Direct Mail Advertising Global Market Opportunities And Strategies To 2032

This report describes and explains the direct mail advertising market and covers 2017-2022, termed the historic period, and 2022-2027 termed the forecast period, along with further forecasts for the period 2027-2032. The report evaluates the market across each region and for the major economies within each region.

The global direct mail advertising market reached a value of nearly $74,180.0 million in 2022, having increased at a compound annual growth rate (CAGR) of 2.0% since 2017. The market is expected to grow from $74,180.0 million in 2022 to $83,971.0 million in 2027 at a rate of 2.5%. The market is then expected to grow at a CAGR of 3.8% from 2027 and reach $101,268.5 million in 2032.

Growth in the historic period resulted from strong economic growth in emerging markets, an increase in investments, a rise in e-commerce penetration, growth in the printing market and a rise in advertisement expenditure. Factors that negatively affected growth in the historic period were data privacy issues, environmental problems, the COVID-19 impact and the high cost of advertising.

Going forward, increasing government support, benefits associated with direct mail advertising, rising urbanization and an increasing consumer preference for direct mail advertising will drive the market. Factors that could hinder the growth of the direct mail advertising market in the future include an increase in internet penetration, a rise in digitization and the Russia-Ukraine war impact.

The direct mail advertising market is segmented by type into postcards, self-mailers, letters and envelop, dimensional mailers and catalogs. The self-mailers market was the largest segment of the direct mail advertising market by type, accounting for $27,044.1 million or 36.5% of the total market in 2022. The dimensional mailers market is expected to be the fastest-growing segment going forward at a CAGR of 2.7%.

The direct mail advertising market is segmented by end-user into retail, banks and financial institutions, transportation, media and entertainment, government and other end-users. The retail market was the largest segment of the direct mail advertising market by end-user, accounting for $18,294.0 million or 24.7% of the total market in 2022. The transportation market is expected to be the fastest-growing segment going forward at a CAGR of 2.9%.

The direct mail advertising market is segmented by enterprise size into large enterprise and small and medium enterprise. The small and medium enterprise market was the largest segment of the direct mail advertising market by enterprise size, accounting for $56,036.88 million or 75.54% of the total market in 2022. The small and medium enterprise market is expected to be the fastest-growing segment going forward at a CAGR of 2.5%.

Western Europe was the largest region in the direct mail advertising market, accounting for 30.0% of the global market in 2022. It was followed by Asia Pacific, North America and the other regions. Going forward, the fastest growing regions in the direct mail advertising market will be Eastern Europe and Asia Pacific, where growth will be at CAGRs of 3.5% and 3.2% respectively from 2022-2027.

The global direct mail advertising market is highly fragmented, with a large number of small players operating in the market. The top ten competitors in the market made up to 2.76% of the total market in 2021. RR Donnelley was the largest competitor with 0.75% share of the market, followed by Quad/Graphics with 0.67%, IWCO Direct (Steel Connect, Inc) with 0.55%, Cenveo with 0.36%, Valassis Communications Inc. with 0.33%, Modern Postcard with 0.04%, Postcard Mania with 0.03%, Hibbert with 0.01%, Harte Hanks with 0.01%, and Gunderson Direct with 0.01%.

The top opportunities in the direct mail advertising market by type will arise in the self-mailers market, which will gain $3,478.7 million of global annual sales by 2027. The top opportunities in the direct mail advertising market by end-user will arise in the retail market, which will gain $2,822.3 million of global annual sales by 2027. The top opportunities in the direct mail advertising market by enterprise size will arise in the small and medium enterprise market, which will gain $7,627.7 million of global annual sales by 2027. The direct mail advertising market size will gain the most in the USA at $2,246.2 million.

Market-trend-based strategies for the direct mail advertising market include focus on direct mail automation platforms, focus on AI (artificial intelligence)-powered apps, launch of innovative platforms, technological advancements and 3D direct mail campaigns.

Player-adopted strategies in the direct mail advertising industry include focus on launching new solutions to enhance product designs and create better user experiences, focus on launching new solutions to enable personalized direct marketing campaigns, focus on collaborations and partnerships to improve the data-driven performance marketing services and focus on launching new products to help marketers understand consumer intents and improve their return on investments (ROI).

To take advantage of the opportunities, the publisher recommends the direct mail advertising companies to focus on direct mail automation platforms, increase focus on AI-powered apps, focus on launch of innovative platforms, focus on 3D direct mail campaigns, focus on fast-growing direct mail advertising types, expand in emerging markets, continue to focus on developed markets, provide competitively priced offerings, participate in trade shows and events, continue to focus on fast-growing end-users and target small and medium enterprises.