There are two aspects of labels that impact breweries: First, designing a label that attracts consumers; the second, accommodating state and federal labeling requirements without distracting from the intent of a label, that being, selling beer. The most important task of a label, in addition to supporting the branding, is to get the consumer to feel like they know and trust the brand and by extension-the beer.
For a label to be effective it must perform 3 critical
functions: branding, marketing and selling. 'Branding' is how the brewery and
its products are perceived by the public. 'Marketing' is how a brewery gets the
brand/product message into the marketplace, creating the 'trial' and repeat
buyers. 'Selling' is about articulating a craft beer's attribute story.
Sometimes people are not aware of a subliminal desire to try a new beer, but a
label creates the epiphany, some might call it an impulse buy.
The label is a complete package: it tells the story of
company values, it projects those values through a product label to a target
demographic, and it brings reality to the consumer concerning a product's
attributes (beer style, taste, and quality, etc.). Even without visiting a
craft beer taproom or brew house, people form opinions of a beer from how a
label appeal to them.
Getting labels on any alcoholic beverage isn't done without
government; local, State and Federal. For myriad reasons individual States, the
TTB, and even the FDA have regulations stipulating specific information that
must appear (and conversely, must not appear) on a Craft Beer label. Alcohol
content, ingredient, ancillary ingredients such as fruit, and beer style will
stipulate what governmental body gets involved with a label beyond the TTB.
Here is an example of the complexity of beer labeling. I
have a working knowledge of what 'Lite" means and have never searched for
carb counts or fiber content in a "Lite" beer. But laws/regulations
require detailed information about nutritional values in 'Lite' beer and not in
regular beer. Thus, the FDA is part of the "Lite" designation and
"Average Analysis" statement about nutritional values that allow the
"Lite" designation. Go figure.
I feel most consumers are like me, they do not pay much
attention to beer labels; food labels are a totally different subject. Label
size and legally prescribed content makes a label very precious real estate to
help brand and sell a craft beer. Consumers-do not despair. Options do exist to
find out the fun stuff about the brewing of your favorite beer; it is called QR
codes. More about that later. Interestingly, labeling laws not only apply to
the messaging, but it also dictates font, contrasting colors, size of font, bold
versus not bolding, location, etc.
Reading a label on an aluminum can is a task that leads to
annoyance: light reflecting from a shinney can, small print, color of font
against a background color, the image, and trying to find the ABV information
(which may not even be there). Maybe at your next get-together, someone will be
overwhelmed to know the fiber or protein content before they consume the
beverage.
Relative to 'law and labeling', the EU regulatory body for
beer has mandated beer labels contain ingredient and "energy" values
(nutritional analysis) of the product. "The Commission essentially says
that alcoholic beverages should comply with the same labelling requirements as
other food products and, therefore, they should indicate on their labels an ingredients
list and a nutrition declaration," reports the law firm Keller and Heckman
LLP
Here is a statement why nutritional information, as on a
package of sausage, should also apply to beer in the EU. "We hope that by
providing more information at least gives people a choice. We are praising the
brewers because the information is on the label. Having off-label ingredients
and calories, online, is just not good enough," Mariann Skar, Secretary
General of Eurocare. I say, in the U.S., if you want to know more about a beers
chemistry than a human can comprehend in the span of an atom's half-life, go to
Google, it's free. A label hasn't enough room to teach food chemistry 101.
This is brought up because ingredient lists and dietary
percentage values (Average Analysis Statement) are now very prominent on food
packaging in the U.S.; ingredient lists, and values could apply to beer also.
However, now would be a good time for the craft beer industry to look at QR
codes, Barcodes and NFC (Near Field Communication) as an off-packaging/label
way to be ahead of any regulatory change. It may have already started.
As noted above. To add confusion on this subject, the
category of Light/Lite/Low Cal beer does have ingredient list requirement not
relevant to regular beer. With light beer the FDA has some authority. Even the
ABV listing on a beer container may or may not be shown in certain states like
NY. Adam Teeter writes in VinePair, "Some states may require
the breweries in their states to list ABV, but that is up to the states."
Moral of the story, if you are looking for the ABV in your beer it depends on
State laws if it is allowed or required on the label.
Lauren Steele writes in Men's Journal, "An
initiative to encourage awareness among beer drinkers of what's in their bottle
or can, the largest beer companies in the country (including Anheuser-Busch,
HeinekenUSA, and MillerCoors) will begin printing nutrition information on their
beer labels. In the new guidelines proposed by the Beer Institute, labels will
list calories, carbohydrates, protein, and fat alongside alcohol by volume.
