Reasons to Use a Contract Packager

by Michael Kotendzhi | Warehousing, Logistics

Delivery and warehousing are just some of the essential steps in the supply chain. While manufacturers deliver products to their intended suppliers or clients, certain products require specialty packaging to get to their destination. Either way, some companies find using a third-party packaging service saves precious time and money that would otherwise be spent on delivery. This service is called contract packaging. Here are some of the main reasons to use a contract packager to meet your business’s supply chain requirements.

​Deliver to Geographically Isolated Facilities

​​One of the main benefits of contract packaging is it increases delivery to geographically separate facilities. Modern technologies and delivery systems create custom packaging for well-trained teams. Contract packagers deliver based on product and location which cuts warehousing and packaging costs down to an as-needed basis. While localized packagers can deliver close to manufacturing plants, contract packagers ship to remote retailers in bulk which costs less than traditional packaging options.

​Use Specialized Delivery and Packaging

​Another reason to use a contract packager is they use specialized delivery and packaging for certain products. Contract packaging fits various industries, including food, cosmetics, medical products, nutrition products, pharmaceuticals, beverages, industrial products, and more. Some of these items may require specialized delivery and equipment, such as FDA regulation and military-grade packaging. Co-packagers have the expertise when dealing with any of these products using their specialty equipment for proper delivery.

​Create Opportunity for Downsizing

​Lastly, contract packaging allows suppliers opportunities for downsizing. While this doesn’t sound ideal, it can save a small business lots of money in delivery and warehousing. Downsizing cuts costs and improves efficiency without sacrificing quality. Third-party packagers reduce the extra need for facility and personnel fees which instead can be used to upgrade facilities, training, maintenance, and quality control.

Nevertheless, when it comes to contract packaging, be sure to use us at 18 Wheels Logistics. As one of the best packaging companies in Vancouver, our expert packagers and handlers understand the importance of co-packaging for your company. Our primary and secondary packaging ensures your products get to their intended suppliers or clientele without issue. Whether it’s with beverages, food, or any other specialty packaging, our state-of-the-art technology will deliver it securely on time.

Michael Kotendzhi is President of Operations & Transportation and a partner at 18 Wheels. Michael has over 15 years of experience and is equipped with a degree in Logistics from the University of British Columbia Sauder School of Business. As well as a background in logistics from XPO Logistics (formally Kelron Logistics), North America's largest contract warehousing provider.

Michael's experience includes supply chain management, reverse logistics, & domestic transportation. He has developed 18 Wheels' trucking solutions, effectively utilizing the sister company's vehicle fleet and building a transportation supply-chain network across North America.