Download Marketing by What Matters: Using Schwartz`s Theory of Basic Values

Marketing by What Matters:
Using Schwartz’s Theory of
Basic Values to Identify Wine
Consumer Segments
DR. JANEEN OLSEN
PROFESSOR OF WINE BUSINESS & MARKETING, SONOMA STATE UNIVERSITY, USA
DR. TOM ATKIN
PROFESSOR OF WINE BUSINESS & QUALITY, SONOMA STATE UNIVERSITY, USA
DR. LIZ THACH, MW
PROFESSOR OF WINE BUSINESS & MANAGEMENT, SONOMA STATE UNIVERSITY, USA
Marketing by What Matters
AGENDA FOR TODAY’S PRESENTATION
• Introduction, Overview and Literature Review
– Tom will introduce the research, explain why we think the topic is important
and how the findings can help wine marketers. Tom will give a brief synopsis
of previous research.
• Research Hypotheses and Methodology
– Janeen will present the hypotheses that guided our empirical research,
discuss the characteristics of our sample and explain the quantitative
research methods we used.
• Findings, Implications and Further Research
– Liz will present the research findings, discuss how they apply to wine
marketing and look at possible next steps.
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INTRODUCTION
• Market segmentation in the wine industry
• Motivation and behavior as promising ways to segment
• Need to better understand motivational factors
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WHY STUDY VALUES?
• Values explain the motivational basis of attitudes and behaviors
(Schwartz, 2011).
• The advantage of using values go deeper than attitudes and behaviors
and can serve to explain behavior over the long term (Kotler, 2000)
• Values are also important to marketers because they can be used as a
basis for advertising and communication strategies (Tóth and Totth,
2003).
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WHY WE USED THE SCHWARTZ THEORY OF BASIC VALUES
Strong theoretical underpinnings, validated in many diverse settings.
Proposes 10 different universal values.
Determines how these 10 values relate to each other.
Arranges the 10 values on a continuum of related motivations.
The 10 values are aligned with the other values with which they are
most congruent and away from those that are most likely to cause
conflict.
• By grouping values that are contiguous to each other, four motivational
groups emerge.
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THE 10 UNIVERSAL VALUES AND THE ASSOCIATED MOTIVATIONS
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THE FOUR MOTIVATIONAL GROUPS
Self-enhancement
Conservation
Self-transcendence
Openness to change
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VALUES ASSOCIATED WITH THE FOUR MOTIVATIONAL GROUPS
• Self-enhancement
– Hedonism*, Achievement and Power
• Conservation
– Security, Conformity and Tradition
• Self-transcendence
– Universalism and Benevolence
• Openness to change
– Self Direction, Stimulations and Hedonism*
(Hedonism is found in both Motivational Groups)
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VALUES ASSOCIATED WITH THE FOUR MOTIVATIONAL GROUPS
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LITERATURE REVIEW – VALUES AND WINE
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Spawton (1991) was one of the first scholars to propose incorporating values into
wine market segmentation.
Personal values have been used to explain whether consumers drink wine and to
what extent (d’Hauteville, 2003).
Values influence wine consumption compared to other alcoholic beverages in
different consumption situations (Agnoli, et al., 2011).
Values explain consumers’ preferred attributes and orientation to wine (Hall, 1999,
Hall and Winchester, 2000).
Values can have a significant influence on the selection of wine on different
occasions (Hall et al, 2001; Oppenheim et al, 2001; Cavicchi et al, 2008).
Values influence the entire decision making process for selecting a wine (Tóth and
Totth, 2003).
Values have also been shown to relate to wine tourism behavior (Simpson, et al.,
2004).
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VALUES AND SPECIFIC WINE BEHAVIOR
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METHODOLOGY- SAMPLE
Online study conducted in 2014
977 usable surveys collected
Panel data provider Survey Sampling International
Respondents are over 21, are at least occasional drinkers of wine, and
come from all 50 states.
• Not a representative sample, although an attempt to match sample to
known parameters of age and gender were employed.
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MEASUREMENT OF CONSTRUCTS
• Measures previously developed for Schwartz’s values used Likert type
scales (6 point scales)
• Measures for wine related behaviors were adapted from previous
research and Likert type scales (5 point for wine related behaviors)
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CREATING THE 4 MOTIVATIONAL GROUPS
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Cluster analysis was used to create a 4 group solution
The 10 universal values responses were used to create the 4 groups
Anova was used to describe membership in each of the four groups.
Duncan’s Post Hoc test was used to determine which groups were
significantly different than others.
• The analysis confirmed that the four group solution approximated the 4
motivational groups identified by Schwartz.
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ANOVA FOR 4 VALUE MOTIVATIONAL GROUPS
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FOUR VALUE SEGMENTS AND WINE RELATED BEHAVIORS
* 5 item scale, Chronbach’s Alpha .89
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SEGMENT MOTIVATED BY SELF-ENHANCEMENT
• These wine consumers want to have fun, but also want personal success
through status and prestige
• Relatively high on wine involvement
• Highest subjective wine knowledge
• Enjoys wine tourism
• Most wine innovativeness
• Mid-range in global wine orientation
• Slightly more interested in organic wines
• Most likely to consult friends and online sources about wine
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CONSERVATISM
Hold more traditional and security based values
Drink wine, but not as involved in the product category
Do not feel they are very knowledgeable about wine
Not as interested in visiting wine regions, trying new or unusual wines,
imported or organic wines
• Least likely to consult with friends or online sources about wine
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SELF-TRANSCENDENCE
• Strong interest in humanity and nature
• Ranked in the middle on most of the measures of wine-related behavior
• Highest is with having a global orientation and trying wines from
different countries
• They show some interest in organic wines as do 2 other groups, but they
did not have the highest mean on this measure as might be expected
given their concern for nature and the environment.
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OPENNESS TO CHANGE
• Highest in novelty, stimulation, pleasure and mastery
• Scored high on most measures of wine related behavior
• This group of consumers is quite similar to the Self-enhancement
segment in most regards.
• Slightly less knowledgeable than members of Self-enhancement,
perhaps because they are a less likely to consult with friends and online
sources about wine
Implications
• Supports previous research that
consumers who are involved
with wine have values
associated with:
– hedonism, pleasure,
– power,
– enjoyment and novelty
• Wine consumers who are less
involved with wine, favor values
of: tradition and security
Implications
WHAT DO THE FINDINGS MEAN FOR WINE MARKETERS?
• Promotional messages can be
developed to appeal to different
segments
• Sustainable winemaking and
vineyard practices appeal to 3
segments, a broad appeal
• Creating unique wine events for
different value segments
Future Research
• Do values influence preference for
specific brands?
• Include age and life cycle in analysis
to see how they influence and shape
values
• More investigation to different online
and mobile platforms
• More representative sample, samples
from different countries
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QUESTIONS AND COMMENTS?