E. & J. Gallo Winery brings merlot to the masses. The
company is the world's largest family-owned winemaker, thanks in
part to value-jug and -box labels Carlo Rossi and Peter Vella. The
vintner owns nine wineries and some 16,000 acres of California
vineyards; it also contracts with other growers statewide to meet
its supply needs. It is the leading US exporter of California wine,
selling some 60 brands, including table and sparkling wines, and
imports 14 of its name brands from countries dotting the globe.
Gallo Family Vineyards Sonoma Reserve and the Italian wine Ecco
Domani are among its premium wines and imports. E. & J. Gallo
Winery was established in 1933 and is still owned and run by the
For a stiffer drink, Gallo offers several distilled spirits,
including gin and tequila. The two brands of distilled spirits
include New Amsterdam Gin and Familia Camarena Tequila. The vintner
also imports and sells wine from Argentina, Australia, France,
Germany, Italy, Spain, South Africa, and New Zealand.
In addition, the vintner makes its own labels and bottles
through subsidiary Gallo Glass Company.
Headquartered in Modesto, California, Gallo Winery owns nine
wineries in California and Washington and more than 16,000 acres of
vineyards across the Golden State. Gallo products are sold in more
than 90 countries.
Sales and Marketing
Gallo's supplier development team works with 3,000-plus
suppliers to support and grow its business.
While privately-owned E. & J. Gallo Winery doesn't report
its financial results, the vintner rings up an estimated $3.6
billion in sales.
The company aims to fuel growth through an expansion of its
international presence. In 2014 the company earned the exclusive
rights to distribute Italy's Allegrini wines in the US. Nestled in
the Valpolicella region, Allegrini Estates produces several
noteworthy wines. In 2012 it inked a distribution deal to
distribute Italy's Brancaia wines in the US. As part of the
distribution deal, E. & J. Gallo sells Brancaia's portfolio of
wines, which include Brancaia Chianti Classico, Brancaia Tre
(Sangiovese, Merlot, and Cabernet Sauvignon), Brancaia Ilatraia
(Cabernet Sauvignon, Sangiovese and Petite Verdot), Brancaia Il Blu
(Sangiovese, Merlot, and Cabernet Sauvignon).
Gallo's dominance in the US market has grown from a focus on
popularly priced wines. Pursuing a broader domestic base, it has
extended its range of prices and products, from alcohol-added wines
and wine coolers to mid-priced and imported varietals that fetch
more than $50 a bottle. A number of premium wines, including
Whitehaven and Frei Brothers, debuted with the Gallo name omitted
to keep the company's reputation for ubiquity from tarnishing the
Amid a competitive lower-end market, the company is targeting
consumer niches through sponsoring pro volleyball tournaments and
other events. Concurrently, it has buffed the image of certain
California wines with genteel names (Gallo Family Vineyards) and
removed the Ernest & Julio tag from packaging and advertising
for those labels. The changes reflect Gallo's strong research and
development capacity both in wine processing and positioning. A
Research Winery facility produces between 400- to 700-pilot wines a
year based on reams of data gathered at wine tastings as well as
from retailers, distributors, and social media listening
Mergers and Acquisitions
Adding to its acreage in east of Napa Valley, Gallo acquired
Ledgewood Creek Winery and Vineyard in Solano County is April 2014.
The 400-acre ranch consists of about 230 acres of vineyard, which
produces a variety of wine grapes.