Marta David - Wine For Image: An Examination of Millennials in Hungary

Master Thesis
Wine for Image: An Examination of Millennials in Hungary
submitted by
Marta David (1210271003)
in fulfilment of the requirements for the degree of
Master of Arts in Business
to the faculty of International Wine Marketing
of the University of Applied Sciences Burgenland
Supervisor: Prof. Dr. Ulrich Orth
Eisenstadt, 19 September 2015

M. David International Wine Marketing Master’s Program 2015
Declaration of Authorship
I, Marta David (1210271003), hereby declare that
(1) the present Master Thesis entitled:
Wine for Image: An Examination of Millennials in Hungary
have created unassisted, using only the cited sources.
(2) I guarantee that I do not have a Master Thesis or any other written work
submitted with the same or similar topic.
Eisenstadt, 19.09.2015
Signature
i
Abstract
For the last few years, the Hungarian wine culture has been booming - excellent wines
are being produced and the young adult generation (the so called Millennials) is
getting more interested in wine. Numerous wine bars and wine events have emerged
in the capital and around the country, attracting thousands of wine lovers. Consuming
wine, attending wine events and sharing the experience with the world on social media
sites is in vogue. The purpose of this thesis is to examine the reasons behind this
development, and whether this generation tends to consume wine to show
sophistication and a sense of belonging to a specific social group.
In order to understand the outlined phenomena, a review of current literature on this

market segment (Hungarian wine consuming Millennials) and on the term
conspicuous consumption is undertaken. Primarily an in-depth interview is conducted
with a well-informed expert of the Budapest wine scene. After this, structured
questionnaires are distributed among wine consuming Millennials, aged between 18
and 35. Subsequently, the results are analysed using SPSS analytics software.
The findings suggest that the overall majority of Millennial wine consumers choose
wine for sensory enjoyment rather than perceived social status. Respondents do
acknowledge that wine is hip and cool, but it does not signify conspicuous
consumption. In conclusion, it was found that Hungarian wine consuming Millennials
do not drink wine to display a certain image, but that they are generally interested in
and opened to wine and its culture.
Keywords: Hungarian Millennials, wine consumption, conspicuous consumption, social

status, image
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Executive Summary
The starting point of this thesis is the current situation that prevails in the Hungarian
wine industry. Over the last two decades, the wine industry has undergone substantial
modernization, and has lined up with Western standards. Next to well-known, big
wineries emerge smaller, new generation wineries with great expertise and machinery.
Simultaneously, wine culture shows continuous progress not just the wine market.
High quality products emerge on the shelves of wine shops, and consumers search for
such items. The environment of wine consumption has changed significantly, wine
bars, wine events, wine shops are to be found all over the capital. Such establishments
play an important role in enhancing the wine culture and indirectly evoke consumers’
instinct to interact with wine.
Wine festivals have become highly popular in the recent decade. The number of
festivals is growing, just like the number of visitors of such events. Throughout the
year there is always opportunity to organize wine events, for example harvest, new
wine, summer festivals. The visitors of wine festivals are quite diverse in age and wine
affinity. It gives a good opportunity to socialize and to taste unfamiliar wines. There
also lies a great chance for wineries and marketers to attract and reach potential
consumers, so these events are a platform of wine marketing activities.
The bustling wine life suggests that wine became trendy and fashionable. The
increased number of consumers and wine bars raise the question what drives people to
wine, what is their connection to wine. The awareness of the motivation of wine
consumption is crucial to marketers and wineries, as such information helps them
develop successful marketing strategies.
The thesis focuses on the generation group Millennials, those who are now between 18
and 35. This consumer segment shows grate interest in wine, they have a considerate
amount of disposable income and free time. They are very social, open to new products
and experiences. These people are most influenced by their peers and reference groups.
They are very precious to brands as they are brand conscious, early adopters and
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active brand promoters on social media. They are at the edge of becoming loyal long
term consumers if the marketers are able to understand and fulfil their needs.
The main question of the thesis is whether Hungarian Millennials consume wine for its
sensory characteristics or to display social status, sophistication and self-image. Such
behaviour is identified as conspicuous consumption, which by definition focuses on
the visual display or overt usage of products in the presence of others.
The aim of the study is to understand young adult wine consumers’ expectation
towards wine, their perception of wine and motivation to drink wine. Are they driven
by the need for acceptance among their circle of friends or they generally like the taste
of wine and want to know about the wine they are drinking? Do they feel like wine
consumption represents a certain status? The main expectation is to be able to provide
accurate and useful data for marketers and wineries.
In order to obtain appropriate information and be able to answer the established

questions, an expert interview was carried out and a structured questionnaire was
employed. The questionnaires were distributed in wine shops, wine bars, and wine
festivals and on blogs and social media sites. The sampling population consists of
those consuming wine at least twice a month and are between the age of 18 and 36.
Important findings of the research show that Millennials prefer white and rosé wine in
general, but knowledgeable core consumers have a preference towards red wine. The
majority of the respondents would choose a Hungarian wine over imported wines,
however mostly women and knowledgeable drinkers are open to try new items. The
most respondents stated that they consume wine very often at home, which result
suggests the not conspicuous nature of their consumption. The level of wine
knowledge was admitted to be low, which conclude the need for educating the
Millennial wine consumers. That can be useful information for wineries. Most people
reported that they most frequently purchase their wine in supermarkets. This
behaviour is not unusual to western countries either, but it supports the results
concerning the wine knowledge. People feel more comfortable choosing wine in a
supermarket than in a wine shop. Results show that the customers of wine shops are
knowledgeable 30+ wine consumers. Wine dinners are also visited by this segment,
which hints marketers where to target them.
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The research not only successfully provided relevant information about the target
generation and its wine attitude, but the aim of the study was achieved, the research
question could be answered. The respondents clearly reported that they consume wine
for its sensory pleasure, and do not expect to gain respect or social status when
consuming wine. They do agree that wine is trendy, but they denied agreeing that
consuming wine in a conspicuous manner is trendy. According to the present research
Hungarian Millennials do not see wine as a way to inform their peers about their
image.
Consequently, marketers and wineries should grab the opportunity of this generation’s
openness towards wine and do everything to seize their interest of learning about
wine. This way today’s young generation will be knowledgeable wine enthusiasts,
who can pamper Hungary’s wine culture.
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Table of content
Declaration of Authorship ......................................................................................................... i

Abstract........................................................................................................................................ ii
Executive Summary .................................................................................................................. iii
Table of content ......................................................................................................................... vi
List of Tables ............................................................................................................................viii
List of Figures ..........................................................................................................................viii
1. Introduction ........................................................................................................................ 1
1.1. Background of the subject ......................................................................................... 1
1.2. Research Question ...................................................................................................... 3
1.3. Aims and objectives ................................................................................................... 3
1.4. Methodological approach ......................................................................................... 4
1.5. Structure of the research............................................................................................ 4
2. Theoretical background..................................................................................................... 5
2.1. Hungarian wine culture ............................................................................................ 6
2.1.1. Wine consumption habits of Hungarians ....................................................... 6
2.1.2. Consumer segments ........................................................................................... 8
2.1.3. Wine festivals ...................................................................................................... 9
2.1.4. Wine marketing ................................................................................................ 10
2.2. Millennial generation as target group ................................................................... 12
2.2.1. Market segmentation ....................................................................................... 12
2.2.2. Millennials ......................................................................................................... 13
2.2.3. Millennials and wine ....................................................................................... 16
2.3. The theory of conspicuous consumption .............................................................. 18
2.3.1. Conspicuous consumption ................................................................................... 18
2.3.2. Conspicuous wine consumption .......................................................................... 20
2.4. Summary ................................................................................................................... 22
3. Empirical Study ................................................................................................................ 22
3.1. Research methodology ................................................................................................. 22
3.1.1. Interview.................................................................................................................. 22
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3.1.2. Research questionnaire .......................................................................................... 24

3.1.3. Sampling, data collection and analysis ............................................................... 25
3.1.4. Results and discussion........................................................................................... 26
3.3. Conclusion................................................................................................................. 38
4. Summary ........................................................................................................................... 39
4.1. Discussion and Conclusion .......................................................................................... 39
4.3. Marketing references ............................................................................................... 41
4.4. Limitations ................................................................................................................ 42
Bibliography.............................................................................................................................. 43
Appendices ............................................................................................................................... 48
Curriculum Vitae...................................................................................................................... 58
vii
List of Tables
Table 1: Generational labels and dates reported in different sources
Table 2: Results of Question 16
List of Figures
Figure 1: Structure of the research
Figure 2: Psychological associations of conspicuous wine consumption
Figure 3: Graphical presentation of Question 1
Figure 12: Graphical presentation of gender distribution in sampling population
Figure 13: Graphical presentation of the level of education in sampling population
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1. Introduction
1.1. Background of the subject
Hungary belongs to the traditional wine growing and consuming countries in Europe.
Historical changes overshadowed the continuous development of wine making and for
40 years wine production suffered inestimable damages. The tradition of Hungarian
quality wine production was mishandled in the period before the political turn.
Consequently, after the dissolution of the Common Market Community, the whole
wine industry had to be placed on new foundations. Over the past two decade, the
industry has undergone massive modernization, with the purpose of lining up with
Western standards. Hungarian wine producers re-formed their own unique wine
styles. The whole industry was dedicated to concentrate on the philosophy of quality
over quantity. Big producers emerged, with the main goal of making excellent quality
wine. Since then, overcoming all obstacles, these big names provide a standard quality
from vintage to vintage and receive repeated international appreciation. In the recent
years the second generation of wine makers overtook some of the relevant wineries.
These young wine makers studied abroad and came back to Hungary with
comprehensive knowledge and practice, nevertheless with the purpose of creating
internationally recognized Hungarian wines.
At the same time, not only the wine market but also the wine culture project
continuous improvement. There is a notable growth of producers and high quality
products. Even the small so called hand-crafted wineries manage to secure their place
on the market and in the mind of the consumers. The culture of wine consumption has
also shifted from quantity to quality. The expanding of the environment for
sophisticated consumption, like emerging wine bars, wine events, restaurants offering
quality wines by sommeliers, has played a significant role in spreading refined wine
culture. Such important changes in the wine milieu entail the consequences of
increased consumer knowledge and growing interest towards wine.
Different wine events have become extremely popular in the recent decade. The
number of wine festivals is growing each year; every wine region organizes their own
festival, sometimes in each season. The popularity of these events is outstanding,
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supplementary programmes draw potential wine consumers too. Due to the

