I have been using Literals to dump the return values from database queries etc. as I dont need the overhead of formatting them. But today I found a reason to use Labels instead for these things.
In my repeater I had a Name literal to contain Surname + Forenames from the database. Now I often set my own name to contain German characters as to test things. My repeater was spitting out nonsense, Damn i thought need to do evil Encoding stuff.

Nope, thanks to Mark Sheppard who suggested using a label, it just worked as if by magic.

So labels chaps.