Nathan Dube

By: Nathan Dube on January 4th, 2022

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When Is It Time To Buy Contract Packaging?

Supply Chain Services/ Contract Packaging

Tick-tock goes the clock. But when does the clock chime for the outsourcing of thy packaging line?


OK. That is enough of my trying to sound somewhat poetic! And while my attempt at being Shakespearean may have failed, it still begs the question, when is it time to buy contract packaging?


Honestly, the answer to that question is not always straightforward. Depending on where you are at in the timeline of your current packaging process, it may be the right or wrong time to enter into a contract packaging agreement.


So, when is it time to buy contract packaging?


Well, that all depends on numerous elements relating to your business, products, customers, packaging line, equipment, materials, and various other items of consideration.


However, we are going to help you work through these items and answer the question above so that you can make an educated decision on whether now is the time to outsource your packaging line or not.


After reading this article, you will have everything you need to figure out if buying a contract packaging plan is the right decision for your business.


Is It Time To Buy Contract Packaging?


My guess is you would probably like a "yes" or "no" answer to this question, correct? Well, I hate to burst your bubble, but it's not that simple.


With that being said, we will walk through the major considerations that you need to contemplate before making a decision regarding the question above.


After answering the questions below, you will know if now is the time for your business to outsource your packaging to a contract packaging company or not.


So, without further ado, let's review these questions so that we can help you make the correct decision.


Are You Ready To Relinquish Control Of Your Packaging Line?


1. Are You Ready To Relinquish Control Of Your Packaging Line?


This is a big one, and there is a reason it is the number one item on this list. If you struggle with the idea of handing your power over your packaging line to a co-packer, your going to have a bad time with contract packaging.


You may very well be at the perfect point in time to switch from in-house packaging to contract packaging.


You may have even crunched the numbers and found that you could save a ton of money by outsourcing your packaging line.


You might already understand that a contract packaging plan will take all this packaging and logistics stuff off your plate so that you can focus on your company's core capabilities.


And you may even be tempted to pull the trigger on signing a contract packaging contract. However, this may be a bad idea despite all of the above.




If you are not ready to relinquish control of your packaging line, you are not ready for a contract packaging partnership.


When you hand off your packaging to a co-packer, you no longer get to choose how things are done. Or the equipment that will be used to package your products. Or the formulation of materials. Or many other things of which you will no longer have control.


If the idea of losing total control of these elements bothers you, it is not time to outsource your packaging line.


Do You Want Packaging Taken Off your Plate?


2. Do You Want Packaging Taken Off your Plate?


Are you tired of managing a packaging line? Does the thought of unexpected downtime and repairs make your skin crawl?



Do you wish you never had to place a materials order again? Would you be happy if you didn't have to manage returns anymore? Does the idea of focusing on projects other than product packaging put a smile on your face?


If so, it may be time for you to adopt a contract packaging plan. Contract packaging takes all of the responsibilities above and more off your plate.


This means you can refocus your time and energy on more important aspects of your business. If that sounds like something that would make you happy, consider inquiring about a contract packaging plan today.


Interested in contract packaging?

Outsource My Packaging




3. Have You Just Bought Brand New Packaging Machinery Or Upgraded To All New Equipment?


If you answered yes to either of the questions above, it will most likely not make any sense for you to switch to contract packaging at this point in time.


The equipment for the average in-house packaging line costs between $150,000 - $300,000. And that is just for the equipment! Never mind the utilities, labor force, and other related elements of an in-house packaging operation.


So, if you have just bought all new machinery or upgraded to new equipment, it probably will not make sense from a financial perspective to switch over to a contract packaging plan at this stage in the game.


Are You Located Within Six Hours Of A Contract Packaging Company?


4. Are You Located Within Six Hours Of A Contract Packaging Company?


If you answered no, then chances are, contract packaging is not a good choice for your business right now. Generally speaking, you do not want to be more than six hours away from your co-packer as a rule of thumb.


Because if you are, the cost of shipping, logistics, and the other dynamics of contract packaging will likely not be justifiable from a financial perspective. And, you could lose money by entering into a contract packaging deal at this point.


Do You Want To Save Time And Money?


5. Do You Want To Save Time And Money?


If I had to guess, I would assume you answered yes. And if your answers to the questions above show that it is, in fact, time for you to buy a contract packaging plan, then it is probably time to do so.


Co-packers are specialized packaging professionals who track and optimize high-performance KPIs related to their superior packaging capabilities.


While you can always do packaging in-house, the chances of you doing it better than a contract packaging company are slim to none.


If you want a leaner, meaner, more productive, and higher quality packaging operation, outsourcing to a contract packaging company is the way to go.


But, streamlined packaging, smooth as butter logistics, high speed, quality, and efficiency are only some of the benefits of contract packaging.


Dear Future, Im Ready... written on desert road


Ready To Outsource Your Packaging With A Contract Packaging Company?


If, after reading this article, the answer to the question above is no, then we have done our job in helping you to identify that answer.


If, on the other hand, you answered yes, then your next question is probably, how much does contract packaging cost?


If that is the case, you will want to read this follow-up article, Contract Packaging Cost: How Much Will Outsourcing Cost?


This article will give you everything you need to understand the cost of hiring a co-packer and if contract packaging makes sense for your budget and your business.


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About Nathan Dube

As the Digital Marketing Specialist at Industrial Packaging, I am honored to create content for such a phenomenal company and work with one of the greatest teams in the Packaging Industry. Whether creating a video, writing blog posts or generating other pieces of content and multimedia, I am always excited to help educate and inspire our prospects and clients to reach their highest potential in regards to their packaging processes and needs.