Private labels in the wine industry are a huge—and growing—part of the wine industry. Related questions have been on the Paper 4 exam the past two years in a row, reflecting this trend.
I put an outline together for the advantages/disadvantages question earlier this year! (Still a bit terrified)
Here are a few ideas. With examples bolded. The data is current for 2019.
The growth of private label wines in multiple markets is a result of the advantages that the segment offers to wineries, distributors, and retailers. According to WX Brands, the private label market in the United States has doubled since 2012. In the UK, the market share has climbed to over 45%.
Advantages for the winery
Wineries can either own a private label, or produce a private label for a distributor or retailer. Both options provide advantages.
Advantages for distributor
Advantages for retailer
Disadvantages for winery
Disadvantages for distributor
Disadvantages to retailer
For this essay I concluded that the growth of the category indicates that wineries, distributors, and retailers often view that the advantages outweigh the disadvantages.
Re-reading this shows me that I don't have examples outside of the USA.
Does anyone have any input for outside of the USA?
I'd peruse Jamie Goode's blog. He will occasionally reference or review Wine Society labels (pretty sure this is a UK retailer, but not 100%).
it is important, i believe to mention store own labels and private brands separately. The store labels do not get a halo effect from the producer, but private brands may well. Also, I have to PM you this, but margin on these can be above 100% and there is exclusivity too so it can be very attractive. I agree with Emily that a mix is critical and Total Wines is often criticized for a bait and switch approach . The advertize the known brand and then is is "all gone" but we have...instead.
I think that's something you'd need to clarify in your scope. Technically, there's not a precise definition, so it could be a broad or as focused as you define it Anne Cox.
One thought for out-of-US example is Champagne cooperatives, and of course examples from sparkling and fortified are always important on exams. Castelnau is one Champagne cooperative that does a lot of private labels, in the UK and elsewhere, including Scandinavian countries (sorry, I don't know more than this about the topic as it relates to Scandinavia).
Here is article with the following quote: www.thedrinksbusiness.com/.../
"While the Castelnau brand is only visible in the on-trade, the CRVC co-operative makes wines from grapes grown by its 775 growers, with many sold under their own labels, or as private labels for the likes of Waitrose and Marks and Spencer, which are nevertheless at the higher end of UK supermarket spectrum."
An obvious advantage is that Champagne is a brand in and of itself, but at lower price point that the famous houses, and as Rachel mentioned below, Kirkland example quite drinkable.