Connected closures: Guala Closures powers Malibu with new NFC technology

07 Jun 2019 --- In collaboration with Guala Closures, Malibu has incorporated communication content into its beverage bottle caps using the closure company’s innovative cap Near-Field Communication (NFC) technology. The connected closures offer a novel consumer experience, by giving users access to value-added extras such as drinks recipes and sweepstake competitions. In a first for the US, the rollout of 300,000 bottles with connected closures will support the Malibu Games 2019, a program designed to promote the brand by bringing together 32 influencers from nine countries.

As consumer awareness and interest grow and connected technologies become significantly cheaper – such as NFC and Virtual Reality (VR) – smart packaging is becoming more popular. Cameron Worth, Founder of IoT agency SharpEnd, previously noted that connective packaging technologies – particularly NFC – will experience full-scale deployments in 2019 after a period of restricted brand trials. Danone’s Spanish natural mineral water brand Font Vella, for example, introduced a cap device that tracks water intake and instructs people toward adequate hydration in March.

The use of connected technology in the packaging industry is still somewhat niche, but is finding application in the alcoholic beverage space in particular. “It’s on the increase in the States – according to a Deloitte study, smart packaging generated revenues of US$23.5bn in 2015 and is expected to grow 11 percent annually to reach US$39.7bn by 2020. This shows just how much connected packaging is gaining traction both with senior executives as well as consumers,” Piero Cavigliasso, Group Innovation Technology Director at Guala Closures, tells PackagingInsights.

“Certainly wine and spirit producers globally are embracing smart closures. Guala Closures has partnered with Copper Cane Wines & Provisions on its Böen wine brand, producing Pinot Noirs and Californian Chardonnay so smart closures are definitely gaining traction,” Cavigliasso adds.

“It’s an on-going journey – smart tech for wine and spirits closures isn’t going to stand still and our dedicated smart tech research center in Luxembourg continues to innovate cutting-edge solutions to help brands engage with consumers at the most intimate point of purchase – the bottle in their hands,” says Cavigliasso.

The range of NFC connected closures allows producers and companies to establish one-to-one relationships with consumers, as described by the company. The IoT-enabled smart cap developed for Malibu will unlock exclusive Malibu Games content for consumers with one tap of their mobile phones. Consumers will be able to join The Malibu Games via a mobile game called Sunshine Slide for the chance to win prizes.

“Malibu has transformed its bottles into media touchpoints through the adoption of Guala Closures’ IoT solution, allowing conversation in a space that is notoriously saturated. Our bottles with connected closures help keep the brand relevant post-purchase, providing services and experiences to the consumer beyond the liquid itself. By transforming the one asset Malibu knows its consumers come into contact with, we’re able to connect with our target audiences on a much deeper level, through the experiences we offer,” says Caitriona Murphy, Malibu’s Global Brand Manager.

Cavigliasso shares that the company has a few projects in the pipeline. “We have imminent launches of connected caps with volumes that are going up to the order of magnitude of millions. These first launches are mainly in the area of consumer engagement and loyalty programs management but some other projects related to anticounterfeiting are coming up, with product authentication based on the latest technologies including blockchain.”

The company invests a large amount of its budget back into R&D, both in terms of infrastructure and talent, he adds. “We have five proactive R&D centres (in Mexico, Ukraine, Italy, Glasgow and Luxembourg) which keep us ahead of the curve. Our R&D centre in Luxembourg is dedicated to digital technologies and our R&D talent has spearheaded initiatives like our aluminium connected screwcap, e-WAK. It’s a first of its kind and carries a unique serialised NFC tag embedded into the top of the closure.”

e-WAK is dedicated to wineries and allows them to start a one-to-one relationship with consumers using a simple, engrained behavior – a simple smartphone tap (no app needed). The consumer can connect with the winery to get information about the wine, the soil, the grape used for its production, the best moment to drink it and with what food accompaniment.

Another alcoholic beverage brand engaging with the up-and-coming application is single malt Scotch brand The Balvenie. Also, during BrauBeviale 2018, Ball demonstrated an advanced consumer interaction technique – Enhanced Can – which uses Digimarc watermarking technology to integrate an imperceptible code within the artwork, allowing consumers to scan the can and link through to online content.

Connected packaging technologies can also play a role in an industry which is increasingly concerned with transparency and traceability. According to SIG, many businesses are already using traceability systems to collect data at every stage of the product journey automatically, but this information is now being made available to consumers to meet the demand for product transparency.

SIG, for instance, offers a whole range of traceability and interactive packaging solutions, allowing consumers to access product quality information, play games, watch videos, read recipes, participate in prize draws and receive personalized communication – all through the pack itself, the company notes.

Smart closures also present essential benefits including quality control and recall management, for example by helping to narrow the scope of a recall by identifying and locating specific shipments or empowering consumers to check their own products at home with a simple scan of their smartphone.

As technologies like 5G make for quicker connectivity, a connected ecosystem that already has its building blocks in things like transport, ApplePay, for example, will make the use of smart tech – including packaging – more ubiquitous, concludes Cavigliasso. As the wider ecosystem becomes the norm, connected packaging may be another connected platform that consumers will begin to expect.

By Laxmi Haigh