IDEAS home Printed from https://ideas.repec.org/a/sae/amerec/v59y2014i1p76-89.html
   My bibliography  Save this article

The Snob Effect of Red Wine: Estimating Consumer Bias in Experimental Blind Wine Tastings

Author

Listed:
  • Kyle Peterson

Abstract

Rising wine production in the United States has led to increased product availability in terms of price and grape varieties used to make the wines. This paper examines the potential biases that consumers may have regarding price and grape blend compositions of red wines, with a focus on the biases that consumers may have against inexpensive wines and wines that are made from university-developed hybrid grape varieties. Specifically, this paper finds that consumers rate a wine less favorably when they are told it is inexpensive, while information revealing that a wine is a hybrid grape variety has no impact on consumer rating. These impacts, however, vary across gender and purchasing behavior.

Suggested Citation

  • Kyle Peterson, 2014. "The Snob Effect of Red Wine: Estimating Consumer Bias in Experimental Blind Wine Tastings," The American Economist, Sage Publications, vol. 59(1), pages 76-89, May.
    • Handle: RePEc:sae:amerec:v:59:y:2014:i:1:p:76-89
    DOI: 10.1177/056943451405900107
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/056943451405900107
    Download Restriction: no
    File URL: https://libkey.io/10.1177/056943451405900107?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Goldstein, Robin & Almenberg, Johan & Dreber, Anna & Emerson, John W. & Herschkowitsch, Alexis & Katz, Jacob, 2008. "Do More Expensive Wines Taste Better? Evidence from a Large Sample of Blind Tastings," Journal of Wine Economics, Cambridge University Press, vol. 3(1), pages 1-9, April.
    2. Cuellar, Steven S. & Huffman, Ryan, 2008. "Estimating the Demand for Wine Using Instrumental Variable Techniques," Journal of Wine Economics, Cambridge University Press, vol. 3(2), pages 172-184, January.
    3. Cuellar, Steven & Huffman, Ryan, 2008. "Estimating the Demand for Wine Using Instrumental Variable Techniques," Working Papers 44085, American Association of Wine Economists.
    4. Solnick, Sara J. & Hemenway, David, 2009. "Do spending comparisons affect spending and satisfaction?," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 38(4), pages 568-573, August.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Palma, David & Ortúzar, Juan de Dios & Rizzi, Luis Ignacio & Guevara, Cristian Angelo & Casaubon, Gerard & Ma, Huiqin, 2016. "Modelling choice when price is a cue for quality: a case study with Chinese consumers," Journal of choice modelling, Elsevier, vol. 19(C), pages 24-39.
    2. Cuellar, Steven S. & Brunamonti, Marco, 2014. "Retail channel price discrimination," Journal of Retailing and Consumer Services, Elsevier, vol. 21(3), pages 339-346.
    3. Francisco B. Galarza & Gabriella Wong, 2017. "The Impact of Price Information on Consumer Behavior: An Experiment," Working Papers 106, Peruvian Economic Association.
    4. de Meza, David & Pathania, Vikram, 2021. "Is the Second-Cheapest Wine a Rip-Off? Economics vs. Psychology in Product-Line Pricing," Working Papers 321852, American Association of Wine Economists.
    5. Zander, K. & Janssen, M., 2013. "Präferenzen deutscher Öko-Konsumenten für Wein," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 48, March.
    6. Cross, Robin & Plantinga, Andrew J. & Stavins, Robert N., 2011. "The Value of Terroir: Hedonic Estimation of Vineyard Sale Prices," Journal of Wine Economics, Cambridge University Press, vol. 6(1), pages 1-14, January.
    7. Lamla, Michael J. & Vinogradov, Dmitri V., 2019. "Central bank announcements: Big news for little people?," Journal of Monetary Economics, Elsevier, vol. 108(C), pages 21-38.
    8. Robin Cross & Andrew J. Plantinga & Robert N. Stavins, 2011. "What Is the Value of Terroir?," American Economic Review, American Economic Association, vol. 101(3), pages 152-156, May.
    9. Andreas C. Drichoutis & Stathis Klonaris & Georgia Papoutsi, 2016. "Do good things come in small packages? Willingness to pay for pomegranate wine and bottle size effects," Working Papers 2016-2, Agricultural University of Athens, Department Of Agricultural Economics.
    10. Friberg, Richard & Paterson, Robert W. & Richardson, Andrew D., 2011. "Why is there a Home Bias? A Case Study of Wine," Journal of Wine Economics, Cambridge University Press, vol. 6(1), pages 37-66, January.
    11. Maya Bar-Hillel & Alon Maharshak & Avital Moshinsky & Ruth Nofech, 2010. "Does a Rose by any other Name Smell as Sweet? A Cognitive Perspective on Poets and Poetry," Discussion Paper Series dp549, The Federmann Center for the Study of Rationality, the Hebrew University, Jerusalem.
    12. Maya Bar-Hillel & Alon Maharshak & Avital Moshinsky & Ruth Nofech, 2012. "A rose by any other name: A social-cognitive perspective on poets and poetry," Judgment and Decision Making, Society for Judgment and Decision Making, vol. 7(2), pages 149-164, March.
    13. Sambucci, Olena & Sumner, Daniel A. & Goldstein, Robin, 2020. "Effect of taxes and costly regulations on the licensed and unlicensed cannabis markets," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304602, Agricultural and Applied Economics Association.
    14. Rössel, Jörg & Beckert, Jens, 2012. "Quality classifications in competition: Price formation in the German wine market," MPIfG Discussion Paper 12/3, Max Planck Institute for the Study of Societies.
    15. Julian M. Alston & Davide Gaeta, 2021. "Reflections on the Political Economy of European Wine Appellations," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 7(2), pages 219-258, July.
    16. Babaioff, Moshe & Dobzinski, Shahar & Oren, Sigal, 2022. "Combinatorial auctions with endowment effect," Games and Economic Behavior, Elsevier, vol. 136(C), pages 255-273.
    17. Almenberg, Johan & Dreber, Anna, 2011. "When Does the Price Affect the Taste? Results from a Wine Experiment," Journal of Wine Economics, Cambridge University Press, vol. 6(1), pages 111-121, January.
    18. Enax Laura & Weber Bernd, 2015. "Marketing Placebo Effects – From Behavioral Effects to Behavior Change?," Journal of Agricultural & Food Industrial Organization, De Gruyter, vol. 13(1), pages 15-31, January.
    19. repec:cup:judgdm:v:7:y:2012:i:2:p:149-164 is not listed on IDEAS
    20. Barbara Groele & Dominika Głąbska & Krystyna Gutkowska & Dominika Guzek, 2019. "Mother-Related Determinants of Children At-Home Fruit and Vegetable Dietary Patterns in a Polish National Sample," Sustainability, MDPI, vol. 11(12), pages 1-18, June.
    21. Garavaglia, Christian & Marcoz, Elena Maria, 2014. "Willingness to pay for P.D.O. certification: an empirical investigation," International Journal on Food System Dynamics, International Center for Management, Communication, and Research, vol. 5(1), pages 1-12, July.

    More about this item

    Keywords

    wine; price; experimental; hybrid; bias;
    All these keywords.

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:amerec:v:59:y:2014:i:1:p:76-89. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: http://journals.sagepub.com/home/aex .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.