Valuation of wine attributes : a hedonic price model on wine sales in Sweden

Sammanfattning: The demand for wine in Sweden is increasing. With this increase in demand for wine it is important to establish what the characteristics the consumers are willing to pay extra for. Using this, an equilibrium for demand and supply at a suitable price can be found. This study investigates the consumers’ willingness to pay for certain wine attributes through two approaches of a hedonic price model. The results show that the price of wine is affected by a great number of attributes in various ways. It is clear that the origin, taste segment and colour segment have the most impact on the price of wine.