phenomenal atmosphere visitors, even if not wine consumers, join their friends or
colleagues and consider such events as socializing opportunities. The younger
generation is generally influenced by others around them. Many of them get
introduced to wine through acquaintances or family members. Informal events are
perfect opportunities to taste and get to know wine. Such events are also crucial from
the marketers’ point of view to target their customers in such favourable
circumstances. The young generation, between the age of 18 and 35 are very open to
try new products. Marketers understanding the wants and needs of this generation
have the chance to win lifelong customers. Although in Hungary there is no
established collective wine marketing activity, producers find the way to reach young
potential drinkers. Facebook and other social media sites are of enormous importance
in their efforts. These websites make it possible to reach thousand of potential
consumers fast and inexpensively. Young people are very open to their requests on
social media and because of the possibility to follow for example a winery’s activities,
they immediately feel a connection with the winery, so the next time they have to
choose a wine, they would think about that familiar one. As a response consumers
would also want to be a part of the familiar winery’s life and they post pictures of
attending their event or drinking their wine. Thus they unconsciously become a
messenger of the winery as well. Building a connection with the consumers is crucial to
the wineries, and with the help of social media, it became easy too.
According to different studies and expert opinions wine has become a fashionable
beverage to consume. Some people prefer wine to beer due to its more sophisticated
nature. The questions, what drives consumers, what is their affinity to wine, arises
from the increased number of wine consumers in a short period of time. The
motivation of wine consumption is relevant information for marketers to be able to
address and successfully target their potential or existing customers. The literature use
the term conspicuous consumer when people consume wine to show sophistication
and for the sense of belonging to a specific social class. Conspicuous consumption
focuses on the visual display or overt usage of products in the presence of others.
Other consumers drink wine for its taste, its sensory character.
The importance of this thesis lies within the theory of demographic and geographic
market segmentation. The thesis focuses on the Hungarian market, as every country’s
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wine market is different and the majority of the studies concerning consumption habits
discuss overseas markets. At the same time this thesis aims attention at the specific
generation group, the Millennials. The Millennials are those born between 1981 and
1999. These young adult are either not yet familiar with quality wine or are in the
process of becoming knowledgeable wine consumers. Either way it is essential for
marketers to know and understand this generation, as they have the potential of
becoming long term loyal customers.
1.2. Research Question
From the expounded train of thoughts, the following research question was
established.
Is sensory enjoyment less important to the Generation Y wine consumers than the
impression of sophistication wine endows upon people?
1.3. Aims and objectives
The purpose of the thesis is to identify different wine consumers and understand their
expectations towards wine. How do young adults perceive wine and what are the
reasons for consumption? Are they driven by the need for acceptance among their
circle of friends or they generally like the taste of wine and want to know about the
wine they are drinking? Do they feel like wine consumption represents a certain
status? The aim of the thesis is to help marketers understand the intentions that drive
young consumers to wine. Whether they expect to attain a desired image, or a simple
hedonistic enjoyment of wine consumption. The objective is to find out more
information about the young generation, between the age of 18 and 35, their view on
wine and their consumption habits and attitude towards quality wine.
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1.4. Methodological approach
To set up appropriate hypotheses a comprehensive and perspicacious research of the

existing literature on the topic is to be carried out. Both qualitative and quantitative
research method is used in order to gain an adequate perspective of the subject. The
two approaches provide different perspectives and usually complement each other. In-
depth interviews help to develop an approach to the problem, never the less to go
deeper into issues of interest and explore nuances related to the problem. An expert
interview with a sommelier wine bar manager is beneficial to have a deeper
understanding of the consumption patterns, and can provide details concerning the
types of customers and the most sold wine.
Quantitative research tries to quantify the problem and understand how common and
frequent it is by looking for projectable results to a larger population. A structured
questionnaire is employed in order to collect the necessary data from a wide range of
wine consuming Millennials. According to the latest census data, 21% of the
population fall into the examined generation, but the condition of taking part in the
survey is to be regular wine consumers. The most effective way to reach those people is
through online and paper questionnaires. The paper and electronic version will be
distributed at wine events (festivals, harvests, wine dinners), wine bars, wine shops,
and their websites and pages. Because the target group (Millennials who consume
wine) are most likely to visit these places or websites. The results will be compared to
the results of the qualitative research, connections will be examined and conclusions
will be drawn. The goal is to be able to collect adequate and useable results in order to
assist marketers’ efforts.
1.5. Structure of the research
The following diagram visually displays the individual milestones and research stages
of the thesis. In accordance with this model, the author worked towards answering the
research question, with the help of the elaborated questionnaire.
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• Research proposal
• Literature review
• Designing the research model
• Customizing the questionnaire

• Conducting the interview
• Testing the questionnaire
• Revising the questionnaire
• Data collection
• Data analysis
• Conclusion and suggestions
Figure 1: Structure of the research

Source: own, constructed with Microsoft Word
In the following chapter the current status of literature and research will be introduced
to attain the necessary and desired knowledge about the topic and its essential
segments.
2. Theoretical background
In the following chapter a detailed overview of the current literature about the matter
is collected. This section contains information about the Hungarian wine market, its
consumers, and the consumption habits of the consumers. Furthermore a relevant part
of the Hungarian wine culture, the wine festivals and their importance are introduced,
additionally facts about the Hungarian wine marketing activities are presented.
The important target group, the Millennial generation is examined, as well as their
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affinity to wine. International literature was reviewed about the theory of conspicuous
consumption in order to demonstrate adequate material on the topic.
2.1. Hungarian wine culture
2.1.1. Wine consumption habits of Hungarians
Parallel to the development of the wine market in Hungary, wine culture too shows
continuous improvement. The increase in the proportion of high quality products, and
the widening of the environment for sophisticated consumption (restaurants, events)
were associated with the increase of consumer knowledge. It can be said that wine
consumption has become fashionable in Hungary, which also raised the expectations.
The most recent comprehensive study on wine consumption was conducted in 2013 by
the Wine Marketing Workshop Non-profit Ltd. in order to survey wine consumers’
needs, opinions and preferences. The goal of the national wine consumer research on
the Hungarian wine market was to support the work of national wine marketing. The
aim of the study was to obtain a general picture of the Hungarians’ wine consumption
habits, the circumstances of the consumption, the process of purchasing wine, and the
amounts spent on wine. At the same time the survey examined the popularity of the
different wine regions, the consumers’ approach to foreign wines, and their attitude on
wine generally. A further objective of the work was the segmentation of the domestic
wine consumption market. The sample amounted to a total of 1550 people, and was
carried out through the so-called CAWI method. The method ensures
representativeness as the questionnaire pops up on the most visited sites. The data
population was over the age of 18, those who are active wine consumers (at least
monthly consumer). Additionally, those who work in the wine industry, tourism and
marketing were filtered out.
The majority of the respondents (53%) only consume wine a few times a month (1-3
times), the quarter of the consumers drink on a weekly basis, while the smallest group
(13%) drink every day. Men consume more often than women, the daily consumers are
mainly men. Sweet and semi-sweet varieties are more widely spread, dry wine is
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consumed the least (56%). Concerning the colour of the wine, red is the most preferred
(86%) followed closely by white, but the frequency of red wine consumption is by far
the highest. Although it has to be noted that the sales facts and figures do not confirm
the consumption of red wines, given that 2/3 of the domestic production is white wine,
and import is unable to compensate this ratio (Harsányi, Szolnoki 2014 p.4). Rosé wine
is less prevalent, but there is a growing tendency towards the popularity of rosé. The
first five characteristics of purchase considerations have nearly the same weight, which
are the colour of the wine, sweetness, grape variety, price, and whether it is a
Hungarian wine.
Among the 22 wine regions, Tokaj is the most popular, followed closely by Eger and
Villány. Lagging behind are Badacsony, Balaton Uplands and Szekszárd regions.
Most wine consumers buy imported wines as well, but only rarely. Consumers mostly
buy Italian, French, in smaller proportion Spanish and Portuguese wines. Italian wines
are bought as gifts as well as for own consumption, while French wines are rather
given as presents. The most relevant competitors for the Hungarian wines are Italian
and French wines.
The question directed at the change in the amount of consumption shows a slight
decline. However among the 18-29 age group a 50% increase is discernible. That can be
explained by the fact that entering the legal age of drinking opens the opportunity for
increased wine consumption. And that is exactly why this age group is very important
for the wine industry and a major target group for marketers. If they learn to consume
quality wine in a young age, they are more likely to stay educated and loyal wine
consumers as they age.
Consumers’ attitude towards trying new wines is quite moderate. Women are more
open to try unfamiliar wines when recommended by friends. Also those with higher
education hearing a recommendation by a wine expert are inclined to purchase the
wine.
Almost all consumers agree that moderate wine consumption is healthy; however it is
not yet part of an everyday meal. Men are more conscious by choosing a wine, and
they are more willing to pay higher price for it. Women are more enthusiastic about
wine, but are more price-sensitive. The most conscious wine consumers hold higher
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qualifications, they choose their wine for the meal and the occasion. Furthermore, most
of them indicated that wine consumption is trendy.
Hungarian wines are overall popular, also compared to foreign wines. People see
Hungarian wine as national drink.
2.1.2. Consumer segments
From the examined attitudes five different consumer segments were established.
31% represents the social, enthusiast segment. These people are socially active and
opened to new things; wine lover, conscious and brimming with life. They are usually
higher educated, enjoy above average income levels, and spend more on wine per
month than the average. Many of them buy foreign wine but only occasionally.
The next cluster is the so called economical, price sensitive (27%). For them price is of
decisive importance, if a new wine is on sale they would buy it for its reduced price.
They are frequent wine drinkers. In general, they are of lower education, and have
below average income.
The smallest group identified are the wine snobs (3%). They typically reject Hungarian
wine, and devalue any Hungarian-related wine accomplishments. They would rather
choose their usual wine, and only try new wines if it was recommended by an expert
or acquaintances. Mostly high school graduates who have above average income. They
spend the most on wine per month, and usually choose Italian wine.
The sceptical (7%) segment does not make conscious decisions about wine, does not
have a regular wine; wine itself does not interest them. They do not have particularly
positive commitment and are not biased towards Hungarian wines.
The last segment is the passive (31%) consumers, who avoid any wine novelties, and
drink wine only rarely. They spend the least amount on wine per month. They are
usually women, women on maternity leave and retired people. They are mostly of
lower education and live on below average income.
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2.1.3. Wine festivals
In the recent decade supply growth was accompanied by an increase in the number of
wineries. More and more wineries entered the market with their products broadening
the selection, thus increasing the competition on the market. For raising the popularity
of wines and wineries, and for strengthening the interest towards wine, wine became
the central topic of more and more events.
There are 18 wine festivals in a year in Budapest alone, and 50 other in different towns
and villages across the country.
The survey of the most popular and widely known online wine magazine,
Borászportál, examined several relevant questions concerning wine festivals. More that
70% of the respondents indicated the reason to visit a wine festival is to discover
unfamiliar wineries and wines. That is being followed by the not so dominant but still
important reasons of meeting with friends and enjoying the atmosphere. On the other
hand, another non-representative survey among the 18-25 age group demonstrates that
this younger group looks for entertainment and good atmosphere when visiting wine
festivals, and only then comes the wine range on offer.
Most of the time people visit wine festivals in pairs, or as a group of 5-6 people. Due to
the fundamentally social nature of wine consumption, visitors usually hear from
friends about the wine event.
The most popular wine events are the open-air wine festivals, and wine tastings at
home. 77% of the respondents have been to home wine tastings in the previous year.
Wine tastings with a small number of participants are also very popular.
25% of the respondents spend around 5000 HUF (16 EUR) on an event, but almost the
same amount said they spend more than 10000 HUF (32 EUR). 40% prefer the fixed
entry fees and all you can drink option, although the rest would rather use tasting
tickets instead of cash. The 18-25 age group is more price-sensitive, more than half of
them spend between 2000-5000 HUF (7-16 EUR) on a festival.
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2.1.4. Wine marketing
Concerning wine consumption, Hungary is experiencing continuous change. Wine

