Ron i take it back. Another new watchface which had label with capital is now on playstore. And blank label bug has came back to haunt me again 
Looks like thats no the reason. I will investigate further what works and what doesnt . Im still clueless 
So the mystery continues ; I’ll work with you in the developer support system.
Ron
Samsung Developer Relations
3 x months gone and still this issue is there for me 
Well i would like to inform this blank labels issue still haunt me on the new latest Watchfacestudio. 
im on latest watch firmware and also on latest wfs. By the way i really like that the new WFS now allows me to add 30 colors instead of 10 which was on old wfs versions.
I know they don’t work when I run on device but they seem to be working for everyone that uploads to the store. Is there somewhere in Play Console where you add the “name”.
Ron
Samsung Developer Relations
Well today got a watchface published it was made from scratch on latest Samsung Watch face studio.
And yes this blank label issue is still there for me after watchface gets published though no problems at all in test builds lol.
On play console when you publish a watchface you fill in the name for the new app its not required to be same as the package name or label but i believe that shouldnt matter.
By the way i really liked the increase of styles to 10 , The color pallette was also increased from 10 to 30.
lot of good new changes in latest watchface studio release Ron 