In the 1906 nursery rhyme “Knick Knack Paddy Whack,” repetition is key to helping young children learn to count. The sing-song refrain “with a knick knack, paddy whack, give a dog a bone, this old man came rolling home” also uses alliteration and rhyme to achieve familiarity. In the busy world of contract packaging, familiarity with a customer’s product line, having the right equipment to make, fill, bottle, label, store and distribute beverages, and the ability to manage the entire packaging supply chain enables beverage-makers to get their product ideas to market without all the costly overhead.
Contract packing, or co-packing, allows small, medium and large brands to outsource the packing of their products, which is particularly important in light of the shifting beverage landscape featuring the growth of new age beverages as well as the multitude of craft beverage options. In 2019, the market value of this specialized industry in which products are manufactured by a non-brand-owning independent third party was $52.3 billion, Hamburg, Germany-based Statista states. By 2025, contract packing is forecasted to more than double to nearly $119 billion, it adds.