Tenants generate the income for a shopping centre and the value of this type of retail property to the property owner or landlord thus depends on the forecast of consumer demand…
Abstract
Tenants generate the income for a shopping centre and the value of this type of retail property to the property owner or landlord thus depends on the forecast of consumer demand for the products or services sold by tenants. Through balanced tenancy, the stores in a planned shopping centre complement each other in the quality and variety of their product offerings, and the kind and number of stores are linked to the overall needs of the surrounding population in the centre’s catchment areas. Whereas there is frequent reference in retailing literature to the importance of tenant mix for shopping centres, published research about the so‐called “ideal” tenant mix is almost non‐existent. Aims to rectify this situation partially and suggests a practical research method using a consumer preference weighting methodology based on three parameters, namely tenant category preference, tenant category ranking preference, and tenant shopping likelihood, consolidated into a single composite tenant choice index. The emphasis is on describing the logic of the research methodology, using a real‐life example of a planned‐to‐be‐erected shopping centre in South Africa, but due regard is given throughout to the relevant theoretical underpinnings in order to also contribute to this aspect of the young science.
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Trent Johnson and Johan Bruwer
The wine industry has been criticised in the past for adopting a mass‐marketing approach but in the current ultra‐competitive wine market the inevitable outcome of a production…
Abstract
The wine industry has been criticised in the past for adopting a mass‐marketing approach but in the current ultra‐competitive wine market the inevitable outcome of a production rather than marketing orientation is almost certain failure. Whereas the Australian domestic wine market is currently experiencing a low growth rate, a precursor to any future growth strategy is a clear understanding of the market. Acceptance of market segmentation as a strategy to target consumers more effectively enhances the focus and differentiation essential to achieve growth in the wine market. Recently a new segmentation approach of lifestyle based on a cognitive deductive perspective that makes lifestyle specific to the area of wine consumption was developed by Bruwer et al. (2001). This process included the development of a wine‐related lifestyle (WRL) measurement research instrument and the identification of five wine‐related lifestyle market segments. In this paper, a study conducted in the Australian wine market on 363 consumers to empirically confirm or disconfirm the previously identified five wine‐related lifestyle segments is reported on. The further theoretically‐driven development and improvement of the WRL research instrument is also described.
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Johan Bruwer and Elton Li
Since the publication of Van Raaij and Verhallen’s seminal work in European Journal of Marketing in 1994, identifying the domain-specific market segmentation approach as one of…
Abstract
Purpose
Since the publication of Van Raaij and Verhallen’s seminal work in European Journal of Marketing in 1994, identifying the domain-specific market segmentation approach as one of the most feasible for segmenting markets, there has been surprisingly limited development in this field, with the food domain as the only exception. This study aims to develop a methodological approach using latent class mixture modelling as contribution in the domain-specific market segmentation field.
Design/methodology/approach
This study captures the AIO lifestyle perspective using a domain-specific 80-item algorithm which has the wine (product) domain as its focus. A sample size of 811 consumers is used from data collected by means of the CATI approach.
Findings
The authors use four criteria for model selection: comparison of the Bayesian information criterion (BIC) statistic, comparison of classification error, verification of the interpretation of the derived segments and, finally, use of the conditional bootstrap procedure to test whether the selected model provides a significant improvement over the previous model. The five-segment model option yields a minimum BIC, the classification error measure is minimal and is easier to interpret than the other models. Segment descriptions for the five identified lifestyle-based segments are developed.
Research limitations/implications
Segmentation by traditional k-means clustering has proven to be less useful than the more innovative alternative of mixture regression modelling; therefore, the authors identify segments in the market on the basis of individuals’ domain-specific lifestyle characteristics using a latent class mixture modelling approach.
Practical implications
Following the attainment of a clear and robust market segmentation structure, the simultaneous analysis of the lifestyles, demographics and behaviours of consumers as nexus of the domain-specific segmentation approach, provides rich and valid information accurately informing the market segment descriptions.
Originality/value
The authors make a substantive contribution by developing a methodological approach using latent class mixture modelling; the first of its kind in the area of domain-specific segmentation. Next, they use the discriminant and/or predictive validity of the 80-scale items to predict cluster membership using the WRL algorithm. Finally, the authors describe the identified market segments in detail and outline the practical implications.
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Craft beer (CB) has gained prominence in the on-premise trade in the USA, which has become the world’s largest market for CB. Academically based research in the hospitality domain…
Abstract
Purpose
Craft beer (CB) has gained prominence in the on-premise trade in the USA, which has become the world’s largest market for CB. Academically based research in the hospitality domain examining consumer behavioral psychology-based constructs in the situational consumption context of restaurants has, however, not kept pace with market reality. This study aims to examine how product involvement, knowledge, opinion leadership-seeking, risk perception, information processing and their interactions affect consumption of CB by consumers in the situational context of restaurants in the USA.