Labels will also include ingredient disclosure."
It should be noted that the wine industry has been paying
attention to consumer awareness of the alcohol content. There are some trends
showing consumer aversion to high ABV in beverage alcohol products. So far, the
TTB accepts that beer ingredients are barley, water, yeast and hops are
acceptable ingredients without listing them on the label.
As an aside, testing for ingredients and nutritional values
can be expensive. Some craft brewers offer an array of beer styles and
performing tests for nutritional values for small batch beers or seasonal beers
could be cost prohibitive, not to mention small quantity label runs.
Because a brewery can't put a beer in a container with an
approved label, I have spent a lot of space addressing the subject of getting a
label approved. But the ongoing task is selling to the consumer.
The real purpose of labels from a consumer's
perspective-it's all about branding, marketing and selling beer. Beer brands
compete for shelf space while simultaneously vying for the attention of
consumers, and labels having strong creative designs will drive success. Strong
creative labels must tell a visual story and have demographic targeted copy,
both must be within the constraints of color, design, fonts, and graphics (per
TTB regulations), says Global Vision. Remember, a picture is worth a thousand
words.
Craft beer has a unique set of creative consideration's
inherent with designing a label, after all it is about the beer consumer.
Pre-Pandemic, they can be defined as having upscale incomes, higher levels of
education, a tendency to explore products and a growing base of women
consumers. The trick is getting face time with these consumers.
Peruse the shelves at Total Wine & More or BevMo and
judge for yourself the creativity behind the label. "Craft brewers are
extremely entrepreneurial and that connotes people who are creative and
innovative. Much of their creativity is in their products and that naturally
spills over into labels, packaging, and logos and naming conventions.
There is some science to designing and using design to build
a brand, create a market and sell products. But most people developing craft
beer label designs will tell you, "There are no set rules to follow when
creating product labels. There are strong suggestions", says Mark Trumper
of Creative Pro.
Ultimately, the consumer is the judge on how well the beer
label communicates the brand, marketing and sales message. Before a label is
put on the can or bottle, displayed on a coaster, shown on the taproom
electronic beer board, there should have already been a lot of considerations
given to the label.
We have mentioned, maybe too much, the general requirement
of labels, but the specific legal requirements will be address more fully
later. The new beer to be offered by the brewery in a taproom, local retail
outlet, restaurant or brewpub must compliment (not compete) with the brand
image of the brewery. For example, the label on the beer should promote the
tenants of what consumers think the management/company is about.
The label will then need to be targeted at a specific
customer demographic. If the consumer is not familiar with the brewery and has
no experiences with the brand, then the label must be attractive enough to
command shelf space.
Issues of labels is really about the consumer whether it be
legal or design. Covid-19 has fostered some major changes on the craft beer
market. And those changes will carry on for the foreseeable future. In the
March 2021 issue of Packaging World, Anne Marie Mohan reports
some changes that already are being felt:
- People
seem to be experimenting more with alcoholic beverages, with 23% of
consumers trying new-to-them beverages.
- Consumers
are choosing what are perceived as "healthier" options
(including ingredients).
- Thirty-three
percent of consumers are trying new beers.
Beer seems to be getting a larger share of the expanding
alcoholic beverage market via "trials" of new brands/products.
Logically, craft brand consumers seem to be willing to branch out with trials.
That may include taproom exploration, off-premises, beer events, pairing
experiments (as Stone Brewing has done a lot of work with), etc.
The following are thumbnail explanations of TTB label
requirements. The TTB (Tax and Trade Bureau) reviews more than 100,000
alcoholic labels yearly in addition to making field visits to
breweries/distilleries/wineries to ensure approved labels conform to production
standards. The regulations for labeling of malt beverages are more than 1,000
pages and explains the exceptions. These exceptions involve other Federal
Agencies such as the FDA, States, and other countries.
No matter the container your malt beverage comes in,
breweries are required to have the prescribed TTB content on the label. Cans,
bottles, crowlers (32 oz.) and kegs, have the same content requirements. For
the sake of brevity, the focus on a 12 oz. can of domestic beer with no
additives or deviation in grain outside of barley.
The complexity of navigating through the TTB and FDA to get
a COLA (Certificate of Label Approval) issued so a brewery can start packaging
their beer, is a daunting task and might require some outside assistance. If
all the "t's" are crossed and "I's" dotted the approval
process can take 4 days, but do not count on it.
