Smaller packaging is driving growth in co-packing

Anyone familiar with Multipackers might think of Christmas hampers, peppernuts and Easter eggs. That image is now well and truly outdated. The co-packer from Veghel, with Henk van Geest at the helm, has experienced tremendous growth in recent years. These days, alongside gift hampers and confectionery, large quantities of dressings, sauces and spice mixes are also being packaged. What does this growth say about the packaging market, and what can you learn from it?

Smaller portions, greater demand

A striking trend within this growth is the rise in smaller portion packs. Henk van Geest: “There are several underlying developments behind this. The composition of households has changed: there are increasingly more single-person households, and for those living alone, a large pack that sits half-used on the shelf is of little use. Furthermore, consumers have less to spend.” Smaller packaging also keeps the price per unit low. Consumers are also increasingly opting for private-label products, as these are cheaper than premium brands. As a result, retailers are expanding their private-label ranges, and this requires a partner capable of packaging a wide variety of products quickly and accurately. This is precisely where Multipackers’ strength lies.

A growth market across the ocean

Growth does not stop at the Dutch border. Multipackers also sees a clear growth market in Canada and the United States. Anyone wishing to sell there will have to deal with different labelling requirements and retail expectations. A co-packer who can handle this takes a lot of work off your hands.

Why large manufacturers outsource their packaging work

Why would a manufacturer with its own production lines outsource its packaging work? The answer is flexibility. Think of seasonal peaks around Sinterklaas, Easter and Christmas, promotional campaigns, or a new product that needs to be brought to market quickly. Converting or expanding your own production line for such purposes costs time, money and capacity. A co-packer scales up or down whenever you need them to, without you having to invest in machinery or staff yourself.

“Our customers don’t want to worry about capacity,” says Henk van Geest. “They want to know it’s taken care of. If a campaign suddenly doubles in size, we need to be able to adapt.”

A deal is a deal

Flexibility is of little value without reliability. At Multipackers, 100% reliability is paramount, under the motto ‘a deal is a deal’. Even when things go wrong. “Sometimes a job doesn’t go to plan and we have to do something at or even below cost,” explains Van Geest. “That’s just the way it is. We build long-term relationships with our clients, so you have to look beyond the short term.” For clients, this means certainty: what has been promised will be delivered.

Automated for the future

To ensure this growth continues into the future, Multipackers is investing in extensive automation, with automated packing lines and cobots. The packing lines ensure speed and consistent quality for large volumes, whilst the cobots work safely side by side with staff. This combines the capacity of automation with the flexibility required by co-packing.

Nederland Verpakt as a source of growth

Nederland Verpakt plays a dual role in this development. Companies are now finding their way to Multipackers via the platform: various manufacturers and brand owners have already approached us. “Not every enquiry was a good fit for us, mind you,” says Van Geest, “but establishing contacts with new companies is always worthwhile. You never know what the future holds!” At the same time, Multipackers itself has also found partners through the platform with whom it has implemented production automation. “That’s what makes the platform so interesting: you don’t just find clients there, but also the right partner for your own next step.”

Curious to find out what Multipackers can do for you? Explore the possibilities Multipackers has to offer.