culture is developing, quality wine consumption is growing, wine events are both
causes and consequences of this tendency. For the development of the market the
appropriate marketing activities are certainly essential. For historic reasons, and due to
the fragmented wine sector (22 wine regions, many small producers), communal
marketing activity plays a significant role, however this area is full of challenges.
Although recently there have been outstanding results at regional levels, for example
the Furmint February events. As the number of producers, and so too the competition,
grows, an increased role falls on each winery. Mainly the larger wineries have a
professional marketing strategy, but it is not typical of the whole wine sector. There are
no accurate data available on this subject, because of the minimal number of studies
surveying the marketing orientation of the wine makers.
Today more and more wineries recognize the role and importance of marketing
activity, as consumers become more conscious, so the wine maker should be more
confident in reaching them. Well-founded marketing work is supported by the
availability of consumer information and the knowledge of the situation of the wine
sector.
Although wine makers understand the relevance of knowing their consumers, they
only moderately adjust their products to consumers taste and needs. Wine makers
often prepare their wine out of their own conviction, which then ideally find their
market. Developing the wine assortment, or changing the products, is usually only
realized with a considerable time lag, considering the fact that a new installation bears
fruit in 3-5 years. Nevertheless, the systematic study of the consumers is not a priority
for most domestic winery, since production tie up a significant part of the resources.
The pro-active marketing orientation is therefore only realized in some cases.
In 2010 a three part sub-strategy was appointed – national (domestic), regional (wine
regions), and foreign market marketing strategy. Key components of the strategy were
to establish and communicate a common brand of Hungarian wine, to increase the
frequency opportunity of consumption, as well as to promote wine culture. Wine
tourism was given an emphasised role in the strategy. However a unified Hungarian
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wine brand has not been successfully produced. But as part of the promotion of the
wine culture, many wine events have received subsidy.
According to the survey of Harsányi et al. (2014) the majority of the wine makers
consider wine marketing very important for the winery, although this result is
inconsistent with the fact that most of them allocate only 2% of their sales return for
marketing activity. Most of the respondent also stated that they consider regional
marketing activities the most essential.
The majority of the wine makers acknowledge the determining factor of the image of
the winery in terms of competitiveness, as well as the wide popularity among the
customers. That is why they place special emphasis on marketing through social
media, and for most wineries such platforms are essential for communicating with
existing and potential customers. Social media provides a cheap, fast and efficient way
to target and reach consumers. In traditional ways marketers used advertising to
inform and reach consumers. Recently the emphasis moved to relationship marketing,
and marketers wanted to build connections with customers by hosting events that
encouraged brand community. Relevant literatures indicate that the next step in this
progression is the use of social media to accomplish brand community (Laverie et
al.2011). The importance of social media receives growing spotlight in the marketplace.
Brand community is “whose primary base of identification is a brand or brand

consumption activity” (McAlexander et al.. 2002, p.38.). Members of the community
need to interact with each other either in-person or online, in order to create a sense of
“we-ness” and feel connected to the brand and the community (McAlexander 2002).
For a brand to develop a community, it should be seen as a competent company with
high level of quality. Social media provides this opportunity to achieve such
perception. Today Facebook is the most influential form of social media. The
importance of the reference group, the number of interactions, and the significance of
the message will influence identification with the brand and build brand community.
Brand identification means consumers are open to brand experiences and social media
exposure. Positive experiences with the brand (the winery and its wines) at wine
festivals or wine dinners arouse one’s interest and is more likely to pay attention to
social media updates related to the brand. Not only are young adults more invested in
experiences, but they also want to be able to share those moments with their peers in
both their digital and social networks. Community is built through regular
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interactions. Consumers may share their experiences while tasting wine or attending a
wine festival. The majority of the Millennials who attended a live food, beer or wine
festival in the last year were likely to post pictures online of their favourite moments,
according to an online survey.
Wine is inherently social, people drink it with other people. Wine is also inherently
discussable and recommendations are a form of social currency.
Thach and Lease (2014) investigating the impact of social media practices on wine sales
in America found that 87% of the wineries report a perceived growth in wine sales
because of social media. This concludes that wineries should adopt social media to the
marketing mix.
2.2. Millennial generation as target group
2.2.1. Market segmentation
Market segmentation is the method of dividing a market into significant, relatively

similar, and identifiable segments (Zikmund 2008). The reason for segmentation is
firstly to support marketing researchers in analysing the needs of a specific consumer
group, secondly to assist marketing campaigns to be focused on those described needs.
Over the long haul, this allows organisations to spend their advertising and marketing
budgets responsibly, resulting efficient and profitable sales efforts.
There are various types of segmentations used in different industries; the most often
used segmentation model by the wine industry also falls into the four classic marketing
segmentation bases.
 geographic segmentation – based on where the customer live (country, city)
 demographic segmentation – based on age, gender, income, social class
 psychological segmentation – based on lifestyle and personality
 behavioural segmentation – based on occasion, benefits, usage rate, etc.
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Some of the most expressive researches using behavioural segmentation have been
carried out by the Wine Market Council (2015) in the United States in the course of the
last ten years. Their findings divide the American population by rate of consumption,
and identify five main segments:
 super-core – consumer wine daily (2% of the U.S. population)
 core – consume wine at least two-three times per month (10%)
 marginal – consume wine at least two-three times per quarter (14%)
 non-adopters – do not drink wine, but other alcoholic beverages (31%)
 non-drinkers – do not drink any alcoholic beverages (43%)
Utilising this segmentation, marketers targeted the super-core, core and marginal
segments of the population. This behavioural segmentation can be further allocated by
demographic segmentation based on age and gender.
2.2.2. Millennials
The theory of generational marketing aims to characterise and better understand

people belonging to a generation. When segmenting consumers into generational
cohorts, it becomes possible to better understand their preferences and help to develop
recommendations regarding generational-based segmentation advertising and
marketing strategies for the wine industry. (Barber et al. 2010, p.15)
Members of a generational cohort share the same cultural, political and economical
experiences and have similar views and values (Kotler et al. 2009, p.347). Traits of
generations are used to construct common patterns like attitudes to work, political
behaviour, consumer patterns, qualities in the workplace and family orientation.
“These traits, values and beliefs are defined by demographers, the press and media,
popular culture market researchers, sociologists and by members of the generation
themselves” (Benckendorff, et al. 2010 p.3).
13
There is no general agreement among theorists about the exact calendar years forming
each generation. The typical generational range of 20-22 years harmonizes with many
generational theorists.
Generational labels and dates reported in different sources
Source
Howe and Strauss Silent Boom Generation 13th Generation Millennial Generation
(2000) Generation (1943 – 1960) (1961 – 1981) (1982 – 2000)
(1925 – 1943)
Lancester and Traditionalists Baby Boomers Generation Xers Millennial Generation,

Stillman (2002) (1900 – 1945) (1946 – 1964) (1965 – 1980) Echo Boomer, Generation
Y, Baby Busters, Generation
Next (1981 – 1999)
Martin and Tulgan Silent Baby Boomers Generation X Millennials

(2002) Generation (1946 – 1960) (1965 – 1977) (1978 – 2000)
(1925 – 1942)
Oblinger and Matures Baby Boomers Gen Xers Gen-Y, NetGen, Millennials
Oblinger (2005) (<1946) (1947 – 1964) (1965 – 1980) (1981 – 1995)
Tapscott (1998) - Baby Boom Generation X Digital Generation

Generation (1946 – (1965 – 1975) (1976 – 2000)
1964)
Zemke et al (2000) Veterans Baby Boomers Gen- Xers Nexters

(1922 – 1943) (1943 – 1960) (1960 – 1980) (1980 – 1999)
Overview Silent Baby Boom Generation X Millennial Generation

