What is Co-Packing and Why Business Need It?

Updated November 8, 2024

Co-packing, also known as contract packing or co-manufacturing, is a process where a third-party company handles the packaging and labeling of a product for another business. This can include anything from packaging a product into a box or container, to applying labels or even filling a product into a pre-packaged container.

Co-packing is becoming increasingly popular among businesses of all sizes, as it allows them to focus on their core competencies while outsourcing the packaging and labeling process to a company that specializes in it. This can save businesses time and money, as well as help them to improve the quality of their products and increase their competitiveness in the market.

Benefits of Co-Packing

  1. One of the main benefits of co-packing is that it allows businesses to save time and money on packaging and labeling. By outsourcing this process to a third-party company, businesses can free up their own resources to focus on other areas of their business, such as product development or marketing. This can also help businesses to reduce their overhead costs, as they do not need to invest in expensive packaging equipment or hire additional staff to handle the packaging and labeling process.
  2. Co-packing can also help businesses to improve the quality of their products. Third-party co-packing companies often have access to state-of-the-art packaging equipment and technology, as well as skilled and experienced staff who are trained to handle a wide range of packaging and labeling tasks. This can help businesses to ensure that their products are packaged and labeled to the highest standards, which can help to improve their reputation and increase customer satisfaction.
  3. Another benefit of co-packing is that it can help businesses to increase their competitiveness in the market. By outsourcing the packaging and labeling process to a third-party company, businesses can take advantage of the latest packaging trends and technologies, which can help to make their products stand out from the competition. This can also help businesses to stay ahead of the curve when it comes to packaging and labeling regulations, which can be a major concern for many businesses.
  4. By working with a co-packing company, businesses can take advantage of their expertise and experience to develop new products or packaging options. This can help businesses to increase their revenue and grow their customer base, as they can offer a wider range of products to their customers.

co packer packing a product in a white box

When to use a Co Packer?

A contract packer, also known as a co-packer, is a company that specializes in packaging and labeling products for other companies. This can include packaging food, beverages, cosmetics, and other consumer goods. So, when is it appropriate to use a contract packer? Here are a few scenarios where outsourcing packaging and labeling to a contract packer can be a wise decision:

  1. When your business is growing: As your business grows, so does the demand for your products. If you're unable to keep up with the packaging and labeling demands, it may be time to outsource to a contract packer. This will free up time and resources for your business to focus on other areas of growth.
  2. When you're launching a new product: Launching a new product can be a daunting task, especially when it comes to packaging and labeling. A contract packer can help you design and implement a packaging and labeling strategy that will help your product stand out on the shelves.
  3. When you need specialized packaging or labeling: Some products require specialized packaging or labeling to meet specific regulations or industry standards. A contract packer can help ensure that your products are packaged and labeled correctly to meet these requirements.
  4. When you're looking to reduce costs: Outsourcing packaging and labeling to a contract packer can be more cost-effective than hiring a full-time packaging and labeling staff. Contract packers have the equipment and expertise to complete the job quickly and efficiently, which can save you money in the long run.
  5. When you're looking to improve efficiency: A contract packer can help you streamline your packaging and labeling process, making it more efficient and reducing the risk of errors. This can help you get your products to market faster and with fewer delays.

How to choose a Co Packer company?

When it comes to choosing a contract packer, there are a number of factors that you need to consider. Choosing the right contract packer can make a big difference in the success of your business, so it's important to take the time to find the right one.

1. Experience

You want to make sure that the company you choose has experience in packaging the type of product you are selling. For example, if you are selling food products, you will want to choose a contract packer that has experience packaging food products. This will ensure that your product is packaged correctly and meets all food safety regulations.

2. Equipment

You will want to make sure that the company you choose has the right equipment to package your product. For example, if you are selling a liquid product, you will want to choose a contract packer that has experience with filling and capping liquid products. Similarly, if you are selling a powder product, you will want to choose a contract packer that has experience with filling and capping powder products.

3. Location

You will want to choose a contract packer that is located close to your business. This will make it easier for you to communicate with the contract packer and for them to deliver your product to you. Additionally, it will reduce the cost of shipping your product to the contract packer and then back to you.

4. Reputation

You will want to choose a contract packer that has a good reputation in the industry. You can research this by asking other business owners in your industry or by reading online reviews.

5. Cost

You will want to choose a contract packer that offers competitive prices. You will also want to make sure that the contract packer is willing to work with you to create a pricing structure that meets your budget.


In conclusion, co-packing is a process where a third-party company handles the packaging and labeling of a product for another business. This can be beneficial for businesses of all sizes, as it allows them to save time and money on packaging and labeling, improve the quality of their products, increase their competitiveness in the market and expand their product lines. If you're a business owner and you're looking to improve your products and expand your reach, co-packing might be the answer you're looking for. Contact us today and take your business to the next level.