A European Quality Term for Mountain Wines? An Online Experimental Auction with Italian Consumers

Abstract

Promoting the consumption of mountain products could contribute to the sustainable development of mountain areas, as it enables the preservation of traditional production methods while yielding positive socioeconomic outcomes. Labeling is an important marketing tool that supports mountain food supply chains and sustainable mountain development, since it guarantees the origin and specific quality attributes of the mountain product to consumers and thereby supports producers in marketing mountain food products. The European Union (EU) quality term “mountain product” was created for these reasons. However, so far, using this new labeling scheme for wine has not been allowed. The aim of this study is to contribute to the ongoing debate surrounding the possible extension of the EU quality term to the wine sector from a consumer perspective. An online auction was conducted to identify whether Italian consumers are willing to pay more for a wine with an EU mountain product logo on the label. Furthermore, a cluster analysis was run to segment the market of potential customers of mountain wine based on the “greenness” of their lifestyle. While the results of the online experiment did not indicate any significant difference between the prices paid in presence or in absence of the mountain product logo, our findings revealed the existence of clusters of consumers characterized by a green lifestyle who value mountain wines and are willing to pay a price premium for the EU mountain product logo. This is an encouraging signal for wine growers in the mountains who have already started investing in wines that are produced in a more sustainable way and who want to stay competitive.

Keywords

• experimental auction
• mountain area
• mountain product
• nudging
• quality term
• willingness to pay (wtp)
• wine consumption