Generation Generation (1965 – 1980) (1981 – 2000)
(1925 – 1945) (1946 – 1964)
Table 1: Generational labels and dates reported in different sources
Table 1 display an overview of the living generations from the so called Silent
Generation (born around 1925) through the well known Baby Boomers (born around
14
1943) and the Generation X (born around 1965) to the Millennials (born around 1980). It
also illustrates that dates of the different generational ranges slightly vary among the
sources, however a tendency can be detected.
Authors and researchers most frequently adopt the classification of Lancester and
Stillman (2002). The author following the most common and accepted approach defines
young adults born between 1981 and 1999 as Millennials who are now between 16 and
34 years old. As this paper discusses the wine consumption habits of this group, it is
important to state that the author only takes into consideration those who are over 18,
which is the legal drinking age in Hungary.
The Millennials are undoubtedly unique, many even claim that they are possibly the
most powerful and influential generation. “It is a hero generation, with a focus on
brands, friends, fun and digital culture. Members of the Y Generation are confident
and relaxed, conservative and the most educated generation ever. They have been
sheltered, but have had high expectations placed on them, they are special and safety is
paramount. They are impatient and self-focused, yet value teams and collaboration.
They are multitaskers who are networked rather than individually focused, hence are
strongly influenced by friends and peers.” (Benckendorff et al. 2010, p.5.)
Despite the larger choice, Millennials are always looking for new opportunities and do
not want to miss out on anything. Information and services should anytime be
available for Millennials. (Syrett & Lammiman 2004). Their view of a 24 hour society is
hedonistic and is in connection with the immediate satisfaction of their needs.
In some papers researchers highlight that Millennials grown up in an information

society (Nowak et al. 2006; Syrett & Lammiman 2004). “Y Generation is the first
generation born onto The Information Age, and for this reason members are known as
digital natives” (Benckendorff, 2010). Contrary to the previous generations such as the
Baby Boomers and Generation X, they use the internet on a regular basis for searching
for product information, purchasing different products, and also to communicate with
friends and colleagues, build and maintain relationships. Millennials are more likely to
be influenced by peer-to-peer networks rather than push advertising as this generation
uses their immediate social references as a guide on what products are really important
to them. Millennials are precious to brands because they are early adopters and
involved brand promoter on social media.
15
Lancaster &Stillman (2002, p.27) describe the Millennials as smart, practical and
techno-savvy. Due to the growing research interest on Millennials there is now plenty
of information about their characteristics and as a result recommendations for
marketing to this target group. Thach & Olsen (2006, p. 310.) summarize the following
five traits which might help to understand what drives the Millennials’ purchasing
behaviour regarding wine.
 internet proficient
 diversity conscious
 positive and practical
 belief in fun and responsibility
 environmentally and socially aware
This generation is referred to have significant purchasing power and is highly

interested in wine; never the less they are developing tastes now which are likely to
last as they age. That is why this generation is especially appealing to the wine sector
(Thach & Olsen, 2006, p.307; Bruwer et al. 2011, p. 14; Ritchie 2011, p. 109., McGarry
Wolf, Carpenter & Quenani-Petrela 2005, p.191; Fountain & Lamb 2011, p.118). Other
recent findings in the wine marketing field confirm the importance of value and
quality for this group (Olsen et al. 2007, p. 6; Charters et al. 2011, p. 171).
2.2.3. Millennials and wine
Researchers began to approach the needs of the Millennial generation regarding wine
in the middle of the last decade. This early research was limited to English-speaking
markets, especially to the United States (Barber et al. 2006; Nowak et al. 2006; Thach &
Olsen, 2006). Later several studies have examined Millennial’s wine behavior in other
countries, like the UK (Ritchie, 2007), Australia (Bruwer et al., 2011) and New Zealand
(Fountain & Lamb, 2011). Cross-cultural and European studies can also be found
investigating a broader perspective of this generation (Agnoli et al., 2011; Charters et
al., 2011). Although Millennials in north America are said to be the largest consumer
16
group (Thach & Olsen 2006, p. 307.; Nowak et al. 2006, p. 316.; Nowak & Newton 2008,
p. 53.) and are credited with higher wine consumption than their Gen X predecessors
(Thach & Olsen 2006, p. 308.; Charters et al. 2011, p. 161; Mueller et al. 2011, p. 138), it is
known that Millennials in Europe have no such level of affinity to wine (Agnoli et al.
2011, p. 177; Mueller et al. 2011, p. 138). There is general agreement among researchers
in all countries about the importance of this target group on the worldwide wine
market. They are also consistent about the country specificity of wine marketing
strategies (Mueller et al. 2011, p. 138; Charters et al. 2011, p. 172). That is the reason
behind the growing number of market specific studies. This thesis seizes the concept of
geographic segmentation and concentrates on the Hungarian market which explains
the relevance and topicality of this study.
In Olsen et al.’s (2006) research Millennials have shown the highest propensity of
starting to drink wine because friends, family and coworkers drank wine, justifying the
high influence of reference groups. This generation sees wine as classy and
sophisticated, and so consuming wine makes them appear more classy and
sophisticated.
A significant research study conducted by Thach and Olsen (2006) investigated young
Americans’ attitude towards wine inquiring whether they perceived wine as hip or
cool. That time the respondents reported the negative. Evidently the question emerge
how would young Hungarian wine drinkers respond to such question. Setting out
from various literatures and the general sense of wine being fashionable, the question
arises whether the monitored population agrees and acknowledges the assumption.
Nevertheless, the increasing number of wine bars and wine festivals allows the
following proposal.
Hypothesis 1: Among the Hungarian Generation Y wine consumers a current vogue

for quality wine is noticeable.
17
2.3. The theory of conspicuous consumption
2.3.1. Conspicuous consumption
Conspicuous consumption is an economic term developed by Norwegian-American

economist and sociologist Thorstein Veblen. This term can be applied to the actions of
European society already around the 18th century although the term itself was not
invented until hundreds of years later.
Veblen (1899) defines conspicuous consumption as the purchasing of goods for the
sake of displaying one’s power, wealth, or general tastes. These items are typically
classified as “non-necessities” in today’s society and include such things as clothing,
food and drink. The Longman American Dictionary defines conspicuous consumption
as “the act of buying a lot of things, especially expensive things that are not necessary,
in a way that people notice, in order to impress other people”. Wong (1997) states that
in conspicuous consumption “product satisfaction is derived from audience reaction
rather that utility in use”.
Number of researches have recognized the existence of two opposing social needs
among consumers – a need for uniqueness and a compensating need for conformity
(Brewer,1991). Consumers' need for uniqueness is defined as an individual’s pursuit of
differentness relative to others that is gained through the acquisition, utilization, and
disposition of consumer goods for the purpose of developing and enhancing the
individual’s personal and social identity (Tian et al., 2001). The need for uniqueness
provides one of the bases for conspicuous consumption. For the first time Veblen
(1899) reported and analyzed the visible display of wealth, referring to this tendency as
conspicuous consumption. O’Cass and Frost (2002) observed that conspicuous
consumption is exercised in order to enhance one’s position in society, which can be
achieved by signaling wealth, public demonstration and communicating pecuniary
ease to others. Conspicuous consumption provides that symbolic representation of
prestigious position within the social network. In the mind of a conspicuous consumer,
displaying wealth serve as a means of attaining or maintaining social status. Social
status display is frequently reported as a main element stimulating conspicuous
consumption (Marcoux, Filiatrault and Cheron 1997).
18
Schiffman and Kanuk (2004) argue that conspicuous products, that may mirror
people’s social status, are those that are most likely to be purchased on account of a
reference group. Veblen (1918) notes that conspicuous consumption serves as a very
affective way for the consumer to impress others, gain esteem, show wealth and
improve social status. According to Eastman et al. (1999) conspicuous consumption is
defined as “the motivational process by which individuals strive to improve their
social standing through conspicuous consumption of consumer products that confer or
symbolize status for both the individual and surrounding others.” Coleman’s (1983)
sociological explanation suggests that consumers tend to use conspicuous products to
impress others and exhibit their wealth. Different studies have particularly
demonstrated that conspicuous consumption is a way to inform others about one’s
self-image (O’Shaughnessy and O’Shaughnessy 2002).
Leibenstein (1950) pointed out in his early work that the so called bandwagon and
snob effects can be significant factors influencing conspicuous consumption too. The
bandwagon effect illustrates a situation where consumers purchase products because
others are buying the product. A reverse theory of the bandwagon effect, the snob
effect implies that the market demand for a particular product diminishes because
others are purchasing that product. According to Dubois and Duquesne (1993) the
difference of social values among people may also be an important influencing factor
of conspicuous consumption. This means that if owning expensive or flashy products
is viewed as socially appropriate, one may have to fit in with this behavior. Several
studies handle the influential psychological factors of conspicuous and status
consumption, like gaining respect and popularity, being noticed by others, showing
who I am in the presence of others (Bagwell and Bernheim, 1996; Marcoux et al., 1997).
Furthermore, Solomon et al. (2002) indicates that consumers may purchase products
and services to gain their intangible values and suggests that conspicuous
consumption is a result of consumers’ desire to show wealth. The factors representing
the these indescribable values were identified as symbols of prestige and success,
indicator of wealth, indicator of achievement, enhances my image, and interested in
status (Shukla, 2008).
19
Psychological associations of
conspicuous wine consumption
Gaining respect
Gaining popularity
Showing who I am
Being noticed by others

Conspicuous
Symbol of prestige wine
consumption
Indicates wealth
Indicates achievement
Interested in status
Enhances my image
Symbol of success
Figure 2: Psychological associations of conspicuous wine consumption

