4 benefits of working with a co-packing company
When it is time to move packaging out of house: what co-packing is, and four benefits that are hard to ignore as you move towards a bigger operation.
- First published
- February 8, 2022
- Topic
- Co-packing
Your product is red hot, your company is expanding; now you’re faced with big decisions on how you want to grow your business. The thought of producing goods at scale can be intimidating, but this may be the next logical step.
When starting, it may be convenient to handle the packaging in-house. But as you move towards a bigger operation, the benefits of hiring a co-packing company are hard to ignore.
Co-packing, defined
General notes
What is co-packing?
Co-packing, also known as contract packaging, is assembling a product into its final packaging. A co-packing company can also manufacture and label products before they are shipped to warehouses or stores. The process, materials, and packaging can be simple or complex and vary significantly across industries.
Which products and industries use co-packing?
- Beverage and food products, pharmaceuticals, cosmetics, household items, cleaning supplies, and pet products are just a few of the products and industries that use co-packing services.
- Co-packers for food and beverage companies can process the entire product onsite and package and label it, so it’s ready for shipment.
A full-service design-to-distribution contract packaging company will offer flexible solutions, quick turnaround, and support to every project. Let’s look at more benefits of using a co-packing service.
Benefit 1
Reduce your costs
You’ll see there are many benefits to partnering with a co-packing business. One of the significant benefits is reducing your company’s costs.
- No investment for production facilities, materials or equipment. Reduce the need for extra staff and costs on training.
- Reduction in waste through a highly streamlined process.
- Able to meet the increase in demand for seasonal items and reduce lead times.
A co-packing service will discuss money-saving solutions for packaging and materials. For instance, an experienced co-packing company could make small reductions to the size of the primary packaging.
Additional cost-saving possibilities
- Change the shipping case size and lower overall costs by reducing the number of shipments.
- Review the packaging used and look for cost-saving measures, such as changing from Kraft to test paper.
These three levers (smaller primary packaging, Kraft to test paper, a different shipping case size) are ones we look for in every quote. How we work lists them with the rest, and what we need to quote you lists the numbers that let us find them.
Benefit 2
You can scale up, efficiently
A benefit of joining with a co-packer is the high level of expertise and technology they bring to your company.
- Co-packers bring with them an extremely skilled staff, allowing you time and resources to support and build growth in other areas of the company.
- There will be less need to buy expensive equipment. A co-packing service will have modern, automated equipment to fulfill high demands.
At MGA the equipment has names: Kodiak vertical cartoners, Adco semi-automatic horizontal cartoner, PMI Kyoto semi-automatic vertical cartoner, Fuji overwrappers and Shanklin shrink wrappers. Their lines are listed below, and every machine is in the capability reference.
Benefit 3
Modern technology
Advanced systems make it possible for co-packing to be as safe and streamlined as possible.
- Maintain and enforce quality control.
- Use real-time data and systems to troubleshoot and avoid possible delays.
- Address last-minute changes.
- Improve line performance.
Our inventory, order and EDI systems are described on systems.
Benefit 4
Customized and efficient packaging
Customized packaging options will help your product stand out. Efficient packaging will save you money. A co-packing service will help you navigate all the different packaging options, designs, materials, and features, recommending the best so your product can shine.
- You spend less time managing packaging and more time creating new products.
- Suitable packaging will keep your product safe during shipping.
- Reduce space for more efficient packaging and lower transportation costs.
For what to decide before design starts, see our custom package design tips.
The co-packing lines
| Zone | Process | Equipment |
|---|---|---|
| Production area | CartoningItems enclosed in corrugated, chipboard and folding cartons for retail, sampling and mail. | Kodiak vertical cartoners · Adco semi-automatic horizontal cartoner · PMI Kyoto semi-automatic vertical cartoner |
| Production area | OverwrappingCartons, trays and bundles sealed in clear film: diamond-fold, tuck-and-fold and bundle wraps, easy-open or extra-security films. | Fuji overwrappers |
| Production area | Shrink wrappingTransparent shrink film for multipacks and single items, small to large orders. | Shanklin shrink wrappers |
| LabelingProduct, case and pallet labels applied for scan and read: type, volume, weight, measurements. | Label Airs |
Working with MGA Innovation
No one knows your product and customers like you do. At MGA Innovation, we will integrate with your business operations and offer 60 years of industry expertise and resources. MGA can help your business reach new heights through our full-service design-to-distribution contract packaging services. We offer a variety of packaging options that are highly customizable to suit your company’s needs and budget.
Contact us today, and let’s move your business to the next level.
What our clients say
MGA provides excellent customer service, competitive pricing and flexibility to meet our customers' demand.
PPI Beauty
We've been working with the team at MGA for the last 28 years… and from my POV, no one works with a company that long unless it's ultimately a 'partnership' relationship vs a 'vendor' relationship. MGA has earned a partnership relationship with Brandshare, as they consistently deliver unique solutions to our creative ideas, helping to bring these ideas to life for our key clients… and they are not a 9:01am to 4:59pm partner… they make it happen based on our clients' timeline, not theirs.
Co-Founder and Director of Strategic Development, Brandshare
Ready to move packaging out of house?
Tell us the pack, the volumes and the date it has to be on shelf. Attach a spec or a photo of the current pack.