Measuring price sensitivity to the consumption situation

• Autor(a) principal: Candeias, Teresa
• Data de Publicação: 2024
• Outros Autores: Alonso, Hugo
• Tipo de documento: Artigo
• Idioma: eng
• Título da fonte: Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
• Texto Completo: http://hdl.handle.net/10773/42374
• topic: Wine; Consumption situation; Willingness to pay; Sensitivity measure

Consumer segmentation is very relevant in the design of wine marketing strategies. Previous studies showed that there is a relationship between the consump-tion situation and the willingness to pay for a bottle of wine. In this sense, the con-sumption situation is considered a segmentation variable. However, price sensitivity in relation to the consumption occasion was not measured. In this paper, we propose four measures of price sensitivity to the consumption occasion. We illustrate how to com-pute them and discuss their advantages and limitations. One of the measures only dis-criminates consumers that are sensitive to the consumption occasion from those who are not. In turn, the other measures are more informative and make it possible to dis-tinguish between different degrees of sensitivity. The proposed measures can be used to classify consumers and further improve the knowledge of wine marketeers and deci-sion makers in the wine industry about them.