Premium
Community and Expert Wine Ratings and Prices
Author(s) -
Oczkowski Edward,
Pawsey Nicholas
Publication year - 2019
Publication title -
economic papers: a journal of applied economics and policy
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.245
H-Index - 19
eISSN - 1759-3441
pISSN - 0812-0439
DOI - 10.1111/1759-3441.12240
Subject(s) - wine , reputation , robustness (evolution) , quality (philosophy) , actuarial science , econometrics , economics , marketing , business , political science , biochemistry , chemistry , physics , philosophy , epistemology , law , optics , gene
This paper assesses the relative impact community consumer ratings and expert ratings have on Australian wine prices. Results suggest community ratings may better explain price variations than expert scores; however, the performance difference is not definitive. Expert scores are found to have some additional unique power beyond community ratings in explaining prices. These results hold for both models based on current quality and reputation ratings and a number of robustness checks. The results suggest that producers may need to monitor both expert and community assessments of wines based on numerous vintages to accurately assess wine prices.