The Essential Guide to Beverage Copacking

12 May

What is Copacking?

Beverages in a can on a production line and a copacking facility based in Victoria

Copacking, short for contract packing or contract manufacturing, is when a beverage company outsources the production, bottling, and packaging of its beverages to a specialised third-party manufacturer. Instead of building your production facility, hiring staff, and managing logistics, you collaborate with a copacker who takes care of these aspects for you.

Many successful beverage brands use copacking to bring their drinks to market efficiently and at scale. Whether you’re launching a new product or expanding production, working with a copacker can be a game-changer.

What are the Benefits of Copacking

If you’re a beverage producer, choosing a copacker offers a range of benefits that can help your business grow:

Cost Savings

Setting up a beverage manufacturing facility requires a significant investment in equipment, staff, and compliance. A copacker allows you to produce your drinks without these upfront costs, reducing financial risk.

Faster Time to Market

Copackers have established production lines and expertise, meaning your product can go from development to retail shelves much faster than if you were to build your facility.

Scalability

Whether you’re starting with a small batch or preparing for large-scale distribution, a copacker can adjust production volumes based on demand.

Regulatory Compliance

Beverage manufacturing involves strict regulations, from food safety standards to labelling laws. Copackers are experienced in meeting these requirements, helping you stay compliant.

Focus on Branding and Sales

By outsourcing production, you can focus more on marketing, sales, and growing your customer base instead of dealing with operational challenges.

How to Choose the Right Copacker

Not all copackers are the same, so selecting the right partner is crucial. We’re chatted to our team and come up with these 6 key factors to consider and questions to have answered before you sign the contract with a copacking partner.

Capabilities and Specialisations

Different copackers specialise in various types of beverages, such as carbonated drinks, juices, energy drinks, or alcoholic beverages. Make sure your copacker has experience in your product category. They should have no issue providing you with references and case study examples of how they’ve managed other copacking relationships in your chosen category.

Production Capacity

Ensure the copacker can handle your current needs and can scale production as your brand grows. It might feel like a good fit at first but if your copacker isn’t equiped to scale up as you do, then changing copacking partners when you in a high growth phrase can be problematic.

Quality Control Standards

Ask about their quality control processes, certifications (such as HACCP or ISO), and how they ensure product consistency. Ensure these certifications are up to date and if they have someone on staff who is responsible for these standards.

Your Location and the Copackers Location

A copacker’s location affects shipping costs and logistics. Choosing one near your target market or distribution centres can improve efficiency.

Packaging Options

Does the Beverage co packer offer the packaging formats you need (cans, glass bottles, PET bottles, cartons)? Make sure they can meet your packaging requirements.

Flexibility and Minimum Order Quantities

Some copackers require large minimum orders, which may not be ideal for startups or small brands. Look for one that aligns with your production scale.

Communication and Transparency

A strong working relationship is key. Choose a copacker that communicates, provides regular updates, and is transparent about pricing and lead times.

Common Copacking Myths Debunked

Despite its benefits, there are some misconceptions about copacking. Lets clear up a few:

Myth #1: Copacking is Only for Large Companies

While major brands use copackers, many startups and small businesses also benefit from outsourcing production, especially when launching new products.

Myth #2: You Lose Control Over Your Product

A reputable copacker works with you to ensure your specifications are met, so you still maintain control over your recipe, branding, and quality.

Myth #3: It’s Too Expensive

While there are costs involved, copacking can be more cost-effective than setting up your production facility, especially when factoring in long-term expenses.

Is Copacking Right for Your Beverage Industry Business?

If you’re considering working with a copacker, ask yourself these questions:

Do I want to launch a product quickly without the burden of setting up a manufacturing facility?
Am I looking for cost-effective production solutions?
Do I need a scalable solution that grows with my business?
Would I rather focus on marketing and sales while outsourcing manufacturing?

If you answered yes to these, copacking could be the right path for your brand.

Final Thoughts

Copacking is a powerful tool that allows beverage brands to scale, reduce costs, and bring high-quality products to market efficiently. By choosing the right copacker, you can focus on growing your brand while ensuring your beverages are produced to the highest standards.

If you're looking for a trusted beverage copacker, IDL has the expertise and facilities to help your brand succeed. Get in touch with our team to learn more about how we can bring your beverage ideas to life!