Have you been curious and wondering about “what is co-packing”? With the evolution of the global economy as a whole, outsourcing has evolved in various aspects, and so has contract packaging. More and more businesses are eager to find out what co-packing services are, and why so many businesses are using these services. In this article, we will discuss:
What is Co-Packing and How Does it Work?
Co-packing, also known as contract packaging, is the overall process of assembling a product or few products into its or their final finished packaging. Co-packaging tasks range widely from something as simple as adding a product barcode sticker to one as complex as planning, designing, printing and fulfilling the entire package. Depending on the product, the final packaging may come in a variety of forms. It might include a thermoformed packaging, plastic clamshell packaging, or blister packaging. Other packaging forms could also be a simple plastic bag, a standing display, a corrugated retail tray, or a transport tray. Since co-packing implies a change in the product (packaging, size, content, labeling), and there are hundreds of different ways to get products ready for retail sale, it is wise to have some sort of agreement signed before proceeding to use the co-packing services. Moreover, there are numerous technologies involved in packaging such as kitting, bundling, and sealing products that only the contractor knows. Therefore, it is a common practice to sign an agreement whereby a firm (let’s call them firm A) allows another firm (firm B) to handle the packaging of its products. This agreement allows firm A to focus on its product-making and marketing specialties, and firm B to focus on the packaging specialty.
Benefits of Co-Packing
After understanding what is co-packing and how it works. Let’s look at why many firms are considering co-packing as a way of streamlining their business operations. There are 3 main reasons:
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Co-packing has become an important competitive advantage for companies aiming to increase operational efficiencies. Reduced costs, specialized technology and flexibility are the main benefits that firm A gets from outsourcing its packaging works to firm B. This kind of arrangement is most popular in fulfilling occasionally large projects without taking on extra staff and equipment.
Where to Find a Good Co-Packing Company
A co-packer is a contract packaging company that packages and labels products for clients. Finding a good co-packing company can be a tedious job. This is because each product has its specificities and packaging requirements; for example, fragile materials or temperature-sensitive goods. Working with specialists ensures products are handled in strict compliance with the standards enforced by their industrial sector. KINGHOME (also known as KHPack), a 33-year-old co-packer, is no doubt one of these specialists in the packaging industry. Founded in 1988, KINGHOME has been manufacturing and packaging high-quality prints such as custom packaging, displays, boxes, cards, tags, stickers, polybags and more. With over 30 years of experience, it has packaged more than 4.5 million pieces of products, from the eyewear industry to the beauty and accessories industry.
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KINGHOME is not just a packaging supplier, it is the ultimate one-stop-solution provider for emerging and established brands. As a co-packer, its ability to provide an "end to end" solution from design, sourcing, procurement, packaging and transportation accommodates the customers’ every business need. To facilitate the globally rising demand for co-packing, over the years, KINGHOME has expanded its Taiwan business to China, and Japan. It now has offices in 5 cities (Taipei, Tokyo, Dongguan, Wenzhou, and Shanghai Free Trade Zone), and has developed partnerships with clients in 35 countries.
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