BUFFALO, N.Y. -- A survey of wine drinkers conducted by the
University at Buffalo School of Management has found that 54
percent say they are opposed to a New York State proposal to sell
wine in supermarkets.
In a survey of more than 5,000 households, 42 percent of those
opposing wine sales in supermarkets cited "negative impact on small
businesses" as their reason for doing so. Other reasons included
reduction of wine selection (19 percent), likely end of
personalized services (15 percent), end of a unique shopping
experience at specialty stores (11 percent), perceived unfairness
of competition (8 percent), potential for abuse/unhealthy buying
behavior due to wider availability (7 percent) and loss of jobs in
a troubled economy (4 percent).
Of those who support the proposal, 87 percent favored it for
shopping convenience. Another 10 percent anticipated a decline in
the price of wine, and 5 percent favored it because it promoted
greater competition.
"Unlike other studies that have surveyed the general population,
all of the participants in this study were actual consumers of
wine," says Arun Jain, Samuel P. Capen Professor of Marketing
Research in the UB School of Management.
According to the co-authors of the study, Jain, Ram Bezawada and
Gary Pickering, survey participants included both men (38 percent)
and women (62 percent) representing all age, income and education
groups. Jain and Bezawada are co-directors of the school's Research
Group in Integrated Marketing (RIM). Pickering is a professor of
biological sciences and psychology/wine science at Brock University
in St. Catharines, Ontario.
In general, support for wine sales in grocery stores was
greatest among the young, who are more pressed for time and favored
convenience. Older households tended to oppose the selling wine in
supermarkets.
When asked how the availability of wine in supermarkets would
impact how much wine they purchase, 70 percent of participants said
they would buy the same amount, while 17 percent anticipated
purchasing more wine and 13 percent said they would buy less.
"These findings are important because proponents of this
proposal claim that wine sales, and therefore tax revenues, will
increase greatly if wine is sold in grocery stores, but the truth
is that there will be little change," Jain says.
"In the end, approval of the proposal to sell wine in
supermarkets will be detrimental to smaller wine stores because
they cannot make the volume purchases of a large supermarket
chain," Jain says. "In addition, grocery stores do not have enough
shelf space to carry an extensive selection, and their employees
are not as knowledgeable about wines, so what the consumer may gain
in competitive pricing will be offset by the loss of variety and
expertise."
The UB School of Management is recognized for its emphasis on
real-world learning, community and economic impact, and the global
perspective of its faculty, students and alumni. The school has
been ranked by Bloomberg Businessweek, the Financial Times, Forbes,
U.S. News & World Report and The Wall Street Journal for the
quality of its programs and the return on investment it provides
its graduates. For more information about the UB School of
Management, visit http://mgt.buffalo.edu.
The University at Buffalo is a premier research-intensive public
university, the largest and most comprehensive campus in the State
University of New York. UB's more than 28,000 students pursue their
academic interests through more than 300 undergraduate, graduate
and professional degree programs. Founded in 1846, the University
at Buffalo is a member of the Association of American
Universities.