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Rethinking new wines: implications of local and environmentally friendly labels

2003; Elsevier BV; Volume: 28; Issue: 5-6 Linguagem: Inglês

10.1016/j.foodpol.2003.10.004

1873-5657

María L. Loureiro,

Organic Food and Agriculture

New wine production areas around the world are encountering challenges in creating a reputation for high-quality products. In order to help these new wine growing areas numerous labeling programs claiming local origin and environmentally friendly practices are being implemented. In this study, consumer response toward wine grown in a new production area such as Colorado is researched. Using an interval probit model, the mean willingness to pay (WTP) for Colorado environmentally friendly and Colorado regular wines are calculated. In summary, the results in this paper highlight the need to improve quality perceptions to garner a premium in differentiated wine markets. As a consequence, environmentally friendly labeling in wine is an inefficient marketing tool for wines perceived as low quality.