14 Animation Samples That Apllicants Made Never Seen Before Is the Wine Industry Ready for New Label Technology?

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Is the Wine Industry Ready for New Label Technology?

Many in the wine industry talk about new things in logo design that are changing the industry. These are the people who pointed out that there are new labels, materials that use foil, handling techniques, sleeves, colors, and scannable labels (QR). Yes, there are some exciting new looks to wine labels. But, a new way that will capture the imagination, use exciting technologies, combine tantalizing colors, and research has shown that consumers are strongly encouraged to carry and display the product of the brand. When was the last wine label you saw that was one you could experience?

The new logo product being promoted to the wine industry is a hologram. Holograms have been around since the mid-70’s. Them National geographic newspaper featured a small holographic image of an eagle on the cover of a monthly issue. I saw it, and I was amazed that you could see it next to the eagle and beyond just by turning the back cover of the magazine.

I am a marketing manager for a company in Manhattan and I was so impressed by the holographic image that I wanted to use it in our consumer brochures. A significant reduction in the cost of holographic imaging; up to $2.00 each. Today holograms can be made, in volume, for as little as $0.05 each, 1 x 1 inch. Pre-production costs/set-up costs will be approximately $2,500. The front label for wine can be up to $0.74 each for a 4 x 3-inch size.

“Actual costs depend on how sophisticated the high-resolution image needs to be to achieve the desired visual effect,” said Mr. Alec Jeong, General Marketing Manager at Integraf, a supplier of holographic labels. “For a high-end hologram, pre-production costs can start as low as $1,000 for something as simple as a logo or go as high as $8,000 for a high-quality display that combines 3-D depth, animation and an amazing appearance.”

What makes holograms so interesting? Holography is an imaging technique that records light scattered from an object, and then displays it in a three-dimensional form. In the 70’s what appears in the 3-D model must be scaled to the exact size of the image to be generated on a special paper using lasers.

New technologies now allow 3-D images to be generated using a computer graphics model that can be applied to a laser-type image to create 3-D effects.

What makes the application of 3-D holographic labels attractive for the wine industry?

· Holographic images produce a 3-D effect that captures the consumer’s attention when browsing the shelves of wine. Materials can be adapted for vertical or horizontal bottle displays.

3-D logo production today is cost effective.

· Holograms can be used to counter the counterfeiting of some brands.

· Holographic images can be suitable for a variety of marketing requirements-branding, sky hangings, and attention notices for customers passing by on the street. For example, some holograms can be produced that will emit light as it passes through a hologram.

· Every logo does not need to be made as a hologram.

· These titles speak to the tech-savvy millennial generation. This category represents over 60% of the wine market and is driving growth in wine sales.

Mrs. Toni Hamilton, Director of Marketing at ASL Print FX, has set some guidelines for effective wine labels. Do the holograms conform to your instructions? You ask, for example, on a store shelf will notice the label in 3 seconds? Some research done earlier by Integra indicates holographic images do well. Does the holographic image reflect the wine, the wine and the target product? Everyone responds to messages and the delivery format of the message is different. The investigation and the trial will be the judge; more on product applications follow. Finally, in almost all marketing titles it needs to be fun, can be funny, should use unique graphics and can be a little surprising.

A logo design firm in Napa has said that exceptions to most rules about good logos on labels are passé.

We know that wine labels are/can be: graphic, informative (partly by law), entertaining, and used to influence consumer behavior. The following are some thoughts about the interaction of the wine label with the consumer.

As a consumer, do you think we are not protected against marketing manipulation techniques; we are too smart for that trick, right? But, we shouldn’t be defensive about wine marketing techniques because the label can give us a lot of information (not just legal) about the brand choices available to us. Labels create lasting loyalty, bring trials of new wines, create excitement/expectations (psychological expectations) and allow us to relate to the producers of some wines- favorite wine/wines and wine makers. Combined with the internet, we can become more educated about our wine purchases and become educated brand evangelists for great inexpensive and expensive wines.

