diff --git a/bin/disk-image-create b/bin/disk-image-create
index 85b119f3b..7ea65c4dc 100755
--- a/bin/disk-image-create
+++ b/bin/disk-image-create
@@ -62,6 +62,7 @@ function show_options () {
     echo "    --offline -- do not update cached resources"
     echo "    --qemu-img-options -- option flags to be passed directly to qemu-img."
     echo "       Options need to be comma separated, and follow the key=value pattern."
+    echo "    --root-label label -- label for the root filesystem.  Defaults to 'cloudimg-rootfs'."
     if [ "$IS_RAMDISK" == "0" ]; then
         echo "    -n skip the default inclusion of the 'base' element"
         echo "    -p package[,package,package] -- list of packages to install in the image"
@@ -85,7 +86,8 @@ function show_options () {
 
 INSTALL_PACKAGES=""
 COMPRESS_IMAGE="true"
-TEMP=`getopt -o a:ho:t:xucnp: -l no-tmpfs,offline,help,min-tmpfs:,image-size:,image-cache:,max-online-resize:,qemu-img-options: -n $SCRIPTNAME -- "$@"`
+DIB_ROOT_LABEL=""
+TEMP=`getopt -o a:ho:t:xucnp: -l no-tmpfs,offline,help,min-tmpfs:,image-size:,image-cache:,max-online-resize:,qemu-img-options:,root-label: -n $SCRIPTNAME -- "$@"`
 if [ $? -ne 0 ] ; then echo "Terminating..." >&2 ; exit 1 ; fi
 
 # Note the quotes around `$TEMP': they are essential!
@@ -109,6 +111,7 @@ while true ; do
         --no-tmpfs) shift; export DIB_NO_TMPFS=1;;
         --offline) shift; export DIB_OFFLINE=1;;
         --qemu-img-options) QEMU_IMG_OPTIONS=$2; shift 2;;
+        --root-label) export DIB_ROOT_LABEL=$2; shift 2;;
         --) shift ; break ;;
         *) echo "Internal error!" ; exit 1 ;;
     esac
@@ -135,9 +138,21 @@ fi
 arg_to_elements "$@"
 
 export IMAGE_NAME=${IMAGE_NAME%%\.${IMAGE_TYPE}}
+# FS_TYPE isn't available until after we source img-defaults
+if [ -z "$DIB_ROOT_LABEL" ]; then
+    # NOTE(bnemec): XFS has a limit of 12 characters for filesystem labels
+    # Not changing the default for other filesystems to maintain backwards compatibility
+    if [ "$FS_TYPE" = "xfs" ]; then
+        DIB_ROOT_LABEL="img-rootfs"
+    else
+        DIB_ROOT_LABEL="cloudimg-rootfs"
+    fi
+fi
 
 mk_build_dir
 create_base
+# This variable needs to be propagated into the chroot
+echo "export DIB_ROOT_LABEL=\"${DIB_ROOT_LABEL}\"" > $TMP_HOOKS_PATH/environment.d/10-dib-root-label.bash
 run_d extra-data
 # Run pre-install scripts. These do things that prepare the chroot for package installs
 run_d_in_target pre-install
@@ -184,7 +199,7 @@ LOOPDEV=$(sudo losetup --show -f $TMP_IMAGE_PATH)
 export EXTRA_UNMOUNT="detach_loopback $LOOPDEV"
 export IMAGE_BLOCK_DEVICE=$LOOPDEV
 eval_run_d block-device "IMAGE_BLOCK_DEVICE="
-sudo mkfs $MKFS_OPTS -t $FS_TYPE -L cloudimg-rootfs ${IMAGE_BLOCK_DEVICE}
+sudo mkfs $MKFS_OPTS -t $FS_TYPE -L ${DIB_ROOT_LABEL} ${IMAGE_BLOCK_DEVICE}
 mkdir $TMP_BUILD_DIR/mnt
 sudo mount ${IMAGE_BLOCK_DEVICE} $TMP_BUILD_DIR/mnt
 sudo mv -t $TMP_BUILD_DIR/mnt ${TMP_BUILD_DIR}/built/*
diff --git a/elements/debian/root.d/08-debootstrap b/elements/debian/root.d/08-debootstrap
index fc1a49116..723002b75 100755
--- a/elements/debian/root.d/08-debootstrap
+++ b/elements/debian/root.d/08-debootstrap
@@ -80,9 +80,9 @@ EOF
     sudo install -d -m 0755 -o root -g root ${TARGET_ROOT}/etc/sudoers.d
     sudo sh -c "echo 'debian ALL=(ALL) NOPASSWD:ALL' > ${TARGET_ROOT}/etc/sudoers.d/debian-cloud-init"
     sudo chmod 0440 ${TARGET_ROOT}/etc/sudoers.d/debian-cloud-init
-    sudo sh -c "echo 'proc /proc proc nodev,noexec,nosuid 0 0
-LABEL=cloudimg-rootfs / ext4 errors=remount-ro 0 1
-' > ${TARGET_ROOT}/etc/fstab"
+    sudo sh -c "echo \"proc /proc proc nodev,noexec,nosuid 0 0
+LABEL=${DIB_ROOT_LABEL} / ext4 errors=remount-ro 0 1
+\" > ${TARGET_ROOT}/etc/fstab"
     sudo sh -c "echo 'blacklist pcspkr' > ${TARGET_ROOT}/etc/modprobe.d/blacklist.conf"
     sudo sh -c "echo 'debian' > ${TARGET_ROOT}/etc/hostname"
 
