1 Mar
Contract Packaging

5 Key Factors To Consider When Choosing The Right Contract Packing Partner For Your Business

As you search for a contract packing partner to assist with the production of your product, it’s crucial to select a strategic partner who is committed to collaborating with you and supporting the growth of your business. This partner should have the expertise, resources, and capabilities necessary to meet your specific requirements and help you achieve your business goals.

In your quest for the right co-packer, there are several key factors to consider. First and foremost, ensure that your potential partner possesses the appropriate facilities and equipment to produce your product efficiently and effectively. They should also have the necessary certifications and credentials to ensure compliance with regulatory requirements and quality standards.

Additionally, it’s important to evaluate the co-packer’s team and their ability to work closely with you to understand your unique needs and requirements. A strong co-packing partner will be responsive and adaptable, able to adjust their operations and processes to accommodate your evolving needs and changing market demands.

Ultimately, selecting the right co-packer is a critical decision that can have a significant impact on the success of your business. By choosing a partner who is dedicated to collaboration, quality, and innovation, you can build a strong and sustainable supply chain that supports your growth and long-term success.

Here are the 5 key factors to consider when choosing the right contract packaging partner for your business

Location Of Your Contract Packing Partner

When it comes to selecting a co-packing company to work with, choosing the right partner can be crucial to the success of your business. One of the most important factors to consider is location. After all, once your product has been packed, it needs to be distributed effectively, and the location of your co-packer can have a significant impact on how efficiently this is achieved.

Depending on the scale of your product and your target market, you may need to consider distribution on a local, regional, national, continental, or even global level. Choosing a co-packer that has the capability to handle distribution at the scale you require from the outset can save you time and money in the long run.

While distributing from a central location in the country can be more cost-effective, having a local presence can also be advantageous, as it allows for easier face-to-face communication and potentially quicker response times.

In short, location can be a make-or-break factor when it comes to choosing the right co-packer. By selecting a partner that is well-suited to your specific needs and can effectively handle the distribution of your product, you can set your business up for success from the outset.

Flexibility

In the contract packaging industry, changes are an inevitable part of the process. Whether it’s a last-minute alteration to project details or a sudden shift in priorities, the ability to respond quickly and effectively can make all the difference in keeping a project on track. That’s why it’s important to choose a partner that is nimble and flexible, with a proven track record of adapting to changing circumstances.

When it comes to last-minute changes, the potential impact on timelines and production schedules cannot be understated. In some cases, even the most organized operation can be derailed by unexpected shifts in direction. That’s why it’s important to work with a packaging partner that has a solid plan in place for managing these kinds of situations. Be sure to ask about their contingency plans and how they would handle unexpected changes, while remaining fully invested in the success of your project.

It’s also important to keep in mind that many packaging companies will up-charge for rushed projects or small pilot runs. While this may be expected, it’s important to focus on the long-term benefits of the partnership rather than the short-term costs. Look for a company that has a “whatever-it-takes” culture and a management style that prioritizes problem-solving and overcoming obstacles.

Effective communication is another critical factor in the success of any contract packaging project. Make sure you understand the organizational structure of your partner plant and who to contact in case of an issue. Find out who you can escalate problems to, and establish a direct line of communication with the quality manager if necessary. And be sure to identify your account ambassador, the person who will be your main point of contact throughout the project, and make it clear that you expect them to be 100% accountable for the success of your project.

In summary, selecting a nimble, flexible, and proactive packaging partner is key to ensuring success in the contract packaging industry. Be sure to prioritize effective communication, identify your key contacts, and focus on the long-term benefits of the partnership to achieve your goals.

Capacity

When considering a contract packing partner for your project, it is crucial to not take certain aspects for granted. While it may appear evident that the contractor would need to maintain the necessary machinery, personnel, and workspace to complete your order, it is essential to confirm this beforehand. You should inquire about the equipment that would be utilized for your project and even request a physical walk-through of the proposed production line to ensure that you understand the critical parameters of the job. This would also enable you to familiarize yourself with the process, and ensure that everyone is on the same page.

Before committing to a particular Contract Packing Partner, you need to be convinced that they have the capability and capacity to handle your program efficiently and on time. Therefore, it is important to ask important questions and not shy away from any potential problems. This includes inquiring about what could go wrong in their process and how they would overcome any obstacles.

It is also important to make sure that your project falls within the provider’s “sweet spot.” This means that the scope of your project should reflect the core competencies of the operation rather than something that is new and unfamiliar. This would ensure that the provider can execute the project with ease and efficiency, resulting in a successful outcome.

In addition to asking important questions, you should also request references from your copacker or look for online reviews on their website. This would provide you with additional feedback on the provider, giving you a better understanding of what to expect from their services. By taking these steps, you can ensure that you select the right packaging company for your project, ultimately leading to a successful and timely completion of your order.

Cost

While cost is an important factor to consider when it comes to packaging, it is not the only factor that contributes to a successful packaging effort. In fact, there are other crucial factors that must also be taken into consideration.

As a rule of thumb for retail items, it’s advisable to budget around 10% of the total cost for packaging. However, it’s important to keep this budget in mind from the very beginning when selecting materials and service vendors.

Contract packaging is a customized business, and each opportunity for a copacker comes with unique customer requirements and needs. Therefore, the best “general contractor” is not necessarily the one with the cheapest labor, but rather the one who can deliver the best results. Building a custom home is a lot like contract packaging. The expertise of sub-contractors, effective communication, quick turn-around times, and overall efficiency are all critical to the success of the project. By executing and building the “perfect house” the first time, businesses can save money and increase profits.

To achieve complete packaging success, it’s essential to consider all of the factors mentioned above and then negotiate the price with the contract packager that you feel is the most resourceful, capable, flexible, and locally available to meet all of your specific needs. By taking these steps, businesses can ensure that they are investing in packaging that not only looks great but also serves its intended purpose effectively.

 

Innovation

When selecting a Contract Packing Partner, it’s important to have confidence that they are not just a competent copacking partner but also a problem solver and innovator. In addition, it’s critical to determine whether the outsource partner is resourceful in other areas, even if you don’t plan to use their services for those areas. This way, you can rest assured that you are working with an experienced partner who is looking beyond just the tolling part of the job.

One key area to consider is whether your contract packager can provide package design support. This can be incredibly valuable, especially if you are introducing a new product to the market or revamping an existing one. Similarly, it’s helpful to know whether your copacker can help you with sourcing or procuring raw materials, or if they have a network of providers they can refer you to.

Another area to consider is whether your partner has expertise in flexible film structures, pallet optimization, Big-Box/retail store requirements, or third-party logistics services. These areas can be critical to the success of your packaging efforts, so it’s important to know whether your partner has the necessary skills and experience.

Conclusion

Ultimately, seeking out a “turnkey” Contract Packing Partner can be a smart move. These companies have experience managing projects and a comprehensive understanding of the supply chain, material selection, and pack-out processes. They can also help ensure that you get the most return at each stage of the packaging process. As the packaging industry becomes more complex with mandated certifications and governance, working with a full turnkey specialist who understands every phase of the process from “cradle to grave” can be especially important. By taking these steps, businesses can work with confidence and know that they are investing in packaging that will meet their needs and exceed their expectations.