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The Importance of Australian Corporate Brand and Grape Varietal Wines: Hedonic Pricing in the British Columbia Wine Market*

Published online by Cambridge University Press:  08 June 2012

Richard Carew  and
Wojciech J. Florkowski
Richard Carew
Affiliation:
Agriculture and Agri-Food Canada, Summerland, British Columbia,Canada, [email protected]
Wojciech J. Florkowski
Affiliation:
University of Georgia, Griffin Campus, 1109 Experiment St., Griffin, Georgia,USA, [email protected]
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Abstract

A hedonic analysis is applied to a unique data set of Australian wines imported by the British Columbia Liquor Distribution Branch. The data included the important corporate red wine brands produced in Australia. Hedonic price functions are estimated for red Australian wines to show how price premia associated with the attributes of wine brands including the grape variety and alcohol content differ by corporate brands. Results show the positive effects on price of highly reputable brands, positive effect of grape variety Shiraz, and premia for alcohol content. (JEL Classification: D49, L15, L66, QII)

Type
Shorter Papers
Information
Journal of Wine Economics , Volume 3 , Issue 2 , Winter 2008 , pp. 194 - 204
Copyright
Copyright © American Association of Wine Economists 2008

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