Assessing brand equity in the luxury wine market by exploiting tastemaker scores

• Purpose: Calculating brand equity, the price differential that a branded product is able to charge compared to an unbranded equivalent, often suffers from a lack of a means to truly determine equivalence. Luxury wines have the benefit of an established measure of equivalency – the Parker score. Robert Parker’s influence as a tastemaker provides a point of comparison across brands. This study looks at brand equity of Bordeaux classified growth wines considering château brands, growths and vintages to illustrate the intangible value for the consumer. Design/methodology/approach: Using price and wine-specific data from Wine-Searcher.com, an online database and search engine, an initial sample of 393 wines with Parker scores ranging from 72 to 100 is presented. A subset of perfect wines, with 100-point Parker scores, is also reviewed focusing on the great vintage of 2009. Findings: The results indicate that brand equity in the luxury wine market exists. Not only is this true for the brand of a specific château, but there is also equity associated with the vintage and the growth. Practical implications: This offers practical implications for brand managers in positioning their wines. Originality/value: An analysis of luxury wines supports the financial perspective on brand equity, especially when there is a viable means of determining equivalence, such as the Parker score.

Subject headings

SAMHÄLLSVETENSKAP  -- Ekonomi och näringsliv -- Företagsekonomi (hsv//swe)

SOCIAL SCIENCES  -- Economics and Business -- Business Administration (hsv//eng)

Keyword

Financial brand equity

Luxury branding

Marketing strategy

Wine marketing

Industrial Marketing

Publication and Content Type

ref (subject category)

art (subject category)