One of the first questions founders ask a co-packer is “how much will this cost?” The honest answer is that it depends on your product, but the factors that drive the price are predictable. Here is how co-packing pricing usually works, and what to plan for beyond the quote.
How co-packers price a job
Most co-packers price per unit. Behind that number are two kinds of cost: the work of running your product (labor, line time, and materials handling) and the fixed work of setting up the line before the run and cleaning it afterward. At Minimus Products, setup and cleanup are built into the per-unit price, and every job is quoted individually.
What drives the per-unit price
- Quantity. Setup and cleanup take roughly the same time whether you run 2,000 units or 20,000, so larger runs spread that fixed work across more units.
- Equipment. Fully automated equipment, such as sachet and stick pack machines, is efficient at volume but takes more setup, so it usually carries a higher minimum. Semi-automated filling for jars, bags, and bottles suits smaller runs.
- Format and complexity. Filling one product into one container costs less than a run that adds blending, multiple labels, inserts, or kitting.
- Product behavior. Fine powders, sticky liquids, and chunky particulates each run differently and at different speeds.
- Componentry. Bottles, jars, pouches, film, labels, and boxes are either supplied by you or sourced by the co-packer and included in the quote.
How minimums affect your cost
Minimums exist because a line has to be set up and cleaned no matter how small the run. Our general minimum is $2,500 per project. On semi-automated equipment, that might cover about 2,500 units at around $1 each, though actual pricing varies by project. Sachets and stick packs run on fully automated equipment that usually starts at 10,000 units. If you only need 5,000 sachets, the cost is about the same as 10,000, so most brands take the larger run. Fully automated equipment generally starts to make sense around 30,000 units. Read more about how our minimums work.
Costs outside the co-packing quote
When you build your cost per unit, include the costs that sit outside the co-packer’s line items:
- Bulk ingredients, if you supply them
- Componentry and printed materials, if you supply them
- Freight to and from the co-packer
- Warehousing and fulfillment after the run
- Your own product liability insurance, which retailers typically ask to see
- Lab testing, certifications, and label design
How to get an accurate quote
The more complete your brief, the more accurate the quote. Share your product and how it behaves, your formats and pack sizes, your expected first-run and ongoing volumes, and whether you want the co-packer to source componentry. Request a quote from Minimus Products and we will scope it with you.
Work with Minimus Products. We are an entrepreneurial contract packaging and co-packing partner in Newbury Park, California, specializing in low-minimum production runs for emerging food, beverage, supplement, pet, and personal-care brands. Request a quote and tell us about your product.
Related reading: Low-Minimum Co-Packers: Contract Packaging for Small Production Runs · How to Find the Right Co-Packer for Your Food or Beverage Brand