, who visit wine regions in order to have wine-related experiences. An exploratory wine tourism research study in the Coonawarra and McLaren Vale wine regions in South Australia measured the motiva-tions for engaging in wine tourism and specific behaviors related thereto. The results of the study are exposited by means of a suggested conceptual motivational frame-work for wine tourism. The framework is a simple constant consisting of three main dimensions: the Visitor, Wine Region and Visit Dynamic (viewed in terms of first-time or repeal visitation). As an adjunct to time, time are multivariate evolving sub-dimensions of motivation and behavior related to geographic location of wine region, purpose of visit, etc., which augment the main dimensions. The results revealed that in the Wine Region dimension motivation is affected in terms of geographic location in relation to the permanent home origin of the visitors. The Visit Dynamic dimension re-vealed that there are similarities and marked differences between the motivations of first-time and repeat visitors and subsequent behaviors in the different wine regions. The sub-dimension of visitation motivations indicated that to taste and buy wine are the most prevalent motivations, with emphasis on enjoyable tasting experiences and finding interesting and special wines. Motivations are significantly affected by knowl-edge of the wine region, the products and wineries through previous visits. The framework construct makes it possible to identify the relative significance of certain wine tourism behaviors. Wine reports and individual cellar doors need this information to plan for and meet the wine tourists' needs and expectations within the scope of their own resources. h. Search: wine purchase • Jaeger S.R., Danaher P.J., Brodie, R.J (2009). Wine purchase decisions and consumption behaviors: Insights from probability sample drawn in Auckland, New Zea-land. Food Quality and Preference, 20 (4), pp. 312-319. ABSTRACT: At the point of purchase in retail locations, multiple factors exert an in-fluence on consumersʼ decisions of which wine to buy. Among wine drinking New Zea-

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land consumers living in Auckland, the rank ordered importance (most to least impor-tant) of 13 such factors was: ʻTasted the wine previouslyʼ, ʻGrape varietyʼ, ʻBrand nameʼ, ʻMedal/awardʼ, ʻSomeone recommended itʼ, ʻOrigin of the wineʼ, ʻI read about itʼ, ʻMatching to foodʼ, ʻPromotional display in-storeʼ, ʻInformation on the shelfʼ, ʻInfor-mation on the back labelʼ, ʻAttractive front labelʼ, ʻAlcohol level below 13%ʼ. Partici-pantsʼ level of involvement with wine moderated the importance attached to the 13 fac-tors and consumers with higher levels of involvement with wine recalled in greater de-tail the last bottle of wine they had purchased. Methodologically, two aspects dis- tin-guish this research from other similar consumer surveys. Best–worst scaling, as op-posed to direct rat- ing of factor importance was used. Further, probability sampling, which is infrequently used in the field of sensory and consumer science was imple-mented. Through a postal survey, the data was collected from a systematic random sample (n = 554) drawn from the 2006 Auckland phone book. Full details are given of how this probability sampling approach was executed. • Barber, N. , Dodd, T. , & Ghiselli, R. (2008). Capturing the younger wine con-sumer. Journal of Wine Research, 19(2), 123-141. ABSTRACT: This study examines the importance of market segmentation and con-sumer characteristics, such as product knowledge, purchase confidence, and genera-tional 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 in-formation sources and that marketing to the Generation X would require direct and to the point advertisements that create a product image closest to this groupʼs views and for Millennial, reflecting on images of friends sharing wine. • Maher, Michael. (2001). On Vino Veritas? Clarifying the use of geographic ref-erences on American wine labels. California Law Review, 89 (6), pp. 1881-1925. NOTES: Despite its focus on the regulatory efficacy of appellations, it includes a brief overview of the history of appellations and their relationship to trademarks.