Source: adapted from Shukla (2008)
2.3.2. Conspicuous wine consumption
Top quality fine wines coming from a certain vineyard with limited supply are highly
priced. Once something becomes expensive, it becomes an object of conspicuous
consumption. For most people who buy very expensive wine, intrinsic wine quality is
not the primary concern. Such consumers want the wine to taste nice and the criterion
of being truly expensive to be met. Thus wine can be a Veblen good – the more
expensive it is, the more desirable it becomes. For some people the wine’s sensory
properties are most important, and for others it is a secondary consideration.
According to Podolny (2008) “wine is generally regarded as a conspicuous

consumption good”. He explains “wine may be purchased from a high-status producer
not only because the producer’s status signals high quality but also (or more
20
importantly) because the act of consuming such wine strengthens the individual’s
ability to claim higher social status. So, for example, an individual may decide to buy a
bottle of Opus One rather than a different, lower-price wine he or she believes to be of
equal quality because he or she would like to be perceived as a type of individual who
drinks Opus One.”
Motoko Hori’s study The Price and Quality of Wine and Conspicuous Consumption in
England 1646-1759, provides an insight into the consumption habits of wine in England
on the turn of the 17th and 18th century. According to Hori (2008), wine consumption
was without a doubt influenced by cultural factors. Wine consumption was fashionable
and, as an expensive imported good, was an indication of social status. Conspicuous
consumption was the trend of the day and although there are numerous items
symbolizing it, wine gives a good scale whereby to measure the depth of
conspicuousness as many in the society drank it, while in the meantime, it was
considered as prestigious. The price of wine increased, growing demand played an
important role in raising it. This demand came mostly from London inhabitants whose
wealth as well as their consumption pattern was in fact conspicuous. Such
consumption patterns were already recognizable before Veblen’s work (1899).
Barrena and Sanchez (2009) reported that generally speaking consumers drink wine for
the provided sensory pleasures, although younger consumers are also motivated to
drink wine for reasons related to cultural identity and social status, at the same time
older generations focus on the potential of wine as a social stimulant.
Arising from all above discussed research literature describing the various factors
influencing conspicuous consumption the following hypothesis can be formulated:
Hypothesis 2a: Hungarian Generation Y conspicuous wine consumers expect the

following impressions upon wine consumption: gaining respect, gaining popularity,
showing who I am, being noticed by others, symbol of success, symbol of prestige,
indicates wealth, indicates achievement, interested in status, enhances my image.
As a supposition arising from the research question, the author assumes and is willing
to investigate the following hypothesis:
Hypothesis 2b: Hungarian Generation Y wine consumers consume wine

conspicuously.
21
2.4. Summary
Examining the available literature connected to the subject, it can be seen that in many
countries researchers and marketers place great emphasis on segmenting the market in
order to develop successful marketing strategies. Numerous researchers investigated
the Millennial generation, and their importance in the wine industry. As in America
this generation is the largest in number, and has current and potential affinity to wine,
several well-known researchers focused on this segment. In Hungary wine culture is
changing; older generations drank considerable amounts of wine but were not
sensitive to quality. The Millennials show interest and affection towards quality wine.
At the same time, it is questionable what their motivation is. Is it to enhance their social
identity or show their self-image, as the theory of conspicuous consumption suggests?
3. Empirical Study
In the following chapter the different executed researches is introduced. First the
outcome of the qualitative research is outlined, than the composition and execution of
the questionnaire is described. Also extensive discussion of the results and different
implications and conclusions are collected.
3.1. Research methodology
3.1.1. Interview
An interview was conducted with the head sommelier and manager of one of the most
familiar and popular wine bars of Budapest. Kitty Borsos has been working in Palack
bar for 3 years and immediately supported the proposal of wine being trendy among
young Hungarians. In her experience a positive openness towards quality wine is
happening in recent years. New wine bars appear regularly that indicated endless
demand for such establishments.
22
According to Ms Borsos the 18- 24 year olds look for cheaper category quality wine,
light white or rosé wine either neat or as spritzer. But even if they wish to drink
spritzer, they would want quality wine. The 25+ age group show interest in affordable
quality wine, are very open to new suggestions and want to learn about wine. They
wish to understand wine and know what they are drinking. They usually spend
maximum 1000 HUF (~ €3) on a glass of wine, and 4-5000 HUF (€13-16) on a bottle as a
group drinking on premises. They are usually interested in brands, big names they
have heard about. But they are less open to step forward and try less popular but still
good wines. And this is where marketing plays a significant role. Big wineries spend
money and effort on making their name familiar, in order to reach those consumers
who are not regular and less knowledgeable wine drinkers. These wineries are for 20
years on the market and represent a standard quality (Gere, Takler, Dúzsi, Laposa).
They obviously embody a compelling part of the market, but the wine bars and wine
shops are determined to introduce small producers as well.
Among the 30+ age category, as Ms Borsos observed, women are more open to try
novelties, they buy more wine but are also more price conscious. They think more
practically, whether their chosen wine would go well with food. On the other hand
men make a sacrifice for high quality, rare wines. These wines then would be opened
for an occasion, where they can show it off.
There are two types of consumers, says Ms Borsos. Amateurs are more open to
sommeliers’ suggestions, and more daring to trust the experts’ opinion. Those with
wine knowledge have a plan what they want and are quite persistent about it. They are
confident about their needs and choices, and are willing to spend more.
The busiest times for the wine bar are weekdays after working hours until midnight.
Regulars would sit in with friends and colleagues, as there are several programs, such
as wine tasting every Wednesday or concerts on Thursdays. The aim of the
management with these initiatives is not only to attract new guests but also to offer
experiences customers would associate with the bar and therefore become regular
guests.
People generally ask for Hungarian wine, but are also opened to test foreign items. The
wine bar has French, Italian, Transylvanian, New Zealander and Argentinean wines on
offer.
23
The wine bar changes 40% of their wine list in every 3 months. During summer there is
increased demand for white and rosé wines, while in the winter red wines are the most
requested. Rosé has come into vogue in the last two years, due to its lower price, good
quality, and easiness to understand.
There are two kinds of wine festivals, the summer wine festivals that attract thousands
of visitors but with various wine backgrounds, and the winter festivals where usually
the wine enthusiasts attend. The degree of wine marketing efforts of a winery is on
display on such events. Larger wineries usually have bigger booths, fancy exterior and
sommeliers in uniforms. The summer wine festivals provide great opportunity to
engage new wine consumers, as they have the chance to taste quality wine. The 15000
visitors of this year’s biggest wine festival shows how attractive wine events and wine
can be. The trend of quality wine consumption in Budapest and Hungary is booming,
which the numbers of visitors and guests justify.
3.1.2. Research questionnaire
The thesis is of exploratory nature and consists of both quantitative and qualitative
data collection techniques. A highly-structured questionnaire was adapted to collect
quantitative information. Research question and hypothesis were investigated by
developing and fielding an online survey. The questionnaire consisted of four parts. In
the first part the respondents’ wine consumption habits and attitudes toward wine
were inquired. The second part consisted of questions about conspicuous wine
consumption. Thirdly, characteristics of the respondent’s social habits were examined,
and finishing off by collecting basic demographic data.
Several questions are based on relevant literature. Questions were adapted from
different foreign studies, and altered to meet the criteria of the current thesis. The scale
on wine knowledge in Question 6 was adjusted from Flynn and Goldsmith (1999). The
idea was to help the respondents by offering to compare their wine knowledge to
others. A relevant source was Thach and Olsen’s (2006) research, where the authors
investigated the attitudes of American Millennials regarding wine. It was interesting to
observe the similarities and differences of the two sampling population. The questions
24
examining the conspicuous aspect of wine consumption (Q15, Q16) were inspired by
Shukla’s (2008) research on the middle age consumer group. The developed
psychological antecedents helped identify conspicuous wine consumers.
The questionnaire was reviewed by a small group of Hungarian Millennials to check

clarity and word choices before conducting the extensive research.
3.1.3. Sampling, data collection and analysis
In this thesis, the sampling population consisted of young Hungarian adults between
the age of 21 and 36. The online survey was circulated on Facebook. Several popular
wine related pages shared the questionnaire on their sites. Winelovers is an
organisation that promotes premium wines and organizes wine events. The winter
wine festivals are created by them. They have over 4000 fans. The Vinoport online wine
magazine also asked their followers to participate in the questionnaire, their number
reaches 2500. Borászportál wine magazine is one of the most well known and
prestigious professional journal. They also shared the inquiry to fill out the survey.
Wine blogs such as Wine Flow (2700 fans) also were asked to help spread the
questionnaire. Paper-based surveys were distributed in two wine festivals in Budapest,
Budavári Borfesztivál and Etyeki Picnic. In two locations of the Bortársaság, the
leading wine shop in the country, the costumers could read in the QR code that
connected them to the online survey. Palack wine bar also received paper
questionnaires to give to guests they can fill out while enjoying their wine. Distributing
on such platforms and locations the questionnaire reached the intended audience. A
convenience sampling method was employed for the research. The respondents had to
satisfy the basic condition of consuming wine at least twice a month. The data
collection was carried out in August/September 2015. The respondents were given a
brief explanation of the project and asked to complete the questionnaire anonymously.
A total of 100 representative questionnaires were collected.
The data collected was of quantitative nature and information from the completed
questions were coded and entered into SPSS statistical analysis software.
25
3.1.4. Results and discussion
General information about the sampling population:
 92% drink wine on a regular basis
 69% female and 31% male completed the questionnaire
 58% is between the age of 25 and 30
 54% hold masters degree
 the majority’s monthly income falls between €350-635 (average salary in

