Do Millennial generation's wine preferences of the “New World” differ from the “Old World”?

Abstract

Purpose – The aim of this study is to analyse Millennial generation's preferences for wine attributes in two countries, one from the “New World” (USA) and the other from the “Old World” (Spain), in order to see whether they are different. Heterogeneity in attribute importance is investigated, with wine consumers classified into different segments according to attribute importance. Design/methodology/approach – The Best-Worst choice method was used with information obtained from a survey conducted in two cities of Spain and the USA (Zaragoza and Fayetteville), respectively. Then, attribute importance heterogeneity was modelled and consumers were classified with a latent class model. Findings – The results indicate that American and Spanish Millennial consumers present some similarities but also some differences in wine preferences. While Millennial consumers in the USA attributed more importance to “I tasted the wine previously”, Spanish Millennials ascribed more importance to the “designation of origin”. Moreover, heterogeneity in attribute importance in both countries was detected and five consumer segments were identified showing clear differences in terms of the importance attached to different wine attributes: “Traditionalists”, “Wine seekers”, “Label fans”, “Insecure” and “Price conscious”. These wine consumer segments could be characterized by traditional socio-demographic profiles and only differed in wine consumer preferences. Originality/value – The Best-Worst method, used to compare wine consumers from the “New World” and the “Old World”, asks them to choose among hypothetical wines defined by a mix of traditional and novel attributes, according to previous studies.