No, you don't need a hosting package to use a custom domain with Blogger. Blogger provides free hosting for your blog, so you only need to purchase a domain name from a registrar like Namecheap, GoDaddy, or Hostinger. After buying the domain, you can connect it to your Blogger blog by updating the DNS settings with the required CNAME and A records, as outlined in Blogger's custom domain setup guide: Blogger Help - Set up a custom domain.
Steps include:
Sign in to Blogger, go to Settings > Publishing > Custom domain, and enter your domain (e.g., www.yourdomain.com).
Blogger will provide two CNAME records (in addition to providing you the instructions). Add these to your domain's DNS settings via your registrar's control panel.
Save the changes and wait for DNS propagation (usually 1-24 hours).