What's in a name

I was struck by the labelling distinctions between the two wines Peter Mondavi brought for us to taste – mostly in relation to his family’s name. The white was a chardonnay out of their “Napa Valley” collection, and the red out of their “Reserve” collection (presumably more expensive). The distinction that initially confused me was that the red had a line under Charles Krug that read “Peter Mondavi Family”, while the white had zero reference to the Mondavi family whatsoever, even though there was much more text on the bottle (mostly referencing Charles Krug the person). 

My guess is the Mondavi name could be a signal for quality in either direction. On a lower priced chardonnay it could conjure up images of Woodbridge or Sutter Home <$10 magnums and hurt the brand image; or on a higher priced red the name could signal the craftsmanship and of a winemaker whose storied family been making wines in the region for many generations, boosting brand value through an image of heritage. 

The Mondavi name clearly has a complex legacy, and hearing Pete’s story made me think about the risks of acquisition in this space. As smaller wineries continue to be bought up by the likes of Gallo and Constellation, I think it will be important for them to provide operational and sales support and create expense-side synergies, but they will need to be careful not to tarnish the brands of their new purchases by association.