Website design By BotEap.comMany in the wine industry talk about the new things in label design that are revolutionizing the industry. They are people who point out that there are new papers for labels, applications with foil, embossing techniques, shrink sleeves, colors and scannable labels (QR). Yes, wine labels have a nice new look. But, a new approach that will capture the imagination, uses captivating technologies, combines enticing colors and has proven research indicating that customers are impulsively compelled to pick up and handle the product on which the label appears. When was the last wine label you saw one you got to experience?

Website design By BotEap.comThat new label product being promoted in the wine industry is a hologram. Holograms have been around commercially since the mid-1970s. Tea national geographic magazine introduced a small holographic image of an eagle on the cover of a monthly issue. I saw it and was amazed that you could see the eagle side and then the opposite side just by turning the magazine cover over.

Website design By BotEap.comI was a marketing manager for a company in Manhattan and was so intrigued by the holographic image that I wanted to use it in our consumer brochures. The biggest drawback was the price of the holographic image; approximately $2.00 each. Today, hologram labels can be made, in bulk, for as little as $0.05 each, 1 x 1 inch. Pre-production/installation costs would be approximately $2,500. A front wine label might cost about $0.74 each for a 4 x 3-inch size.

Website design By BotEap.com“The actual costs depend on how sophisticated the final image needs to be to get the desired visual effect,” says Mr. Alec Jeong, general sales manager at Integraf, a provider of holographic labels. “For a high-quality hologram, pre-production can start as low as $1,000 for something simple like a logo or go as high as $8,000 for a beautiful display that combines 3-D depth, animation, and amazing reflections.”

Website design By BotEap.comWhat makes holograms so interesting? Holography is a photographic technique that records light scattered by an object and then presents it in a way that appears three-dimensional. In the 1970s, for the object to appear in 3-D, the model had to be in the actual size of the image that would be generated on special paper using lasers.

Website design By BotEap.comNew techniques now allow 3-D images to be generated using computer graphics models that can be applied to laser-like images to generate 3-D effects.

Website design By BotEap.comWhat makes the application of three-dimensional holographic labels so interesting for the wine industry?

Website design By BotEap.com· Holographic images produce a three-dimensional effect that captures the consumer’s attention when browsing wine racks. Applications can be tailored for vertical or horizontal bottle merchandisers.

Website design By BotEap.com· Producing a 3-D label today is profitable.

Website design By BotEap.com· Holograms can be used to combat counterfeiting of some wines.

Website design By BotEap.com· Holographic imagery can be tailored for many marketing requirements: branding, neck garters, and attention grabbers for consumers walking down an aisle. For example, some holograms can be produced that will produce a burst of light when it passes over a hologram label.

Website design By BotEap.comIt is not necessary to make the entire label as a hologram.

Website design By BotEap.comThese labels speak to the tech-savvy millennial generation. This demographic represents more than 60% of the wine market and is driving growth in wine sales.

Website design By BotEap.comMs. Toni Hamilton, ASL Print FX Marketing Director, has set out some guidelines for effective wine labels. Do holograms fit your guidelines? She asks, for example, on a store shelf, will the label catch the eye in 3 seconds? Some research already done by Integra indicates that holographic imaging works well. Will a holographic image reflect the wine, the winery and the target market? Each demographic group responds to messages and the delivery format of a message differently. Investigation and evidence would be the judge; More information on market applications below. Lastly, in almost all demographic markets, labels should be fun, can have humor, use unique graphics, and can be a little weird.

Website design By BotEap.comA label design firm in Napa has said that there are exceptions to most of the rules about good labels; however, images of creatures on labels are approved.

Website design By BotEap.comWe know that wine labels are/can be: art, information (partly by law), entertainment, and used to influence consumer action. The following are some reflections on the interaction of a wine label with the consumer.

Website design By BotEap.comAs a consumer, do you think we are immune to manipulative marketing tactics? we’re too smart for that trick, right? But we shouldn’t be defensive about wine marketing tactics because the label can give us a lot of information (not just legalese) about the branding options available to us. Labels create lasting loyalty, encourage testing of new wines, foster enjoyment/expectation (psychology’s mental expectations), and allow us to engage with the creators of some of our favorite wines/wineries and winemakers. Combined with the internet, we can now become more informed about our wine purchases and become educated brand evangelists for great wines, both inexpensive and expensive.

Website design By BotEap.comThe life and value of a wine label is based on research and testing. And research shows that “the more the consumer likes the label, the more they like the wine.” At least that’s according to Mr. David Schuemann, owner of CF Napa Brand Design, a premier label design and marketing firm in the wine region.

