Handbook of Research on Innovation in Tourism Industries

Handbook of Research on Innovation in Tourism Industries

Research Handbooks in Business and Management series

Edited by Gry Agnete Alsos, Dorthe Eide and Einar Lier Madsen

The tourism sector – already one of the fastest growing industries in the world – is currently undergoing extensive change thanks to strong market growth and a transition to more experience-based products. The capacity for firms to innovate and adapt to market developments is crucial to their success, but research-based knowledge on innovation strategies in tourism remains scarce. This pioneering Handbook offers timely, original research on innovation within the tourism industry from a number of interdisciplinary and global perspectives.

Chapter 11: Types of innovation in tourism businesses: the case of New Zealand wine tourism

C. Michael Hall and Tim Baird

Subjects: business and management, management and sustainability, organisational innovation, development studies, tourism, environment, research methods in the environment, geography, human geography, tourism


Innovation is increasingly seen as an important element of wine tourism (Hall & Mitchell, 2008). However, despite the significance of wine tourism for wine sales, especially from smaller scale wine producers, for regional branding and for rural tourism development (Hall, 2012), there is little systematic research on innovation within this growing sector, especially from wine producers. This chapter therefore specifically examines the innovation practices of New Zealand wineries that are engaged in wine tourism. Wine tourism is defined as ëvisitation to vineyards, wineries, wine festivals and wine shows for which grape wine tasting and/or experiencing the attributes of a grape wine region are the prime motivating factors for visitorsí (Hall, 1996, p. 1). Wine tourism has been recognized as providing potential opportunities for wine producers to add value to their existing market offerings (Mitchell and Hall, 2006). However, in New Zealand, as is the case in many other wine producing nations, wine producers are also operating in a volatile marketplace prone to both economic fluctuation (Deloittes, 2010) and oversupply (Euromonitor International, 2012). As a direct result of this a relative degree of caution with respect to the adoption of new business and environmental practices currently exists within the New Zealand wine industry (Deloittes, 2010; Baird & Hall, 2013). Pickersgill and Edwards (2005, p. 8) suggest that ëInnovation is a complex, multiple dimensional process that involves scientific and technical expertise, technical and educational infrastructure, integrated product and supplier networks and effective management and marketing strategies and government supportí.

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