Vollherbst, a family-run print and labelling company with over a century of labelling expertise, is strengthening its South African presence by expanding its local operations. This commitment illustrates Vollherbst’s promise to deepen collaborations with local wineries and unlock their growth potential. One such sector brimming with opportunity is the premium wine market. To explore these possibilities, Vollherbst joined renowned marketing and branding expert Jeremy Sampson in conversation, whose insights shed light on the strategies and trends shaping this dynamic market.
Left: With over a century of labelling excellence, Vollherbst continues to set the standard under the leadership of Matthias Vollherbst, fourth-generation owner and CEO. Right: Renowned marketing expert and influential industry leader, Jeremy Sampson.
Understanding the value of premiumisation
Vollherbst (VH): A recent report by the African Wine Information and Systems shows a consumer shift towards premium wines, with consumption of wines priced above R200 per 750ml nearly doubling between 2020 and 2023. This presents a significant opportunity for brands to expand their market presence. Can you share your thoughts on wine brands embarking on a premiumisation journey?
Jeremy Sampson (JS): Many in the industry understand farming and viticulture, but fewer grasp the value of branding. Wine isn’t just a commodity—it’s a product that can unlock experiences. When wineries treat wine as a brand, they add value and exclusivity. This mind shift is critical for achieving premiumisation, and for embarking on this journey.
VH: That’s exactly where Vollherbst aims to start the conversation—at the point when wine marketers are ready to engage their brand identity. Brand development and labelling should not be viewed as separate processes; they must go hand in hand. In a market showing great opportunity in the premium market, wineries cannot afford to overlook the importance of treating their brand as a commercial enterprise.
JS: Yes, and also giving the time for this transformation to happen. A great example is Vilafonte, which was recently named Outstanding Wine Producer at the IWSC. This recognition is the result of Mike Ratcliffe spending over two decades building a significant brand, understanding not only the value of premium and luxury wine but also what it represents. This is where the intersection between wine labelling and brand identity becomes crucial: the perception of value, which labelling plays an important role in creating, and the storytelling that accompanies it.
VH: How do you see the relationship between a wine’s label and its overall brand identity, especially for premium wines?
JS: Packaging is a key element of the marketing story, yet its importance is often misunderstood. For instance, a winery’s marketing department might brief a graphic designer, but does that brief fully articulate the brand? What are its values, mission, and target audience? Wine brands aren’t just competing within the wine industry—they’re up against every other product vying for consumers’ attention. It’s a battle for “share of wallet” AND “share of throat,” and that’s even before we discuss premiumisation.
VH: Would you say wine labelling plays a significant role in capturing this “share of wallet”?
JS: Absolutely, however, in South Africa, wine culture isn’t as ingrained as it is for spirits, beer or brandy. Many consumers still gravitate toward international brands like Hennessy because of the status or “bragging rights” those brands confer, there is still a lot of education that needs to take place.
VH: How can the local wine industry start to shift this dynamic?
JS: It starts with investing in wine education, but the approach matters. This is where wine writers and marketers need to reconsider their messaging. It’s fine to spotlight wines costing R1,000 or more per bottle, but where does that leave the consumer just beginning their wine journey? Take someone opening a bottle of wine priced at R100 each night—that’s already R3,000 per month, without factoring in the occasional G&T or a pricier bottle. Marketing strategies must address these practical realities while building broader appeal.
VH: Therefore, premiumisation isn’t just about price, but more about brand perception. Yet, we see from FTI research that wineries face stiff competition in the R100–R150 range, with most wines in South Africa priced below R60. There’s a clear gap for wines priced at R150 and above. Gen Zs, for example, are drinking less but could be enticed – and pay more – for a compelling brand story paired with engaging labelling.
JS: Exactly. Premiumisation hinges on how a brand is perceived, not just its price point. Storytelling is vital, but consistency is equally important. The most successful brands create a cohesive narrative—from label design to overarching marketing strategies. This kind of consistency builds trust and elevates a brand’s presence in a competitive market.
VH: Brand perception will of course be very different, in different markets.
JS: This comes down to a granular focus. Many South African brands are aggressively pursuing exports, but my question to them is always: *’Exports to who?’* Understanding your export market is crucial, and this is where scale becomes a key consideration. To succeed, brand managers need to let go of certain traditional perceptions about how their brand is positioned in South Africa and adapt it to align with the values and preferences of specific international markets. Take Yellowtail, for example—it’s a brand that successfully tailored itself to resonate with global consumers. Similarly, while a premium Cabernet Sauvignon might be a flagship product, you also need to ask: *’What do people consume at scale?’* Research often points to greater demand for Rosé or lighter reds, and this insight doesn’t mean abandoning premium offerings. Instead, it’s about balancing your portfolio, perhaps by diversifying across different labels to cater to varied markets and consumer preferences.
VH: What other key considerations should brand pay attention to on their journey to premiumisation?
JS Wineries need to focus on building a distinctive name and visual identity that resonates with consumers. They should work with professionals to ensure their branding aligns with their long-term vision. Sustainable practices are also becoming increasingly important, especially in export markets. And remember, branding is about more than just visibility—it’s about creating a connection with consumers, evoking a feeling that makes them want to return to the brand. Wineries need to consider the full marketing funnel—from creating awareness to driving consideration, adoption, and loyalty. Branding is a totality. It’s not just about being visible, but about creating a lasting connection. Wine brands should aim to evoke that ‘wow’ moment—like meeting an old friend—when the consumer sees the label.
VH: We invite wineries to partner with Vollherbst in forging these ‘wow’ ‘moments. While our headquarters are based in Germany, we are excited to announce that we are expanding our operations in South Africa, enabling us to collaborate more closely with brands and help tell their unique stories. This expansion allows us to support wineries in distinguishing themselves both locally and internationally.
To begin your premium journey, visit www.vollherbst.com.
Insights courtesy of: Jeremy Sampson, Brand Finance Africa, Chairman, j.sampson@brandfinance.com
