5 Signs Your Business is Ready To Work With A Co-Packer

By 2024, the value of the contract packaging market is expected to reach $103.13 billion. Over the years, the co-packing industry has enjoyed impressive growth as manufacturers increasingly opt for contract packagers so they can focus on their core business.

As the owner of a growing business, you most likely spend a large portion of your time perfecting your product. That leaves you with little time to brand your business through how you package your products. It’s the reason you may have started to wonder, “Is there a co-packer near me that I can count on to package my products perfectly?”

Depending on where your business is located, chances are there are co-packing companies you can check out and determine which one is ideal for your needs. If you can find a co-packer directory, don’t hesitate to use it to find suggestions.

So what is a co-packer, and how do you know that it’s time to work with one? This comprehensive guide answers these questions. We’ll even throw in a few smart tips on choosing the ideal packer for your business.

Read on to learn more.

What Is a Contract Packer?

A contract packer (co-packer) refers to a company that assembles a specific product into its finished packaging on behalf of a client. Based on the product, the final packaging typically constitutes a wide variety of forms, including plastic bags, thermoformed clamshells, and transport trays.

In some cases, co-packers provide simple services like adding bar code stickers to products.

Other times, the tasks are complex. For instance, the co-packing company may need to plan, design, produce and fulfill the entire package.

Will Partnering With a Co-Packer Benefit My Business?

The answer is a resounding yes. By outsourcing your manufacturing to a contract packer, you have the freedom to scale up and meet your growing demand. The best part of it all is that you don’t have to invest in your own industrial setting.

This partnership can be a sure game changer for your business, especially if you run a small business. Small businesses often have their time and budget spread thin with production. Working with a co-packing company allows you to focus the most important driver for your company – sales.

How Can I Tell That My Company Is Ready For a Co-Packer?

Outsourcing packing services is a major business decision that should be done at the right time. If you notice the following things about your business, then it’s time to start looking for a contract packer.

1. You Run a Food Business and Have a Scalable Recipe

Many food businesses focus on producing a single recipe, such as jam. This makes it easy to produce the product while at home or in a commercial kitchen.

Once you start to mass-produce the product, however, things change. The recipe needs to be highly detailed and with no unexpected factors. A slight difference in the ingredients, process, or equipment could alter the final product, with dire consequences.

Start by considering your recipe. Determine whether it’s precise and large enough to meet the contract packer’s requirements.

To optimize the recipe, provide the co-packer with the precise weight of every ingredient. Provide accurate information on cooking times and temperatures. This way, the product will come out perfectly every single time.

As long as there’s precision, it’s possible to scale the recipe up for mass productions.

2. There’s Increased Demand for Your Product

As demand for your product starts to peak, you may find that you have trouble keeping up. This is the perfect time to talk to a co-packer.

Many contract packers set a minimum volume of units. As long as your demand can reach this minimum, you’re prepared to make the switch.

Don’t forget that demand keeps changing. A holiday rush, for instance, can boost your demand. Understand the factors that influence demand for your product, so you know when it’s time to outsource co-packing services.

3. You Have the Required Capital

Once you’ve made sure that your recipe is set and demand is high enough, it’s time to think about capital. Partnering with a contract packer isn’t a small financial investment. The co-packer will be providing bulk manufacturing services, and you need to make sure you have the capital to sustain that.

In addition to production costs, you’ll need to consider expenses associated with:

• Research and development
• Ingredients
• Packaging
• Storage (although some co-packers provider warehousing services)

You need to first, determine whether you have sufficient capital for these expenses before you can work with a co-packer.

4. Lagging Lead Times

Carefully examine your current schedule of production. Can you spot areas of the production process where there’s lagging? If so, you probably need to start thinking about how to find a co-packer.

A reputable co-packer can assist you in filling all your orders in a timely and efficient manner. This helps keep lead times tight and enables you to meet the needs of your customers.

5. You Lack the Appropriate Personnel and Equipment

Mass-producing a product requires considerable investment in the right equipment and personnel. The capital required for this investment can be out of reach for many small businesses. That’s where a reliable contract packager comes in.

Once you partner with a professional, you gain access to specialized packaging solutions and equipment.

How Do I Find a Suitable Co-Packer near Me?

Finding the ideal contract packer requires you to compare a variety of options. Generally, you’ll have to make assessments based on location, capabilities, facilities, and so on.

Opt for a co-packer with sufficient expertise and facilities to meet your needs. The best way is to ask for referrals from people who’ve outsourced packing services in the past. If you’re searching online, read reviews before making a decision.

The Right Co-Packing Partner Can Boost Your Business

Hopefully, you now have the answers to any questions you may have had about co-packaging.

Once you’re sure that it’s time to outsource packing services, don’t hesitate to make a move. The right contract packer can help you boost productivity and take your company to the next level.

Are you looking for packaging solutions to suit your needs? Contact us today.