Australian retailers are increasing their volume and variety of private label wines, beer and spirits. They are buying the wine in bulk and labelling the wine with their own brands. This is a clear and growing trend and has been the subject of many articles and reports across all forms of media, many of which are scathing and emotional, but not often backed up with many (if any) facts or reference points.
In fact this is an established global trend and Australia is simply following an already well-trodden path. The UK and US for example have a large proportion of groceries and liquor sold as private labels.
Is this trend towards private labels in Australian wine a problem or just another marketing channel? Why should wine be treated any differently to groceries? What are the facts behind the headlines? Should we as consumers and the wine industry be concerned or excited about these developments?
Dr Nicola Chandler has taken a look at the rise of private labels globally and the foray into wine, setting the backdrop to then focus in on the Australian situation. You will be surprised at the facts. This series of articles is guaranteed to get you thinking. Please read the five articles and provide feedback. Wine2030 is keen to receive your comments.
Article 2: Private labels – what are they?