Consumer preferences and willingness-to-pay for sustainable wine products: Incentives for improving environmental management practice for New Zealand winegrowers

Abstract

This research report builds upon previous research conducted by the Agribusiness and Economics Research Unit (Tait, Rutherford, Driver, Li, Saunders and Dalziel, 2018), funded by the Our Land and Water (OLW) National Science Challenge. The report further analyses the results of a survey of US (California) wine consumers to assess the impact of demographic, behavioural and psychographic segments on the purchase of sustainable New Zealand sauvignon blanc wine. The results show greater consumption of sustainable New Zealand sauvignon blanc by younger consumers, those with higher incomes, higher engagement with wine labels, and those with environmentally friendly attitudes and behaviours. These results suggest an opportunity to increase returns for New Zealand winegrowers by responding to demographic, behavioural and psychographic consumer signals, including clearer communication of sustainability credentials via the wine label, particularly for organic products. These findings may provide incentives for New Zealand winegrowers to improve current environmental management practices.