Design/methodology/approach
A national sample of 697 consumers from across the USA covering all categories of restaurants, including bars, pubs and brewpubs, informs the development of a structural equation model (SEM) of the motivational process to examine these effects. In the process, the authors validate latent construct measurement scales specific to CB consumption in the restaurant environment.
Findings
The results support main hypotheses confirming the existence of distinct motivational relationships, thus explicating the processes by which consumers’ CB product involvement, product knowledge, opinion leadership-seeking and risk perception are activated, influence one another and their subsequent information processing-related outcomes. The findings also confirm the unstable nature of the situational involvement construct, the stability of enduring involvement and the pivotal role of psychological risk on opinion leadership and opinion seeking as well as on other antecedents. As far as the interaction effects between the constructs are concerned, the authors confirm five mediating effects and one moderating effect.
Practical implications
Strategies should be developed by hospitality managers to identify consumers with higher enduring involvement with CB. Strategies should also be implemented that mitigate psychological, social and functional risk. The insights into the motivational relationships pertaining to CB consumption in restaurants should be integrated into drinks menu design and be considered in how service staff are trained.
Originality/value
This research provides nuanced insights from a motivational perspective of consumers in the situational context of restaurants from a holistic and consumer-centric behavioral psychology perspective providing deepened insights of focal behavioral psychology constructs and their roles in the hospitality domain.
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Tayla Jeffery, Martin Hirche, Margaret Faulkner, Bill Page, Giang Trinh, Johan Bruwer and Larry Lockshin
The purpose of this study is to examine branding consistency for wine labels. The front label on wine bottles is important for identifying the brand and aiding purchase. Many…
Abstract
Purpose
The purpose of this study is to examine branding consistency for wine labels. The front label on wine bottles is important for identifying the brand and aiding purchase. Many brands are part of brand families, with the sub-brands linked to the overall brand family. This research provides an overview of how the front label varies across product portfolios of wine brands, noting the importance placed on branding elements and the level of consistency in their use across the brand portfolio.
Design/methodology/approach
The authors propose and test a new method to measure branding consistency on labels from the same brand family. Two coding frameworks were created. The first recorded the incidence of brand elements and wine attributes. The second coded wine labels within a company’s portfolio based on the consistency of various brand elements. A total of 3,000 branding elements and wine attributes from 300 wine labels were examined across 60 wine brands from a list of Australian wineries.
Findings
Grape variety, brand name and region are used across >90% of wine labels. Branding is presented more prominently than wine attributes. Sub-brand, region, price and variety did not influence branding consistency. Logo presence, logo image on label and colour elements contribute to the greatest variation in branding consistency across a product portfolio.
Originality/value
This study proposes and tests a novel method to measure branding consistency on wine labels and explores the extent to which consistent branding is used across product portfolios. Descriptive research is the first step to theory building. This study provides industry norms for attribute use and a measure of branding consistency for product portfolios giving valuable descriptive knowledge.
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Marelise Pitt, Johan Bruwer, Deon Nel and Paul Berthon
Considers the quality of service between internal partners within a company looking at how this can influence performance and quality. Looks at the different ways of defining the…
Abstract
Considers the quality of service between internal partners within a company looking at how this can influence performance and quality. Looks at the different ways of defining the internal customer and suggests that measurement is most effective when complex procedures are broken down. States that internal marketing is a critical issue facing marketing professions, human resources and other executives. Argues that if poor service is provided between employees it is unlikely that good service will ultimately be provided to the external customer. Invites further research in this area.
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Trent Johnson and Johan Bruwer
Wine is widely regarded as a ‘complicated’ product and for the majority of consumers the purchasing of wine in the retail situation evokes considerable risk. Marketers are…
Abstract
Wine is widely regarded as a ‘complicated’ product and for the majority of consumers the purchasing of wine in the retail situation evokes considerable risk. Marketers are therefore constantly and increasingly trying to demystify wine in order to reduce the perceived risk levels of consumers in the purchase situation. Most previous research in the area of perceived risk literature tended to focus on the concept of risk and its measurement rather than on risk‐reduction. This study examined the preferred risk‐reduction strategies (RRS) employed by identified wine‐related lifestyle segments in the Australian wine market and linked these strategies to the wine retail environment. Relying on favourite brands or so‐called ‘safe brand’ buying was found to rank highest as a risk reduction strategy in the commercial (under $15 per bottle) and premium‐to super‐premium ($15‐$25) price ranges while the opportunity to try before buying ranked highest in the ultra‐premium ($25) price range. The results obtained have major implications for retailers and form the foundation for a competitive advantage. It also indicates the direction for future research in this strategically important area of wine consumer behaviour.
