How Outsourcing Packaging Can Improve Your Business
You might feel inclined to do everything independently when you start a business, from production to marketing, customer management, and packaging all done by a single company, beneath one roof. But, as you’ll soon learn, the modern economy can heavily incentivize you to outsource various aspects of your company.
Especially those that either take up to much workforce or require too much space. So, in this article, we will explore why outsourcing packaging can improve your business and how to find a decent company to do so.
Ways in which outsourcing packaging can improve your
When considering packaging, people often believe their team can handle it best. After all, what better way to connect your production to your packaging process than to have them done in the same building. And while this is theoretically true, it doesn’t paint the whole picture.
While packing your product can be more efficient, you must have the necessary space and workforce to make it so. Furthermore, just because your packaging process is efficient doesn’t mean that you will see an increase in revenue. Packaging speed is relevant for specific items, especially if you have the necessary storage space. Therefore, you’d be spending a lot of money to make your packaging process efficient while not getting anything in return.
Reduce business cost
With what we’ve said in mind, it shouldn’t come as a surprise that cost reduction is the first-way outsourcing packaging can improve your business. Namely, unless you have everything already set up, it will likely be more cost-effective to outsource your packaging to a third-party company. Yes, you will have to take shipping and storage into account, as well as some extra planning. But you can save a considerable amount of money.
Focus on your area of expertise
Properly managing a packaging department within a company requires resources. These do not only include the human resources that will pack your product and the space necessary for them to do so. But, it also includes further management staff. As you can imagine, all these resources can be saved and diverted into your area of expertise if you opt to outsource your packaging. Instead of worrying about whether you have proper packaging materials, whether your logo turned out right, and whether the staff is properly managed, you can focus on what you do best. Doing so will further improve your company and make the most of what you
While we are on the subject of recourses, it is worth mentioning that time is the most valuable resource, especially for a company manager. The time you will free up from outsourcing your packing can be used to improve your company further and increase overall revenue.
Finding a good packaging company
The only sure way in which outsourcing packaging can improve your business is if you find a good packaging company. All that we’ve mentioned so far will be for naught if you pair yourself up with subpar packers. The shipping, packaging, and storing process can be pretty complex, especially if you have a strict timeline. Therefore, it is in your utmost interest to do ample research and ensure that you pick the right packaging company for outsourcing.
Online reviews and ratings
The first step in finding a decent company to work with is to check online reviews and ratings. Any reputable company will be easy to find online on Google and the BBB website. What you are looking for are decent ratings from verifiable customers. Working with
companies that have little experience is a risk. And if your company heavily depends on the quality of the packing service, you should take as few risks as possible. Look for ratings and reviews that you know are credible, and see whether you can find companies similar to yours that worked with them previously.
Setting up for the long run
The idea of outsourcing your packaging implies that you will make a long-term business relationship with the packing company. As such, you not only need to research them, but you also need to outline your needs. Things like:
- Equipment and facilities
- Management style
- Staff experience
- Warehousing costs and requirements.
- Ease of communication
All of these are essential factors that you need to keep in mind. So don’t expect to set up a decent relationship with a simple phone call. Once you pick companies with suitable ratings and reviews, you will need to perform an interview. And during that interview, you must go over every aspect of your future business relationship. A contract outlining who is responsible for items and when is a must, and so is having a clearcut insurance policy.
It won’t take much experience to learn that outsourcing packaging can improve your business. You will not have to worry about the packaging process, which can be surprisingly difficult to
manage. You will also have more time and energy to focus on developing your business.
Considering the cost of setting up packaging within your company, with all the necessary supplies, staff, and extra space, you will soon see that outsourcing packing is often the more financially sound option. Nevertheless, working with a reputable company is the only way to reap the benefits of outsourcing your packaging. Reviews and ratings are your first step in finding a good company. And the rest are all about understanding your business needs and finding a company that will suit them.
Amanda Waterson worked as a logistics manager for various shipping companies. She now focuses on consultation work and on writing helpful articles for companies like helixmove.com. In her free time, Amanda enjoys gardening.
Depots to Face the Brunt of Container Surplus well into 2023