diff --git a/elements/rpm-distro/post-install.d/05-fstab-rootfs-label b/elements/rpm-distro/post-install.d/05-fstab-rootfs-label
index 959af3fec..8ab4e03e8 100755
--- a/elements/rpm-distro/post-install.d/05-fstab-rootfs-label
+++ b/elements/rpm-distro/post-install.d/05-fstab-rootfs-label
@@ -6,4 +6,4 @@ set -o pipefail
 # Fedora 18 sets up for root to have a label of "_/"
 # Fedora 19 sets up for root to have a UUID
 # This regex will catch both
-sed -i "s%.*\s\/\s%LABEL=cloudimg-rootfs / %" /etc/fstab
+sed -i "s%.*\s\/\s%LABEL=${DIB_ROOT_LABEL} / %" /etc/fstab
diff --git a/elements/vm/cleanup.d/51-bootloader b/elements/vm/cleanup.d/51-bootloader
index beb480fa8..ece373666 100755
--- a/elements/vm/cleanup.d/51-bootloader
+++ b/elements/vm/cleanup.d/51-bootloader
@@ -38,6 +38,6 @@ DEFAULT linux
 
 LABEL linux
     KERNEL /boot/$KERNEL
-    APPEND ro root=LABEL=cloudimg-rootfs console=tty0 console=ttyS0,115200 nofb nomodeset vga=normal
+    APPEND ro root=LABEL=${DIB_ROOT_LABEL} console=tty0 console=ttyS0,115200 nofb nomodeset vga=normal
     INITRD /boot/$RAMDISK
 _EOF_"
diff --git a/elements/vm/finalise.d/51-bootloader b/elements/vm/finalise.d/51-bootloader
index 54b9c765f..31f62cbe0 100755
--- a/elements/vm/finalise.d/51-bootloader
+++ b/elements/vm/finalise.d/51-bootloader
@@ -166,12 +166,12 @@ function install_grub2 {
     # force use of a LABEL:
     # NOTE: Updating the grub config by hand once deployed should work, its just
     # prepping it in a different environment that needs fiddling.
-    sed -i "s%$PART_DEV%LABEL=cloudimg-rootfs%" $GRUB_CFG
-    sed -i "s%search --no-floppy --fs-uuid --set=root .*$%search --no-floppy --set=root --label cloudimg-rootfs%" $GRUB_CFG
-    sed -i "s%root=UUID=[A-Za-z0-9\-]*%root=LABEL=cloudimg-rootfs%" $GRUB_CFG
+    sed -i "s%$PART_DEV%LABEL=${DIB_ROOT_LABEL}%" $GRUB_CFG
+    sed -i "s%search --no-floppy --fs-uuid --set=root .*$%search --no-floppy --set=root --label ${DIB_ROOT_LABEL}%" $GRUB_CFG
+    sed -i "s%root=UUID=[A-Za-z0-9\-]*%root=LABEL=${DIB_ROOT_LABEL}%" $GRUB_CFG
     if [ "$DIST" = 'Fedora' ] ; then
         if [ $(lsb_release -rs) = '19' ]; then
-            sed -i "s%UUID=[A-Za-z0-9\-]*%LABEL=cloudimg-rootfs%" /etc/fstab
+            sed -i "s%UUID=[A-Za-z0-9\-]*%LABEL=${DIB_ROOT_LABEL}%" /etc/fstab
         fi
         # Fix efi specific instructions in grub config file
         if [ -d /sys/firmware/efi ]; then