Emerging Consumer Preference for Wine Attributes in a European Transition Country – the Case of Kosovo

Abstract

This study analyzes consumer preferences for wine in Prishtina, Kosovo – a transition country in the Balkans, which is making efforts to withstand to the competition pressure from the traditional neighboring wine producing countries. With the changes in life style and consumer behavior, and incomes rising rapidly since the last conflict, it is imperative to survey the changing demand for producers to compete in the domestic markets. Conjoint Choice Experiments were used to evaluate wine consumer preferences based on wine type (white vs. red), origin (domestic vs. imported), taste (sweet vs. dry) and price. Four distinct classes of consumers were identified. The top two important attributes in the choice of wine are the type and origin but preferences vary across groups – type of wine and origin appear far more important when compared to price, especially for the richest identified segment, whose consumers prefer more expensive wines.

Health-Nutrients and Origin Awareness: Implications for Regional Wine Market-Segmentation Strategies Using a Latent Analysis

“…With regard to the origin of cultivars grapes, our analysis highlights a highly significant preference of respondents for the Apulian regional vine grapes cultivars used to produce local red wine. These results are in line with previous studies [ 46 , 47 , 48 , 49 ] for which the region of origin or the origin of wine (domestic versus imported) was considered an important attribute for product market-segmentation, and wine drinkers attraction. As such, providing such information increase purchase intent and induces a relatively high utility function for wine drinkers in the study area.…”

“…The same authors demonstrated the importance of market-segmentation and highlighted the fact that segment characteristics provide relevant data for an effective wine differentiation strategy. Additionally, Zhllima et al [ 49 ], using a CLM, showed that a five-class model best fits wine consumers. The same authors highlighted that this model constitutes an effective for use by marketers to define their market-segment strategy.…”

Consumer ethnocentrism and preference for domestic wine in times of COVID-19

“…Indeed few consumer studies have been carried out in developing markets or transition economies, such as Western Balkans countries. Some of the studies are focused on consumer preferences for basic wine attributes (Zhllima et al, 2020;Zhllima et al, 2012), or instead explore preferences, motives, and attitudes when consumers are buying wine (Radovanović et al, 2017).…”

“…The domestic wine market in Kosovo and Albania is important for the local industry. Despite that Kosovo wine industry having had a strong export orientation in the past, the local market is and will remain crucial as increasing competition in the export market prevails (Zhllima et al, 2020). In the case of Albania, the local market is the main channel for domestic wine, while exports have a small share of the local market (AGT-DSA, 2021).…”

Too much power or no power: when does intermediary’s power result into better wine and happier farmers?

“…However, after achieving a production peak in the 1980s, the sector faced a major setback in the following decade, caused by the 1990s conflict, when many vineyards were dtableestroyed, and the production of grape and wine were reduced drastically. After the conflict, there were revived efforts by private business, government, and donors to support the vineyard and wine sector, which resulted in growth and renewed investments in the sector (Zhllima et al, 2020).…”