There are many issues that will dictate design cost, such as
branding, state laws, distribution, packaging, formulation, filing forms, etc.
From a printing perspective a new, yet simple, label can cost about $350/2,000.
Shrink wrap labels, foils, design complexity, shapes, etc. will add
significantly to the cost of printing.
THE LABEL
A quick view of what is required.
Requirements Defined
Brand Name-
- The
name is most likely the name of the company and will be the most
prominent.
- Placement-Front
- Font
Size-Depends on the size of the container but must be legible with
contrasting background (probably a logo or branding image).
Class Designation-
- Class
of malt beverage are such titles as beer, lager, stout, etc.
- Placement:
Must appear on the front of the container, parallel to the base of the
container.
- Font
Size: Minimum 2 mm tall for containers greater than 8 fl. oz.
(A nickel is 2 mm thick.)
- Legibility:
Must be legible and not part of other content
Name and Address-
- The
name and address of the producer/bottler or packer must appear on the
label. It gets more complicated when using shared facilities or using a
contract brewer.
- Placement:
Front, back or side of container.
- Font
Size: Minimum 2 mm tall for containers greater than 8 fl. oz.
- Legibility:
Legible and on a contrasting background.
Net Contents-
- Contents
must be shown in standard U.S. measurements. If desired, can ALSO be shown
in metric measures in addition to U.S.
- Placement:
To appear on the front of the container in a normal reading position.
- Type
Size: Minimum 2 mm tall for containers greater than 8 fl. oz.
- Legibility:
Legible on a contrasting background, and not part of other content.
- Must
be expressed in American measure, in addition it but may also be expressed
in metric measure, e.g., "1 PINT (473 mL)" is acceptable. A
- In 16
oz. and larger containers, volume cannot be shown in a
"ounce's". Example: 1PINT, 4 FL. OZ.
Alcohol Content-
- The
amount of alcohol contained in a malt beverage is an option by TTB standards.
However, in the case of "ALC/VOL" statements States do have the
final say. Some states dictate that NO "ALC/VOL" is to be shown
when ordered by State-not ABV.
- Placement:
Take your pick, front, back, or side.
- Type
Size: Minimum 2 mm tall for containers greater than 8 fl. Oz.
- Legibility: All
fonts of the "alcohol content statement" must be the same font
and font size, and color as number.
Health Warning Statement-
This is an absolute requirement for any malt beverage sold
in the U.S. which contains more than 0.5% alcohol (Near Beer). No room to cut
corners here. And forget about using your MS Word to judge sizes of letters.
The TTB uses characters per inch as the standard measurement.
- Placement:
Front, back or side of label.
- Type
Size: Minimum 2 mm tall for containers greater than 8 fl. oz. and a
minimum 3 mm for containers over 100 fl. oz. (As a reminder a gallon is
128 oz.
- Legibility:
Must be legible, appearing on a contrasting background. Most generally it
can be shown in a border style box.
- The
words "GOVERNMENT WARNING" must appear in capital letters
and in BOLD font.
- The
statement content must NOT appear in bold font.
- It
is acceptable for the full statement to be in all capital letters font.
- The
statement must appear as a continuous paragraph.
- May
not be condensed too tightly; above all it should never exceed the
maximum number of characters per inch.
Optional information that might be added-
- Country
of Origin
- Lite/Light/Low
Cal.-Here is where the FDA gets involved. The label must include a
statement of Average Analysis which is for such things as fats, calories
and serving size.
*Disclosure of any of the following ingredients is not
optional, they must be shown FD&C Yellow #5, sulfites, Aspartame, and
Saccharin.
As mentioned earlier, the EU has mandated that nutritional
information be included on the label. Launched by the Beer Institute in 2016,
the Voluntary Disclosure Initiative asks brewers to
voluntarily include a serving facts statement and freshness dating on their
products as well as disclose ingredients on either the label or secondary
packaging via a list of ingredients, a reference to a website with the
information, or through a QR code. I am a big fan of QR codes to present
detailed branding and creative information about the brewery, events and
initiatives, all QR codes are accessible via a cell phone.
Some things fall into the category of "nice to
know". Craft beer labels are in that category but still doesn't rise to
the level of say-nuclear waste disposal. For homebrewers and consumers labels
have become complex and will probably continue in that direction. Maybe someday
it will be critical to know the "fiber" content in a casually consumed
beer, but it doesn't seem to impact the average consumer today. The more people
know about the rigors of getting a malt beverage to market, it just adds to the
experience.