The life and value of a wine label depends on research and testing. And research shows, “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 the top logo design and marketing company in wine country.

David Ogilvy, an advertising agency icon, has many quotes about using visuals to sell products. One I appreciate, which can be applied to holographic wine labels, “If you grab attention in the first frame (used in TV commercials) with a visual surprise, you stand a good chance of holding the view people screen out a lot of commercials because they open with something dull.” “On average, five times as many people read the headline as read the body copy.”

Other than advertising (press, TV, direct response), the wine industry generally has one important marketing tool in their bag of tricks to reach the consumer and motivate the consumer to that first test: the logo is an important tool in the bag. The brand cannot carry and continue a bad brand, product or image to success. But, it will encourage a trial and then go to a repeat customer.

Wine Business Monthly reported, in the Hispanic market 70% of the purchase decision on wine is price related, recommendations for 40% and label design represents 14% of the purchase decision. Obviously, there are many crossovers between categories, but the importance of wine labels is enough to make it important in wine sales. If there are fault claims due to a test that starts a label and a follow-up recommendation, the labels can affect the sale by almost 30% -tests and buy-backs.

Mr. Kyle Swartz, reported in Dynamic Drinks, January 2016: “Regarding labels, 46% of women say they are attracted by “traditional/classic/sophisticated” designs. “Witty and clever” attracts 36% of respondents, and “opportunity for a reason “I’m interested” polled 30%. Do you think any of these answers play into the holographic logo discussion?

These comments are important given that 83% of wine is purchased by women, of which 36% are millennials and are mostly focused on the shopping experience and not the product itself. With the US being the largest wine market in the world, labels are very important. It is also noted that Swartz reports, 53% of women browse the labels. As noted by Ogilvy-First Frame (replacing “visual display” for our discussion) will attract further research.

Wine is back in the spotlight for growth, especially for millennials. As a demographic, millennials represent approximately 60% of the US market and they focus on wine purchases in the $11 to $20 bottle of wine. However, label guidelines are not necessarily dictated 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 relationship. No one buys Two Buck Chuck and thinks the quality/value is a bottle to be racked for 10 years or put in a fine wine sale at Christy’s. But at any price point labels will generate tests for value proposition and be communicated with a brand strategy.

Trying to prove that I am out of touch with reality. We all know that there are many components that influence our decision on wine purchases, other than the personal preferences that have been obtained / established for a specific wine. For this discussion, we are focusing on the tactile and visual requirements that make us make the first attempt of the wine we see on the body—these are not listed in any order or approximation.

· Cost of money

· Logo design

· Size of bottle/product

Type of closure (cork or screw top plastic plugs will not be visible under the foil)

· Wine detail on front and back labels

· Variety / style

· Appellation / AVA

· Acquaintance with wine producer

Recommendations (friends or broker or winemaker)

As an aside: More recently a lot of attention has been paid to the wine market in China. Here the logo is very important because of the traditional importance of images and colors. Interestingly, colors like red, gold and yellow indicate good luck and quality.

I came across a 2010 study written by Vince Bonofede from California Polytechnic State University. The title of the study is- ANALYSIS OF WINE CONSUMERS’ CULTIVATION AND RELATIONSHIP TO PRICE. In contrast to the title of the study it touches on the issues of label design on wine selection. The study is based on mathematics and regression analysis and looks at 7 categories of terms related to aesthetic design.

After evaluating the complexity Bonofede concluded, “Ultimately the wine is meant to be enjoyed, not the effort at the bottom of the wine. If the wine label is what catches your attention first, then go for it and and enjoy it.” That is to say, if the wine label is pleasing to the consumer (i.e. color, shapes, font sizes, etc.), then the label can have an overall effect on the consumer’s opinion of the wine (Burnhard, Martin, and Troncoso). (2008).

I think holographic labels will soon make inroads on wine labels. Indeed, the use of such images will promote product tests, communication, read labels for information, promote branding and promote a product and long-lasting wine image. The frequency and impressions of such a symbol need to be explored as a marketing component.

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