Original Research Article
How do sparkling wine producers adopt a sub-appellation? Evidence from an exploratory study on heroic Prosecco Superiore Rive
Luigi Galletto
Published 2021-09-01
Keywords
- sub-geographical indication,
- Prosecco sparkling wine firms,
- intraregional wine differentiation,
- steep-slope viticulture,
- market differentiation
- wine tourism strategies ...More
How to Cite
Barisan, L., & Galletto, L. (2021). How do sparkling wine producers adopt a sub-appellation? Evidence from an exploratory study on heroic Prosecco Superiore Rive. Wine Economics and Policy, 10(2), 45–59. https://doi.org/10.36253/wep-9900
Abstract
This exploratory paper investigates why sparkling wine houses producing Conegliano Valdobbiadene Prosecco Protected Designation of Origin (CVPP) wines decided to adopt the sub-appellation “Rive” to increase the value of their wines. We estimated both logistic and generalized linear models to explain Rive sub-appellation (SA) firms’ choice and market share, respectively. By using data gathered from CVPP producers, we divided wineries into two groups, namely, those that adopted the Rive SA and those that did not. By means of a stepwise procedure, we categorized factors that were likely to explain the Rive SA choice within a set of structural, marketing and wine tourism-related variables. The results showed that structural drivers such as the human capital of younger producers, firm size, resource endowments, wine production, and involvement in ad hoc promotional activities (i.e., Primavera del Prosecco) have the greatest effects on the choice of Rive SA. On the other hand, the effects of small sizes, cellar door sales, and key CVPP wine tourism events have emerged as vital factors in the growth of Rive SA in terms of market share. The adoption of the Rive SA may play an important role in supporting and valuing the work of a vine-growers community who have been able to transform the difficulties and the passion of vine cultivation on steep slopes parcels into distinguishing features and may help the CVPP Tutelary Consortium appropriately undertake promotional policies to differentiate wines and improve competitiveness. This could have positive effects on wine tourism, hospitality, and winery visits considering the recent recognition of the CVPP as the 55th Italian UNESCO World Heritage site.
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[16] O. Gokcekus and C. M. Finnegan, "Classification and re-classification: Oregon’s Willamette Valley AVA and its new sub-AVAs," American Wine Economists Association, 2014. [Online]. Available: http://www.wine-economics.org/list-of-aawe-working-papers/.
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[18] L. Galletto, L. Barisan, and V. Boatto, "Aspetti economici di una viticoltura ad elevata pendenza: il caso delle Rive nell’area del Conegliano Valdobbiadene Prosecco DOCG.," in V Convegno internazionale sulla viticoltura di montagna e in forte pendenza (CERVIM), Susegana - Treviso (Italy), 2017, pp. 1-22.
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[30] J. S. Bain, "Industrial Organization. John Willey & Sons," Inc. New York, pp. 12-44, 1968.
[31] O. Gokcekus and C. M. Finnegan, "Price Effects of Establishing a New Sub-AVA within Oregon's Willamette Valley AVA," Journal of Wine Economics, vol. 12, no. 4, pp. 345-353, 2017, doi: 10.1017/jwe.2017.13.
[32] R. Carew and W. J. Florkowski, "The Importance of Geographic Wine Appellations: Hedonic Pricing of Burgundy Wines in the British Columbia Wine Market," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, vol. 58, no. 1, pp. 93-108, 2010, doi: 10.1111/j.1744-7976.2009.01160.x.
[33] V. Boatto, L. Barisan, and E. Pomarici, "Le strategie.," in Rapporto Economico 2019. L'analisi socio-economica attraverso la storia della Denominazione: valore inestimabile per il futuro della Comunità. Pieve di Soligo (Treviso): Conegliano Valdobbiadene Prosecco DOCG, 2018, pp. 78-97.
[34] Wineanorak Global Wine Journal. "Developing appellations in emerging regions
" https://wineanorak.com/developingappellations.htm (accessed 3rd April 2020, 3rd April 2020).
[35] C. Gurau and F. Duquesnois, "Direct marketing channels in the French wine industry," International Journal of Wine Business Research, vol. 20, no. 1, pp. 38-52, 2008.
[36] E. Brentari, R. Levaggi, and P. Zuccolotto, "Pricing strategies for Italian red wine," Food. Qual. Prefer., vol. 22, no. 8, pp. 725-732, 2011/12/01/ 2011, doi: https://doi.org/10.1016/j.foodqual.2011.06.001.
[37] C. M. Hall, A. M. Longo, R. Mitchell, and G. Johnson, "Wine tourism in new Zealand," in Proceedings of tourism down under II: A research conference, 1996: University of Otago Dunedin, pp. 109-119.
[38] J. Bruwer, "South African wine routes: some perspectives on the wine tourism industry's structural dimensions and wine tourism product," Tourism Management, vol. 24, no. 4, pp. 423-435, 2003/08/01/ 2003, doi: https://doi.org/10.1016/S0261-5177(02)00105-X.
[39] B. Carmichael, "Understanding the Wine Tourism Experience for Winery Visitors in the Niagara Region, Ontario, Canada," Tourism Geographies, vol. 7, no. 2, pp. 185-204, 2005/05/01 2005, doi: 10.1080/14616680500072414.
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[41] L. Galletto, "A comparison between tourists profiles in two Italian wine routes," Revista de la Facultad de Ciencias Agrarias, vol. 50, no. 1, 2018. [Online]. Available: https://bdigital.uncu.edu.ar/10799.
[42] V. Boatto, L. Galletto, L. Barisan, and F. Bianchin, "The development of wine tourism in the Conegliano Valdobbiadene area," Wine Economics and Policy, vol. 2, no. 2, pp. 93-101, 2013, doi: 10.1016/j.wep.2013.11.003.
[43] J. H. Tanya, H. D. Jennifer, G. L. Roberto, and I. M. Maria, "Factors Affecting Growers' Willingness to Adopt Sustainable Floriculture Practices," (in English), HortScience horts, vol. 44, no. 5, pp. 1346-1351, 01 Aug. 2009 2009, doi: 10.21273/HORTSCI.44.5.1346.
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