Hungary)
 77% is in a relationship
 78% use social media several times a day, 90% use Facebook
 the majority go out two times a month
 95% prefer a quiet evening when they go out
 54% are marginal wine consumers
 81% claim they do not know much about wine
 63% consume wine at home or at a friend’s house, the rest on premises
 the majority prefer rosé wine, followed closely by white wine
 58% prefer Hungarian wine over imported wine
 61% buy wine in a supermarket
 wine shop customers are knowledgeable over-30s
 81% attend some kind of wine event, 47% visit wine festivals
26
Do you consume wine on a regular

basis? (at least twice a month)
No
8%
Yes
92%
The first question was decisive in order to filter out those who do not consume wine on
a regular basis, which was set to be at least twice per month. If the answer to the first
question was negative, the respondent was directed to the end of the questionnaire.
92% of the respondents are regular wine consumers.
The next set of question were designed to estimate wine consumption and by this,
determining categories of consumption levels. By measuring wine consumption
frequency (How many times do you drink wine in a month? Q2) and the amount of
consumption (How many glasses of wine do you drink per occasion? Q3), the certain
consumption level of the individual can be concluded. In the U.S. a common
segmentation based on wine consumption level developed by the Wine Marketing
Council is employed by well known researchers such as Olsen, Thach and Nowak
(2006). According to this segmentation, there are four groups: core drinkers, marginal
drinkers, non-adopters, and non-drinkers. The American core drinkers drink 88% of
the wine sold in the country, meaning that this group is very important to marketers.
60% are women and 71% are over age 40. Marginal drinkers enjoy wine less often and
associate wine with special occasions rather than drinking with a regular meal. This
group is slightly younger, and the majority is also women and over 40. Non-adopters
do not consume wine as they do not like the taste. They are mainly male and much
younger on average. Non-drinkers do not drink any alcohol.
27
From the current survey the following arrangements were established. Those who
consume wine up to 10 times in a month and less than three glasses per occasion are
the marginal wine drinkers. Those consuming on divers occasion and more wine are
the core drinkers. The majority of the respondents had 2 glasses of wine four times per
month, which means marginal drinkers dominated the sampling population, which is
in line with the distribution of the whole Hungarian population (Bormarketing Műhely
2013). In the current survey core drinkers’ 86% was male and around the age of 30.
Marginal drinkers’ 89% was female, and around 25 years old. This means that the
characteristics of the American and the Hungarian wine consumers differ. Both
marginal and core consumers mostly drink wine at home or at a friend’s house.
Although core drinkers also indicated that parties are where they usually drink wine,
which remark turned up again in a later question (“Fine wine is associated with
parties” Q12) where almost all stated agreement.
Wine preference of marginal and core consumers

120
100
80
60 Core consumers
Marginal consumers
40
20
0
Red wine White wine Rosé wine Sparkling wine
Marginal drinkers prefer rose wine the most, followed by white and then red wine.
Core drinkers like red and white equally, rosé and sparkling wine lagging considerably
behind on these consumers’ preference list. This finding was supported by the
consulted expert.
Both groups were quite modest about their wine knowledge.
28
Subjective wine knowlege

5
0
Among my circle of I know pretty much Compared to most I do not feel very
friends, I am one of the about wine. other people, I know knowledgeable about
experts very little wine.
Subjective wine knowledge was measured with four items on a 5-point scale. Adapted
from Flynn and Goldsmith (1999), the statements were formulated in a way to compare
their knowledge to others. Barber et al. (2008) investigated wine knowledge using the
same items, and reported similar result, namely that respondents showed low levels of
subjective knowledge; moreover Millennials are less likely to consider themselves to
know a lot about wine and Millennials are less likely to feel more knowledgeable about
wine compared to others than Generation X respondents. The age group of 30+
reported higher level of knowledge in the current survey.
Marginal drinkers more confidently stated their preference towards Hungarian wine,
opposed to core consumers being impartial. This finding was also confirmed by the
interviewee, who stated that marginal consumers look for Hungarian offers, while core
drinkers are less partial and more open to foreign wines. The most preferred foreign
wine among marginal drinkers is French, however for core consumers Italian wine
comes first, and wine from oversees countries landed on better place than among
marginal drinkers. This finding was acknowledged by the interviewed expert, who
experienced that core consumers are more and more open to new world wines, which
are affordable and excellent quality wines.
29
As it is typical to the whole sample, both marginal and core wine consumers purchase
wine most of the time in supermarkets. As the wine expert described, the LaFiesta
wines and the Varga winery make the highest sales, which comes from supermarkets,
discount shops. These wineries focus on mass production; their wines are cheap but
still drinkable quality. Most people are familiar with their products; they produce and
sell large numbers of bottles. As the results show respondents purchase wine second
most frequently in wine shops (Q9). Knowledgeable consumers over the age of 30
indicated the highest percentage. Concerning the wine events (Q14), core drinkers
generally visit more wine events as marginal drinkers, and significant deference is in
case of the wine dinners, which are twice as much visited by core consumers as
marginal ones. There is also a significant gap on this matter between those who are
knowledgeable about wine and those who claim they are not. Both of this groups visit
wine festivals the most frequently out of any other wine events, but three times more
knowledgeable wine drinkers attend wine dinners. Considering the age of the
consumer, those who are over 30 are keener on visiting wine dinners. Thus the
conclusion about these type of wine events’ attendance and popularity can be drawn,
that such happenings are visited by those consumers who drink a considerable amount
of wine and often, know much about wine and are over the age of 30.
In relation to the knowledge profile of the respondents (Q6), less knowledgeable

consumers reported preference of Hungarian wine in higher numbers. When it comes
to foreign wines, knowledgeable wine drinkers prefer Italian over French wine and
drink more wine from oversees countries, contrary to less knowledgeable drinkers. The
majority of both groups purchase wine mostly in supermarkets, however
knowledgeable wine drinkers also stated wine shops where they often buy wine.
Having said that, a parallel can be drawn between core and knowledgeable drinkers,
and marginal and less knowledgeable consumers. Their attitude and wine consuming
habits are rather similar.
30
Where do you buy wine?

In a tobacco Elsewhere
store 7%
2%
From the
winery
In a
10% In a wine shop supermarket
25% 56%
It can be seen on the pie chart that more than half of the respondents indicated
supermarkets where they most often buy wine. 25% put wine shops in second place.
The high percentage of wine purchase in supermarkets is not unusual in Western
Europe either. It is convenient to sort out wine purchase together with the daily
shopping. In case of the current sample, young adults would also feel comfortable
choosing wine in a supermarket than in a wine shop, all the more so since the majority
reported limited wine knowledge. They might not be self-assured enough to go to a
wine shop. This proposal is supported by the results of the survey that those who
frequently buy wine in wine shops are knowledgeable consumers and over 30 years
old.
The next question (Q10) was originally examined by Thach and Olsen (2006) asking
Millennials the reason they drink wine. In the present research the question was
altered in order to be more expressive and complex. The respondents agreed most to
those statements concerning the sensory enjoyment of wine, secondly the positive
feeling arising from consuming wine. Respondents also agreed on the unimportance of
the conspicuous aspect of wine consumption, such as “gives social status” and
“improves the way I am perceived by others”.
31
Fine wine is associated with..

5
4,5
4
3,5
3
2,5
2
1,5
1
0,5
0
The answers about the events people associate wine with (Q12) are consistent with the
original results. Thach and Olsen (2006) found that most respondents associated wine
with more formal occasions (‘nice dinners’, ‘weddings’, ‘special events’ were the three
most often mentioned events), even though Millennials seem to prefer relaxed, fun
occasions. In the recent survey, the events least associated with wine were concerts and
parties. But Friday nights and casual get-togethers have received considerable ratings,
which are both of relaxed manner. It can be said that Hungarian Millennials are more
open to have wine on different occasions; only if they go out they choose beverages
with higher alcohol content (spirits) or cheaper beverages (beer) of which they drink
more. In Olsen et al.’s (2006) research Millennials have shown the highest propensity
of starting to drink wine because friends, family and coworkers drank wine, justifying
the high influence of reference groups. Millennials quite strongly agreed concerning
the image of wine, stating that wine is a beverage to help them relax versus a beverage
to party with.
32
Wien is hip, cool.

5
Contrary to the original findings (Thach and Olsen 2006), where 61% reported that
they did not see wine as hip or cool, here 70,7% rather agreed with the statement of
wine being hip (Q11). The same result appeared in the national wine consumer
research (Bormarketing Műhely 2013). This result is very important for this research; it
confirms the validity and relevance of the topic, nevertheless confirms Hypothesis 1’s
accuracy.
Wine is..
5
33
The image of wine was determined by asking respondents whether they associated
wine with the specified descriptor (Q13). The list of adjectives were provided, which
have been used in previous American wine industry consumer surveys (Thach and
Olsen 2006), describing wine. The list consisted of both negative and positive
expressions. The respondents were asked to select how descriptive do they find those
adjectives when thinking about wine. Opposed to result of the above mentioned
American study, respondents of this survey clearly expressed that they associate wine
almost exclusively with positive characteristics (fun, refreshing, tasty, hip). People feel
strongly that adjectives such as ‘snobby’, ‘too serious’, ‘oldish’ and ‘confusing’ are not
at all descriptive about wine. Although there was a separate question about wine being
hip and cool, the statement “Wine is hip” was integrated in the other question as
control question. Before, respondents clearly stated that they feel wine is hip, cool and
the later statement received middling level of agreement. It is common occurrence that
respondent give a different answer to the same question if the question occurs again
later in the questionnaire or it is integrated into a complex question. In such cases the
answer to the earlier and separate question is accepted.
The next section of the questionnaire focused on the consumers’ conspicuousness. The
statements arose from Shukla’s study (2008) and were meant to investigate the validity
of the second hypothesis.
Consuming wine in a public place, where my act is

visible to others, is trendy. Please indicate how
strongly do you agree with this statement!
5 (Strongly
agree)
7%
4
15%
1 (strongly
disagree)
45% 3
13%
2
20%
34
The majority disagreed with the statement that consuming wine in a public place,
where it is visible to others is trendy (Q15). Those few people who somewhat agreed
with the declaration were male, marginal drinkers, claimed to be knowledgeable about
wine and are less than 25 years old.
Consuming wine in a public place, where my act is visible

to others, is trendy. Please indicate how much do you
agree with this statement!
90
80
70
60
50
40 Female
30 Male
20
10
0
5 (Strongly 4 3 2 1 (Strongly
agree) disagree)
Female respondents strongly rejected the statement, however men were not consistent
on the question.
35
When I consume wine in a 5 (Fully 4 3 2 1 (Fully

wine bar / at a wine festival agree) disagree)
among friends…
…I feel like I am gaining 1,1 5,4 17,4 15,2 60,9

respect.
...I feel like I am gaining 1,1 1,1 20,7 21,7 55,4

popularity.
...I am being noticed by others. 1,1 4,3 17,4 22,8 54,3
...it is a way of showing who I 3,3 8,7 14,1 17,4 56,5

am.
...I feel it is a symbol of success. 7,6 14,1 19,6 58,7
...I feel it is a symbol of prestige. 13,0 7,6 20,7 58,7
...I feel it indicates wealth. 3,3 14,1 30,4 13,0 39,1
...I feel it indicates achievement. 4,3 17,4 21,7 56,5
...I feel it indicates status. 5,4 10,9 17,4 22,8 43,5
...it enhances my image. 4,3 12,0 17,4 14,1 52,2
Table 2: Results of Question 16
The psychological factors influencing conspicuous consumption were all denied by the
respondents to be accurate (Q16). The respondents were consistent about not at all
agreeing with the statements. Only the statement “When I consume wine in a wine bar
/ at a wine festival among friends, I feel it indicates wealth” received slightly less
disagreement, and people seem to tend towards agreement on that claim. If those small
numbers of responses which show agreement with the ten statements were examined,
it can be said that they are knowledgeable consumers and male. This means that male
wine consumers are more likely to consume wine in a conspicuous manner. Also those
who know their wine, they like to show it.
The next couple of questions were about the respondents’ social habits (Q17-21). Their
activities on social media sites were important because for the Millennial generation
social media is deeply integrated into their everyday life. It is not uncommon to come
across a post showing what wine they are drinking in one’s News Feed. The most
36
active group is the knowledgeable wine drinkers. The least active posters were the less
than 25 year olds, who were also rather neutral about wine being hip and cool.
Gender
Male
31%
Female
69%
Figure 12: Graphical presentation of gender distribution in sampling population
Level of Education
Doctorate
degree
5%
High school
graduate Professional
19% training
1%
Master degree Bachelor degree

