DUBLIN, January 26, 2022--(BUSINESS WIRE)--The "Direct Mail Advertising Global Market Report 2022" report has been added to ResearchAndMarkets.com's offering.
The global direct mail advertising market is expected to grow from $71.57 billion in 2021 to $72.67 billion in 2022 at a compound annual growth rate (CAGR) of 1.5%. The market is expected to reach $73.57 billion in 2026 at a CAGR of 0.3%.
Major players in the direct mail advertising market are RR Donnelley, Valassis, Dai Nippon, Harte Hanks, Quad/ Graphics, Cenveo, Hibbert, Gunderson Direct, Greetabl and SaasMQL.
The direct mail advertising market consists of the sales of direct mail advertising services and related goods by entities (organizations, sole traders and partnerships) that create and manage advertisement and promotional activities by mail. The content and mode of advertisement can be customized according to the target audience. Only goods and services traded between entities or sold to end consumers are included.
The main types of direct mail advertising are postcards, self-mailers, letters and envelop, dimensional mailers, and catalogs. A self-mailer is a piece of promotional material that is sent without an envelope. It might range from a simple postcard to a detailed brochure or catalog. The direct mail advertising services are used by retail, banks & financial institutions, commercial buildings, media & entertainment, government, and transportation. The different sizes of enterprises include large enterprise and small and medium enterprise.
The benefits associated with direct mail advertising contributed to the growth of the direct mail advertising market. The major benefits associated with direct mail advertising include high read rate, response rate, and personalization. The tangible benefits that direct mail offers along with the facility that personal and special messages can be delivered to the target customers, builds trust in customers. Also, direct mail tends to have a longer shelf life than email or digital marketing.
According to the Postary (Postcard Marketing & Direct Mail Platform), the average response rate of the direct mail is around 2.7% - 4.4%, while the email has around 0.6%, which is comparatively very low. The average open rate varies between 57.5% - 85%, and the average return on investment is $4.09 (£3.22) for $1.27 (£1) spent on direct mail. Such benefits from direct mail advertising drive the direct mail advertising market.
Direct mail advertisers are using 3D mail campaigns to modernize direct mail advertising. 3D direct mail campaigns are interactive as well as provide a visual media experience to the target customers. For instance, in March 2021, R.R. Donnelley & Sons Company), a leading global provider of marketing and business communications, announced the launch of a portfolio of 3D solutions to assist manufacturers and retailers in creating rich user experiences and accelerating time-to-market.
RRD's end-to-end 3D suite, which enables simulations and digital prototyping that maximise the potential of augmented reality (AR) and mixed reality, is designed to utilise the power of emerging technologies such as 5G and spatial web for the Internet of Everything (IoE) (MR).
The high cost of direct mail advertising is expected to limit the growth of the direct mail advertising market. For instance, for a small business operating on a small marketing budget, a direct mail advertising campaign can result in high costs. Direct mailing costs include the price of the postage, professional printing, design cost, and costs for hiring services of a professional copywriter to create a persuasive message. In addition to this constraint, direct mail is considered junk mail by the consumers.
According to a study, more than 90 percent of direct mails are tossed away without opening or reading. Therefore, to reach the customer with mail, the mail sent should be creative and to create such mail, the cost increases. The high cost of direct mail advertising hinders the direct mail advertising market.
Key Topics Covered:
1. Executive Summary
2. Direct Mail Advertising Market Characteristics
3. Direct Mail Advertising Market Trends And Strategies
4. Impact Of COVID-19 On Direct Mail Advertising
5. Direct Mail Advertising Market Size And Growth
5.1. Global Direct Mail Advertising Historic Market, 2016-2021, $ Billion
5.1.1. Drivers Of The Market
5.1.2. Restraints On The Market
5.2. Global Direct Mail Advertising Forecast Market, 2021-2026F, 2031F, $ Billion
5.2.1. Drivers Of The Market
5.2.2. Restraints On the Market
6. Direct Mail Advertising Market Segmentation
6.1. Global Direct Mail Advertising Market, Segmentation By Type, Historic and Forecast, 2016-2021, 2021-2026F, 2031F, $ Billion
Letters and Envelop
6.2. Global Direct Mail Advertising Market, Segmentation By End-User, Historic and Forecast, 2016-2021, 2021-2026F, 2031F, $ Billion
Banks & Financial Institutions
Media & Entertainment
6.3. Global Direct Mail Advertising Market, Segmentation By Enterprise Size, Historic and Forecast, 2016-2021, 2021-2026F, 2031F, $ Billion
Small and Medium Enterprise
7. Direct Mail Advertising Market Regional And Country Analysis
7.1. Global Direct Mail Advertising Market, Split By Region, Historic and Forecast, 2016-2021, 2021-2026F, 2031F, $ Billion
7.2. Global Direct Mail Advertising Market, Split By Country, Historic and Forecast, 2016-2021, 2021-2026F, 2031F, $ Billion
Print Label and Mail
Next Day Flyers
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