I create personalized labels on Avery.com. They're personalized with a picture or image within a somewhat standard layout. They're printed on regular inkjet paper with a simple HP Inkjet printer. The labels are sprayed with a fixative. When dry the labels are cut out, have glue stick glue applied and then are stuck to the bottles.
Wine bottles gifted around the holidays and say for a birthday will be decoratively packaged, by my wife, with nuts, cheese and other such stuff.