If you’ve recently started a new business or have launched your own E-Commerce store, you might have noticed there’s no end to the grind.
From admin and answering customer queries to fulfillment and marketing, your to-do list is becoming impossible to complete.
Over the past few years, a lot of people have turned to dropshipping businesses, but this itself has a lot of downsides. For a start, you can’t guarantee the quality of the product, and there are a lot of areas of the business that are out of your control.
But it does highlight one of the greatest difficulties for businesses: the supply chain. Everything from pricing goods, finding the highest quality materials, to packing and delivering the product to the customer is involved in supply chain and logistics.
As this will take up quite a chunk of your time, it can be easy to let other areas slide. But if you really want your business to succeed, you need to be able to manage every area equally. One way to improve productivity and reduce your workload is by hiring a co-packer.
What is a co-packer?
A co-packer deals with Contract Packaging Logistics: They take all the hard work of packaging, fulfillment, and logistics off your plate. These companies will manufacture, package and manage your supply chain while you focus on other areas of the business.
Does my business need a co-packer?
When you start your business, you and your staff will likely be wearing several hats a day, from customer support to lead generation to warehouse operator. With so many different jobs to do, nobody can focus their attention on really getting to know a single job. As such, you’ve got a team of people who can do a little of everything, but not a lot of anything.
A co-packer can relieve the workload so your team can specialize in certain jobs and provide a better service. To understand whether a co-packer is the right choice for your business, ask yourself these questions:
Is my business scalable?
If you’ve created a product that seems to sell well, you might have considered offering it to other retailers. Selling your products in different retailers and online stores can help seriously scale your business. But you’ll need a mass production service to help. Retailers will often order in bulk, and as such, you’ll need to meet their demands pretty fast.
A co-packer can help manufacture, assemble and pack these bulk orders.
Is my product in high demand?
If your product is in high demand, and you can’t quite manage it, it’s time to hire a co-packer. These businesses will require a minimum order, but you’ll have a lot less to worry about if you can reach that.
Can I afford it?
Of course, no service is free, so considering whether your business is ready to take on this high cost is crucial. That said, being able to increase your order fulfillment faster will help boost your reputation on the market. Understand your budget and how much a co-packer will cost. That way, when the time is right, you know exactly who to call.
A co-packer is not a service to consider lightly. There will be minimum orders, fees, and criteria you have to meet. Before diving in, check out all the requirements, and consider how you could benefit from the service. It’s not right for every business, so make sure to get as much information as possible before you make any decisions.