50% 25%
Figure 13: Graphical presentation of the level of education in sampling population
Finally demographic data was collected, which showed that the majority of the
respondents were women. This result is in contrast with the country wide survey, but
it is in harmony with the wine bar manager’s observation. Also information about the
participants’ educational level was attained, where it is shown, that most of them are
highly educated individuals. That is a typical trait of members of the Millennial
generation.
37
3.3. Conclusion
The conducted research methodology was successful to obtain relevant data about the
Hungarian Millennial wine consumers. The interview provided crucial insight into a
popular wine bar’s operations, and interesting information about its customers, who
are suited for the researched population. The interview and the information from it
complemented the elaborated questionnaire and were necessary to be able to draw
appropriate conclusions.
The questionnaire proved to be effectively established to deny or accept the
hypotheses. There are a few interrelations between results, which assist to draw
conclusions and form suggestion.
The majority of the sampling population preferred white wine which is in contrast
with the results of the country wide survey (Bormarketing Műhely 2013). As the
present sample population examined only the Millennial generation, it suggests that
white wine preference is typical of this segment and elder generations prefer red wine.
As Hungary is a white wine producing country, and the results show white wine
preference, the validity of the results on the question whether respondents prefer
Hungarian wine over imported is supported. Nevertheless, according to import
figures, the largest import comes from Italy which is generally a red wine producing
country; it can be the reason why people would drink Hungarian white wine. The
preference of white wine also suggests that the country could open its market to other
white wine producing countries like Germany.
The fact that the majority of the respondents said they drink wine most of the time at
home, supports their statement of not consuming wine conspicuously. Also the
popularity of home wine tastings reported in the national wine consuming research
(Bormarketing Műhely 2013) indicate the same assumption. But the fact that they
organize and attend such happenings shows their willingness to learn about wine.
38
4. Summary
4.1. Discussion and Conclusion
The main objective of the study was to answer the research question. From the results
and findings, the research question can be answered.
Is sensory enjoyment less important to the Generation Y wine consumers than the
impression of sophistication wine endows upon people?
Respondents reported that they consume wine primarily for sensory enjoyment. The
questions established to receive the answer to the main question clearly show
commitment to wine as tasteful beverage. The ideal, favourite and perfect wine for
them first and foremost has a wonderful taste and a great nose. Secondly wine relaxes
them and makes them feel good. Respondents did not identify themselves with wine
giving them social status or improving the way others see them.
Setting out from international literature and researches, as well as from general
observation, the first hypothesis was developed.
Hypothesis 1: Among the Hungarian Generation Y wine consumers a current vogue

for quality wine is noticeable.
The proposal was supported by the majority of the participants. People stated that they
see wine as hip and cool. It was also backed up by the experiences of the expert
interviewed. Wine was also associated with positive characteristics, which suggests
that people like consuming wine and have a positive picture about wine in general.
The percentage of respondents participating in different wine events also shows their
interest in wine.
The second hypothesis was established to define conspicuous wine consumers, and to
investigate if respondents were conspicuous wine consumers.
Hypothesis 2a: Hungarian Generation Y conspicuous wine consumers expect the

following impressions upon wine consumption: gaining respect, gaining popularity,
showing who I am, being noticed by others, symbol of success, symbol of prestige,
indicates wealth, indicates achievement, interested in status, enhances my image.
39
Agreeing with the statements provided on the basis of the hypothesis, would have
meant that respondents are indeed conspicuous consumers. But participants
unambiguously stated their disagreement. And so, the hypothesis can not be accepted.
As an assumption when determining the research question, the following statement

was developed.
Hypothesis 2b: Hungarian Generation Y wine consumers consume wine

conspicuously.
The statement that it is trendy consuming wine in a public place, where it is visible to
others, did not receive agreement. If respondents agreed to this statement, it would
have meant they consume wine conspicuously. The second part of the hypothesis is
also denied.
Hungarian young adults are undeniably interested in wine and want to learn more
about it. As it is reported they enjoy participating in wine events, but the reason is not
to display social status, but to taste wines. Wineries therefore need to address these
needs, and find opportunities to educate their consumers. Wine consumption can
become a hobby to the young generation.
The thesis and the research successfully provided relevant information about the target
generation and its wine attitude. The aim of the study was achieved, being able to
answer to the established questions. However, there are some contradictions that are
thought-provoking.
Just as in the national wine consumer research, also in the present survey respondents
agreed that wine is trendy. Although Hungarian Millennials do not see wine as a
conspicuous product. However, the theory states that consuming wine from high-
status producers reflexes a certain image of the consumer, and is a mean if conspicuous
consumption. It was reported in the present research that 25+ wine consumers look
and ask for those wine brands that are popular and commonly known. So they are
interested in big names, but they are denying conspicuousness, which raises the
question of consumers not admitting such behaviour.
Contradictory results raise the question whether formulating direct questions about
conspicuousness might provide biased answers. The majority agreed most to those
statements concerning the sensory enjoyment of wine, secondly the positive feeling
40
arising from consuming wine. Statements assuming conspicuousness were clearly

denied. In addition the statements comprising the psychological associations were also
declined. On the basis of observation, it was expected that respondents did take into
consideration the psychological associations of conspicuous wine consumption.
However, the question whether wine was hip and cool people answered positively,
suggesting that they did not only consume wine for sensory pleasure. There might
have been different result on conspicuousness if the question was formulated in an
indirect manner, like asking why their friends drank wine. In such case people did not
have to admit of being exhibitionist.
The main lesson from the previous findings is that a distinction must be drawn
between perceiving wine hip and consuming wine conspicuously. Although, when
something is viewed as trendy, it must influence its consumption, but as it is shown in
the present results, the primary reason of consumption can be something else, for
example sensory enjoyment.
Trigg (2001) argues that consumers no longer display their wealth consciously, status is
expressed in a more sophisticated and indirect ways. This may be the key to the above
displayed problem. Respondents might not be aware of their conspicuousness and that
is why they denied the psychological associations of conspicuous wine consumption.
4.3. Marketing references
The study uniquely examined the consumption habits and attitudes of Millennials
generation in Hungary. Therefore relevant information can be provided by the results
to wineries and marketers.
Firstly, wineries have to consider Millennials as primary target consumers, as they are
generally early adopters and active brand promoters on social media. There is a 50%
increase in wine consumption among 18-29 year olds that also attracts attention to this
group.
Marketers have to examine the consumers’ social habits in order to successfully reach
them with marketing activities. It is established from the present research that
knowledgeable core consumers over the age of 30 are the common guests at wine
dinners. So if the winery wants to reach such segment, they should organize such
41
events. Younger marginal drinkers or amateur consumers rather visit wine festivals,
which are a more informal and casual events.
The reported low level of wine knowledge, which is in harmony with the American
study’s findings (Barber et al. 2008) implies opportunity and need for education.
Wineries could organize wine tastings or introductions to potential consumers. So they
could become knowledgeable wine drinkers and loyal consumers of the winery.
4.4. Limitations
As in most researches, there are limitations to this thesis research too, which at the
same time provide opportunity for further research.
Firstly, the size of the sampling population could be larger in order to achieve a
representative research. Wine festivals and events in other cities in the country could
be visited to distribute the questionnaires to more people so the sampling population
could be more diverse. In such case it could be examined, what are the differences in
wine consumption habits in different parts of the country. This path contains several
research opportunities.
Another limitation is that the study only examines Millennial generation consumers. It
could be recommendable for a future research to extend the sampling population to
other generations too. Than the consumer habits of different generations could be
investigated and compared. Another opportunity would be to examine the same
generation in different point in time. So the change in a generation’s consumption
habits could be inspected. It could however be problematic to reach the same
respondents for this experiment.
In international context, it is interesting to compare the results of different countries

and markets, to find out whether the attitudes of Millennials are country specific or for
a geographical area generalizable. There are only a few studies on Millennials and
wine available in Europe, although it would be beneficial for wineries concentrating on
export to receive information on the similar markets.
42
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Appendices
Questionnaire
Dear Participant,
In the context of my master thesis, this study examines the attitudes towards wine
among generation Y wine consumers. Your help is very important for successfully
completing this research project.
You remain completely anonymous! Your answers will be treated confidentially!
Please answer all the questions as best as you can, I am only interested in your honest
opinion.
Thank you very much for your time and support!
Marta David
1. Do you consume wine on a regular basis? (At least twice a month)
□ yes
□ no (if so, thank you for your time, the questionnaire ends here)
2. How often do you consume wine?
I enjoy wine approximately ... times per month.
3. How much wine do you consume each time?
My average consumption of wine is approximately .... glasses.
4. Where do you consume wine? Please distribute your total consumption (100%)
among the following premises! Please make sure that the numbers add up to
100%.
□ at home
□ at friends’ house
□ in wine bars
□ in restaurants
□ at parties
48
5. Please indicate how much you like the following types of wine. (5 very much, 1
not at all)
I like it very I do not like