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Ulrich R. Orth, Roberta Carolyn Crouch, Johan Bruwer and Justin Cohen
The purpose of this study is to adopt a functional perspective to integrate and extend three streams of research, the first distinguishing between global affect and discrete…
Abstract
Purpose
The purpose of this study is to adopt a functional perspective to integrate and extend three streams of research, the first distinguishing between global affect and discrete emotional episodes, the second highlighting the capability of places to elicit emotions and the third demonstrating the differential impact of discrete emotions on consumer response. Doing so shows that four positive place emotions have a significant and variable influence on consumer purchase intentions for brands originating there.
Design/methodology/approach
A focus group pilot corroborates that places relate to contentment, enchantment, happiness and pride, which impact consumer response. Study 1 uses landscape photographs to show the four place emotions influence purchase intention for bottled water. Study 2 retests the impact of place emotions, using short vignettes and establishes the moderating role of product hedonic nature. Study 3 replicates emotion effects, corroborating their non-conscious nature and establishing their impact in the presence of place cognitions.
Findings
Together, the empirical studies provide evidence for effects of four discrete place emotions, especially with hedonic products and under conditions of cognitive load. Effects are robust when a person’s mood, buying volume, category knowledge, impulse buying tendencies and place cognitions are included as controls.
Research limitations/implications
The study contributes to a better understanding of the emotional dimension of origin effects by adopting a novel, theory-based perspective on discrete positive place emotions impacting consumer response.
Practical implications
Managers invest substantially in places to elicit positive feelings, gravitating toward the view that all they need to do is create a global positive effect with consumers. The study informs this perspective by demonstrating how discrete emotions influence consumer response.
Originality/value
This study is among the first to examine discrete positive place emotions as possible drivers of consumers’ purchase intention.
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Kathleen Kelley, Johan Bruwer, Jennifer Zelinskie, Denise Gardner, Ramu Govindasamy, Jeffrey Hyde and Bradley Rickard
The purpose of this paper is to investigate consumers’ wine preferences, recycling attitudes and behaviors and socio-demographic data in an effort to build market segment profiles…
Abstract
Purpose
The purpose of this paper is to investigate consumers’ wine preferences, recycling attitudes and behaviors and socio-demographic data in an effort to build market segment profiles of those willing to transport wine bottles back to winery tasting rooms to be recycled, interest in standard-weight glass-alternative packaging and, various cork-alternative bottle closures.
Design/methodology/approach
A two-stage online survey was administered to 714 wine consumers residing in the Mid-Atlantic region of the USA during two periods in March 2016. Exhaustive chi-square automatic interaction detector (ECHAID) decision tree predictive analysis was used to identify the market segments.
Findings
A majority of survey participants were willing to bring empty wine bottles to a winery for recycling (85 percent). Collectively, 77 percent of participants were members of just three of the eight segments developed using a decision tree predictive algorithm, with 90 percent of participants in these segments willing to bring empty wine bottles to a winery tasting room to be recycled. Two segments were comprised of Millennials and Generation X, and the third of Baby Boomers, two having a moderate to extreme interest in natural cork used to seal wine bottles, and similar.
Originality/value
An ECHAID classification tree method was used to develop eight consumer segments. Identifying characteristics that describe consumers likely to return empty wine bottles to a winery benefits recycling efforts and could possibly encourage additional sales.
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Josias A. Engelbrecht, Frikkie Herbst and Johan Bruwer
This purpose of the study was to examine the relevance of the presence of geographical information, specifically the certification of region of origin (ROO) on the wine label, in…
Abstract
Purpose
This purpose of the study was to examine the relevance of the presence of geographical information, specifically the certification of region of origin (ROO) on the wine label, in the consumer’s wine purchase decision. In addition, the research investigated how the relevance of ROO varies across demographic and behavioural market segments.
Design/methodology/approach
The data gathered via an online questionnaire from 434 South African wine consumers were analysed by employing both descriptive and inferential statistical methods.
Findings
The ROO of wine plays a secondary role in influencing consumers when faced with a purchasing decision on its own. However, as part of the composite regional variable, namely, grape variety, region and wine style, it plays a major role in influencing consumers. The specific wine grape variety emerged as the most important factor influencing consumers. It was also found that consumers with a high involvement and interest in wine assign a higher degree of relevance to certification of origin of wine than consumers with a low involvement.
Practical implications
Wine producers should strive to create a “lighthouse” identity in the minds of consumers. This can only be achieved if most, if not all, the wine producers in a specific geographical area consistently and authentically communicate the same message and offer products with a lighthouse identity to wine consumers.
Originality/value
This is the first study that examines the impact of ROO as an information cue on consumers’ wine purchase decision-making in South Africa. It is of value to academic researchers, wine marketing professionals and generic marketing organisations such as wine route organisations.