Private Label Wine – How It Works

Written by The Kitchen Hand on . Posted in drink


If you are working or in charge of a bar or restaurant and intend to rise above the competition, then selling exclusive private label wine is one of the simplest and coolest ways to up your profit margin. I speak this from experience in creating a private wine label for my store that has produced better results than I had expected from this endeavor.

Private labels help you to improve your beverage sales, whether you’re a store-owner or run a restaurant. The best part of selling your own private label wine is that you become the sole proprietor of this beverage and your profit margin is increased as you don’t have to pay for marketing campaigns and intermediary salespeople. 

What Are Private Labels?

Before you get started it is important to understand the meaning of private label. Any product with private label is manufactured through a third-party manufacturer or through contract and is sold under the brand name of a retailer.

If you are the retailer for whom the private label wine (in this case) is being manufactured, you need to specify all the details related to the wine including the contents, the packaging process and the label design.

You will also have to make payment for the production and delivery charges. The entire idea of selling a private label wine is to become the one and only retailer from whom the wine can be bought so that you get complete control over the profit and the brand image of your wine. 

How the Process of Private Label Wine Works?

The first thing you need to know about the nuts and bolts of creating your own private label wine is that several private wine contractors are available in the market who offer tiered programs to you with the process of production.

The costs of such programs are often balanced with the amount of oversight and influence you can have during the process. I faced a similar situation when looking for the right contractor to help with my private label. But I also noticed that somehow the contractors have similar programs which allow you good amount of influence on the entire process. 

Here’s how you should proceed with the tiered program:

Selecting the Juice-

 The process begins by the selection of grape varietal that you want for the wine- white, red or a blend- this is the foremost question for which you must be prepared. Next, you can move on the grape varietal for which you should have a good source.

There is also a good chance that you will be given the option of choosing the aging process type. It is up to you what barrel type you want your wine to age in or what should the aging length be. 

Label Designing-

You can have loads of fun in this step. However, this step will also be crucial in deciding how much control the program will have on your label design.

While some tiered programs give you the option of generic labels including stock image and space for your name, vintage, logo and a review of your restaurant/wine, there are still others that offer more flexibility when it comes to designing the label.

One of the main problems that I faced with label customization was dealing with the feds. Remember, that your wine label must be government approved and you can get help from the contractor in this matter as they can help you get the “approval” stamp without much complication. 

The Bottling Part-

This is the final step of the program and your final chance to make decisions on matters like whether you want the wine to age further or are you ready to bottle it up. You must also have made preparations for stocking your wine.

Do you intend to store the full order in your bar/restaurant or do you plan to stock it up in a warehouse? If you have opted for the latter part, do you have the money to pay the fee for warehouse storage? Such questions need to be answered before you get to the final step of bottling. Don’t worry, you will find the answers as you approach the final step. 

Questions Regarding Your Private Label Wine:

There are still a few questions that you should have answers to when you’re gearing up for your private label wine. Questions like what varietals are popular in the restaurant/bar/store? Or what should the minimum amount of the order be? Or even what are the state laws to be followed in relation to the sale and/or distribution of private label wines? When you are ready with the answers, you will be able to get the most out of this endeavor. 

I have been tasted success through my own private label wine and hope that you too will get the same results provided you understand and follow the article before you get started. 

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The Kitchen Hand

The Kitchen Hand

Your Personal In-House ‘HOW TO’ Gastro Master. From Slicing up A Pig for Christmas or Selecting Your Organic Ingredients for that Super Vegan Juice, The kitchen Hand Knows More Than You Might Think .

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