Demand for craft beer and craft wine: A choice experiment across on-premise contexts

This study explores consumer demand for craft beer and craft wine in Italy, a traditionally wine-oriented country where wine consumption is declining while beer consumption is increasing. Using a choice experiment across four on-premise contexts (traditional restaurant, aperitif bar, sushi restaurant, and pizzeria), we analyze consumer preferences for craft and industrial variants. Data from 275 consumers were estimated with mixed logit models to derive willingness to pay (WTP), market shares, demand curves, and price elasticities. Results show that the craft attribute raises preferences across all contexts, with craft wine valued most in restaurants and craft beer in pizzerias. Demand elasticities differ by venue. Substitution patterns also emerge as craft beer competes primarily with its industrial counterpart, while craft wine shows stronger substitution with craft beer in some contexts, underscoring asymmetric relationships between products. Findings highlight the importance of context and craftsmanship in shaping demand and guide pricing and marketing strategies.