Website design By BotEap.comDavid Ogilvy, an icon of the advertising industry, had many quotes about using images to sell products. One I appreciate, which can be applied to holographic wine labels: “If you grab attention in the first frame (which applies to TV commercials) with a visual wow, you have a better chance of retaining the viewer. People dismiss a lot of commercials because they start with something boring”. “On average, five times more people read the headline than the body copy.”

Website design By BotEap.comIn addition to advertising (print, TV, direct response), the wine industry generally has one important marketing tool in its bag of tricks to reach the consumer and motivate them toward that first try: the label is an important tool in the bag. The label cannot carry and perpetuate a bad brand, product or image towards success. But, it will encourage a trial and then a repeat customer.

Website design By BotEap.commonthly wine business It has been reported that in the Hispanic market, 70% of the wine purchase decision is related to price, recommendations represent 40% and label design represents 14% of the purchase decision. Obviously, there is a lot of crossover between categories, but the relative importance of wine labels is enough to make them important in wine sales. If the family recommendations arose because of a tag-initiated test and a follow-up recommendation, the tags could impact sales by almost 30%: tests and repurchases.

Website design By BotEap.comMr. Kyle Swartz, reported in drink dynamics, January 2016: “Regarding labels, 46% of women said they were intrigued by ‘traditional/classic/sophisticated’ designs. 39% were intrigued by ‘fun and quirky’ looks, while 37% noticed labels indicating “organic/sustainable” wines “Inventive and intelligent” appealed to 36% of respondents, and “benefiting a cause I care about” intrigued 30%. Do you think any of these responses influence the discussion about the holographic label?

Website design By BotEap.comThese comments are important given that 83% of wine is bought by women, of which 36% are millennials, and most of them focus on the shopping experience and not just the product itself. Since the United States is the largest wine market in the world, labels are extremely important. It is also noted that, according to Swartz, 53% of women examine labels. As Ogilvy pointed out, the first box (substituting “visual impression” for our discussion) will prompt further exploration.

Website design By BotEap.comWine is once again in the spotlight due to its growth, mainly attributed to millennials. As a demographic, millennials make up about 60% of the US market and are focused on wine purchases in $11-$20 bottles. However, label strategies are not necessarily driven by the price of a bottle of wine. At ALL price points for any product, the product is repurchased based on a price-to-value ratio. No one buys Two Buck Chuck thinking quality/value is a bottle that will be stored for 10 years or placed at a fine wine auction at Christy’s. But at any price, the labels will generate evidence for the value proposition, and that communicates with a brand strategy.

Website design By BotEap.comIn an attempt to show that I’m not out of touch with reality. We all recognize that there are many components that go into our wine buying decision, other than acquired/established personal preferences for a specific wine. For this discussion, we focus on the tactile and visual questions that lead us to make a first attempt at a wine we see on ourselves; these are not listed in any order or inclusion.

Website design By BotEap.comPrice

Website design By BotEap.comlabel design

Website design By BotEap.comBottle/product weight

Website design By BotEap.comType of closure (plastic caps with a cork or screw top would not be visible under the foil)

Website design By BotEap.comDescription of the wine on the front and back labels

Website design By BotEap.comvariety/style

Website design By BotEap.comDenomination/AVA

Website design By BotEap.comFamiliarity with the wine producer.

Website design By BotEap.comRecommendations (friends or retailer or winery)

Website design By BotEap.comAs an aside: more recently a lot of attention has been paid to the wine market in China. Here the label is very important because of the traditional importance of images and colors. Interestingly, colors like red, gold, and yellow connote wealth, good luck, and elegance.

Website design By BotEap.comI came across a 2010 study written by Vince Bonofede of California Polytechnic State University. The title of the research is- ANALYSIS OF THE AESTHETICS OF WINE LABEL DESIGN AND THE CORRELATION WITH THE PRICE. Contrary to the title of the study, it did touch on label design issues in wine selection. The study was based on mathematical and regression analysis and analyzed 7 categories of rules related to design aesthetics.

Website design By BotEap.comAfter a complex analysis, Bonofede concludes: “Ultimately, wine is meant to be enjoyed, not a stressful walk around the wine island. If a wine label is the first thing that catches your eye, then go for it and enjoy it”. That is, if a wine label were aesthetically pleasing to the consumer (i.e., color, shapes, font sizes, etc.), then the label could have an overall effect on the consumer’s opinion of the wine (Burnhard, Martin and Troncoso (2008).

Website design By BotEap.comI think holographic labels will soon be making their way into wine labels. Certainly, the use of such images will promote product testing, conversation, reading labels for information, promote the brand, and promote a long-lasting product and winery image. The frequency and impressions of such a tag should be explored as a component of marketing.