Identifying The Purchasing Motives And Behaviour Responses Of Imported Wine Consumers In Shanghai Case Study:Bottlesxo International

In the wake of China’s economic boom and rise of the middle class,the Chinese imported wine market has grown exponentially,becoming increasingly complex and influential on an international scale.The initial demand for expensive Bordeaux reds,which led to French wines dominating 70% of the imported wine market,has declined in recent years.Wine purchasing motives such as country of origin(COO),are no longer the go-to indicator of a quality wine in China.(Yap and Chen 2017)The Chinese market has spawned a new variety of wine consumer.Chinese wine consumers have matured to the extent that elements such as price and COO can no longer be perceived as the primary purchasing motives behind wine consumption in China.Understanding the purchasing motives of consumers is naturally at the forefront of all marketers.(Agnoli,Capitello,and Begalli 2014)In an environment such as the Chinese imported wine market,particularly in first tier cities such as Shanghai,this element of business becomes even more crucial,as competition is extremely high and product differentiation limited.The main objectives of this study are to identify the variables that determine what motivates imported wine consumers in Shanghai to purchase and consume imported wine,and to further investigate the relationship between purchasing motives and consumer behavioural response,thereby providing all wine retailers in Shanghai with a reference of useful information with which to build future marketing strategies.Results from this study may contribute to explaining the complex phenomena of what purchasing motives produce different behavioural responses and purchasing behaviours of imported wine consumers in Shanghai.More specifically,the focus of this thesis lies in the combined behavioural patterns of both Chinese and expatriate imported wine consumers.Understanding consumer behaviour enables marketing departments to predict the behaviour response of their customers and alter their marketing strategy accordingly,enabling efficiency in terms of customer acquisition and revenue per customer.In the interest of measuring consumer behaviour,a two-variable model has been devised,featuring the relationship between consumer purchasing motives and consumer behaviour.The researcher will strive to observe,measure and ultimately understand in a greater depth how preconceived purchasing motives can manipulate and ultimately predict the behavioural response of the market segment in question.To accomplish the purpose of this research,a mixed method approach was applied and developed through a series of interviews and an online survey.Although the original intention was to apply a purely qualitative approach,a mixed method study documented by Engelbrecht,Herbst and Bruwer convinced the researcher that a mixed method would be more appropriate.(A.Engelbrecht,Herbst,and Bruwer 2014)The interviews were conducted for the purpose of uncovering the main purchasing motives experienced by imported wine consumers in Shanghai.The interview sample will consist of approximately 10 expat respondents and 10 Chinese respondents.The questionnaire will consist of approximately 100 respondents.The overall sample of imported wine consumers in Shanghai responded either neutrally,in agreeance,or in strong agreeance with the purchasing motives and corresponding behavioural responses proposed by the researcher in both Study 1 and Study 2.In terms of weight distribution and hierarchy of purchasing motives relative to frequency of agreeable survey responses or frequency of interview mentions,and later supported by statistical analysis techniques such as descriptive statistics and bivariate correlation,Value for Money was found to be most frequented and therefore influential,followed by Hedonism,Credibility and Involvement.The framework proposed is adapted from Foxall’s Behavioural Perspective Model,1 which focusses on three main variables: consumer motives,behaviour response,and environmental stimuli.In this revised model,behavioural response is positively related to consumer motives.Further,a framework consisting of two recognised scales is developed,which can be used to compare other markets,countries or groups in the future.