Why is Trader Joe’s Wine Cheaper Than Bottled Water?.
Shoppers have tried to guess whether their store brand mac and cheese is actually made by a major food label going incognito.
But the biggest mystery of Trader Joe’s may be in their liquor section, where their store-endorsed line of Charles Shaw wine sells for as little as $1.99 a bottle in some markets.
The Charles Shaw label came to represent quality among wine aficionados, and his business grew to include 115 acres by the late 1980s.
With his business bankrupt, Shaw submitted to an auction of the winery’s assets.
The trade name was purchased by Fred Fanzia, owner of the Bronco Wine Company.
Bronco sells more than 80 different wine labels at varying price points.
His line of Charles Shaw wines debuted in Trader Joe’s stores in 2002 and sold for $1.99 a bottle in many markets, which quickly earned it the nickname “Two Buck Chuck.” Wine connoisseurs debated the practicality of offering quality wine at such a low price; college students filled up grocery carts with them.
Most importantly, the grapes are machine-harvested, which keeps costs down but might result in a more sugar-laden wine.
Bronco also keeps shipping costs low by using lightweight bottles.