---
title: I Want To Outsource My Packaging, But..
description: Contract Packaging is not as expensive as you may think, especially when you look at your TRUE in-house costs. Here is what many forget to add.
image: https://www.industrialpackaging.com/hubfs/blogging_images/contract_packaging_blog2.jpg
---

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<https://www.industrialpackaging.com/blog/author/david-roberge> ![David Roberge](https://www.industrialpackaging.com/hubfs/Davids%20Headshot%202025%20IP%20-%20Dark%20Blue.jpg "David Roberge")

 By: [David Roberge](https://www.industrialpackaging.com/blog/author/david-roberge) on March 18th, 2015

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# I Want To Outsource My Packaging, But..

[Supply Chain Services/ Contract Packaging](https://www.industrialpackaging.com/blog/topic/supply-chain-services-contract-packaging)

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## It's More Expensive Than I Can Do It For In-House

![Contract Packaging Costs](https://www.industrialpackaging.com/hs-fs/hubfs/blogging_images/contract_packaging_blog2.jpg?width=450&name=contract_packaging_blog2.jpg "Contract Packaging Costs")

Every once in a while we hear this. The question is, is it really? 

How did you arrive at your internal cost? 

**Did you include:**

- [Supervision](https://www.industrialpackaging.com/Food-Safety-and-Contract-Packaging)
- Heat, Light, & Power
- Real Estate Taxes
- Insurance
- Depreciation
- Support Personnel
- Fork Lift Drivers
- Did you require this department to make a profit (Your contract packager will need to)?
- An allocated cost for the space used to do it internally

**Here are the two critical questions that often aren't asked**

- Is this your [core competency](https://www.industrialpackaging.com/contract-packaging)?
- What is your opportunity cost? 

Most of our customers tell us that what we do for them is far removed from their core competencies, and that the opportunity cost associated with engaging in a non-core-competency project far outweighs the cost of having us do the project. They choose to allocate their space, people, and capital to higher payoff activities... which are their core competencies. 

 [![OUTSOURCE YOUR PACKAGING](https://no-cache.hubspot.com/cta/default/386184/4f43600b-5c18-428a-8c68-dc825f8338cc.png)](https://cta-redirect.hubspot.com/cta/redirect/386184/4f43600b-5c18-428a-8c68-dc825f8338cc)

Photo credit: [MorboKat](https://www.flickr.com/photos/morbokat/16441865195/) / [Foter](http://foter.com) /

<https://www.industrialpackaging.com/blog/author/david-roberge>

### About David Roberge

I help CPG brands find the right contract packaging partner through content that answers real questions. I get to do that alongside a team whose values actually match mine: respect, teamwork, and always getting better. I also appreciate the psychology behind decision-making. Outside of work you'll find me hiking with my partner and dog, learning German and Spanish, pulling tarot cards.

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