much it at all
Red wine 5 4 3 2 1
White wine 5 4 3 2 1
Rose wine 5 4 3 2 1
Sparkling 5 4 3 2 1
wine
6. Please indicate how strongly do you agree or disagree with each of the
following statements below describing levels of wine knowledge.
Strongly Strongly
agree disagree
Among my circle of friends, I 5 4 3 2 1

am one of the “experts” on
wine.
I know pretty much about 5 4 3 2 1
wine.
Compared to most other 5 4 3 2 1
people, I know very little
about wine.
I do not feel very 5 4 3 2 1
knowledgeable about wine.
7. Please indicate how strongly do you agree or disagree with the following
statement! (5=Strongly agree, 1=strongly disagree)
I prefer Hungarian wines over imported wines. 5 4 3 2 1
8. Please rank the following alphabetically listed countries of wine origin

according to your preference! (Assign “1” to your most preferred wine origin,
“2” to your second preference, and so on until you assign “5” to your least
preferred country of origin.)
□ France
□ Hungary
49
□ Italy
□ Spain
□ overseas countries
9. Where do you buy wine? Please distribute your total wine purchase (100%)
among the following premises. Make sure that the numbers add up to 100%.
□ in a supermarket
□ in a wine shop
□ from the winery
□ in a tobacco store
□ elsewhere
10. What would you consider to be the ‘ideal’, your ‘favourite’ or the ‘perfect’
wine? Please indicate how much you agree or disagree with the statements
below.
The “perfect” wine... Strongly agree Strongly disagree
5 4 3 2 1
...evokes happy feelings. 5 4 3 2 1
...is one that makes me feel 5 4 3 2 1

relaxed.
...makes me feel good. 5 4 3 2 1
...is reasonably priced. 5 4 3 2 1
...is made in an environmentally 5 4 3 2 1

friendly way.
...makes a good impression on 5 4 3 2 1

people.
...gives me social status. 5 4 3 2 1
...helps me feel accepted. 5 4 3 2 1
...is crafted by experts. 5 4 3 2 1
...has an ‘acceptable’ level of 5 4 3 2 1

quality.
...relieves tension. 5 4 3 2 1
...gives me sensory pleasure. 5 4 3 2 1
50
...offers value for money. 5 4 3 2 1
...has the most wonderful taste.
...has a great ‘nose’. 5 4 3 2 1
...gives an impression of 5 4 3 2 1
sophistication.
...improves the way I am 5 4 3 2 1

perceived by others.
Wine is hip, cool. 5 4 3 2 1
12. What type of event do you associate wine with? Please indicate how much you
associate fine wine with the below listed events! (5=extremely so, 1=not at all)
Fine wine is associated with... extremely so not at all
5 4 3 2 1
nice dinners 5 4 3 2 1
weddings 5 4 3 2 1
special events 5 4 3 2 1
elite and formal events 5 4 3 2 1
music concerts 5 4 3 2 1
parties 5 4 3 2 1
family occasions 5 4 3 2 1
wine tastings 5 4 3 2 1
casual get-togethers 5 4 3 2 1
dates 5 4 3 2 1
Friday nights 5 4 3 2 1
holidays (e.g. Christmas) 5 4 3 2 1
51
13. Please indicate how descriptive the following adjectives are about wine in
general.
Wine is... fully not at all

descriptive descriptive
4 3 2
5 1
fun 5 4 3 2 1
light 5 4 3 2 1
hip 5 4 3 2 1
tasty 5 4 3 2 1
refreshing 5 4 3 2 1
expensive 5 4 3 2 1
snobby 5 4 3 2 1
too serious 5 4 3 2 1
oldish 5 4 3 2 1
confusing 5 4 3 2 1
14. What kind of wine related events do you attend? Please distribute your total
attendance (100%) among the following events! Make sure that the numbers
add up to 100%.
□ wine festivals
□ wine tastings
□ wine dinners
□ I don’t visit any such events
The next part of the questionnaire is about noticeable wine consumption.
Consuming wine in a public place, where my act is 5 4 3 2 1

visible to others, is trendy.
52
16. Please indicate how much do you agree with each of the following statements
(5 fully agree, 1 fully disagree)
When I consume wine in a wine bar/ at a wine festival among friends ...
...I feel like I am gaining respect. 5 4 3 2 1
...I feel like I am gaining popularity. 5 4 3 2 1
...I am being noticed by others. 5 4 3 2 1
...it is a way of showing who I am. 5 4 3 2 1
...I feel it is a symbol of success. 5 4 3 2 1
...I feel it is a symbol of prestige. 5 4 3 2 1
...I feel it indicates wealth. 5 4 3 2 1
...I feel it indicates achievement. 5 4 3 2 1
...I feel it indicates status. 5 4 3 2 1
...it enhances my image. 5 4 3 2 1
This next part of the questionnaire shortly examines the respondent’s social habits.
17. What social media sites do you use? Please distribute 100% among the
following social media sites! Make sure that the numbers add up to 100%.
□ Facebook
□ Twitter
□ Instagram
□ Flickr
□ other
□ none
18. How often do you visit social media sites? (viewing, posting, commenting,
liking)
□ several times a day

□ every day
□ 2-3 times a week
□ weekly
□ fewer
53
19. Do you post pictures of the wine you are drinking or of yourself drinking wine?
□ yes
□ sometimes
□ no
20. What do you prefer when you go out?
□ background music, having a drink and some food, talking
□ music, dancing, consuming a considerable amount of alcohol
21. How often do you go out?
□ even two times on a weekend

□ once a weekend
□ 2 times a month
□ once a month
□ fewer
This last section of the questionnaire asks about your demographic background.
22. Please indicate your age!
.....
23. I am
□ female
□ male
24. Please indicate the highest degree you hold.
□ high school graduate

□ professional training
□ bachelor degree
□ masters degree
□ doctorate degree
25. Please indicate your monthly income.
□ <100.000 HUF
□ 110.000 HUF - 200.000 HUF
□ 210.000 HUF – 300.000 HUF
54
□ 310.000 HUF – 400.000 HUF

□ >410.000 HUF
26. Please indicate your marital status.
□ single
□ in a relationship
Thank you for completing this questionnaire!
Have a nice day
55
SPSS Tables
56
57
Curriculum Vitae
Personal Details:
First Name: Márta

Surname: Dávid
Date of Birth: 19-05-1988
Place of Birth: Budapest
Telephone: +36 305443830
E-mail: szenthem@gmail.hu
Education:
September 2012- Present
Masters of Art in Business in International Wine Marketing
at University of Applied Sciences Burgenland
2008-2012
Budapest Business School Faculty of Commerce, Catering and Tourism
specialised Tourism and Hospitality, Degree of Bachelor of Arts in Business
2002-2006
Prohászka Ottokár Catholic Highschool, Budakeszi
Work Experience:
2012- Present
Project Manager, EU Subsidies at Pharma Press Printing Company
June-August 2010, 2011

Waitress, Bartender at Ristorante La Taverna, Eckernförde, Germany
58

Marta David - Wine For Image: An Examination of Millennials in Hungary

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Marta David - Wine For Image: An Examination of Millennials in Hungary

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Master Thesis

Wine for Image: An Examination of Millennials in Hungary

Marta David (1210271003)

in fulfilment of the requirements for the degree of

Master of Arts in Business

to the faculty of International Wine Marketing

of the University of Applied Sciences Burgenland

Supervisor: Prof. Dr. Ulrich Orth

Eisenstadt, 19 September 2015

I, Marta David (1210271003), hereby declare that

(1) the present Master Thesis entitled:

Wine for Image: An Examination of Millennials in Hungary

have created unassisted, using only the cited sources.

In order to understand the outlined phenomena, a review of current literature on this

Keywords: Hungarian Millennials, wine consumption, conspicuous consumption, social

In order to obtain appropriate information and be able to answer the established

Declaration of Authorship ......................................................................................................... i

3.1.2. Research questionnaire .......................................................................................... 24

Table 2: Results of Question 16

Figure 2: Psychological associations of conspicuous wine consumption

Figure 3: Graphical presentation of Question 1

Figure 4: Graphical presentation of Question 5

Figure 5: Graphical presentation of Question 6

Figure 6: Graphical presentation of Question 9

Figure 7: Graphical presentation of Question 12

Figure 8: Graphical presentation of Question 11

Figure 9: Graphical presentation of Question 13

Figure 10: Graphical presentation of Question 15

Figure 11: Graphical presentation of Question 15

Figure 12: Graphical presentation of gender distribution in sampling population

Figure 13: Graphical presentation of the level of education in sampling population

1.1. Background of the subject

supplementary programmes draw potential wine consumers too. Due to the

1.2. Research Question

1.3. Aims and objectives

1.4. Methodological approach

To set up appropriate hypotheses a comprehensive and perspicacious research of the

1.5. Structure of the research

• Designing the research model

• Customizing the questionnaire

• Testing the questionnaire

• Revising the questionnaire

• Conclusion and suggestions

Figure 1: Structure of the research

2.1. Hungarian wine culture

2.1.1. Wine consumption habits of Hungarians

2.1.2. Consumer segments

2.1.3. Wine festivals

2.1.4. Wine marketing

Concerning wine consumption, Hungary is experiencing continuous change. Wine

Brand community is “whose primary base of identification is a brand or brand

2.2. Millennial generation as target group

2.2.1. Market segmentation

Market segmentation is the method of dividing a market into significant, relatively

 geographic segmentation – based on where the customer live (country, city)

 demographic segmentation – based on age, gender, income, social class

 psychological segmentation – based on lifestyle and personality

 behavioural segmentation – based on occasion, benefits, usage rate, etc.

 super-core – consumer wine daily (2% of the U.S. population)

 core – consume wine at least two-three times per month (10%)

 marginal – consume wine at least two-three times per quarter (14%)

 non-adopters – do not drink wine, but other alcoholic beverages (31%)

 non-drinkers – do not drink any alcoholic beverages (43%)