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        Direct Marketing Services Industry Profile

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        Excerpt from Direct Marketing Services Industry Profile

        Companies in this industry develop advertising campaigns and related materials for direct distribution to consumers by mail or online. Major companies include Epsilon Data Management, Harland Clarke, Harte-Hanks, Merkle, and Wunderman (all based in the US).

        The global direct marketing services market is forecast to reach about $6.7 billion by 2027, at a 2.4% compound annual growth rate (CAGR) during the 2021-2027 forecast period, according to Precision Reports. Direct marketing operates independently and relies on direct communication to individual consumers through various delivery systems, such as mail, email, social medial, texting campaigns, and more. Email marketing in particular is a cost-effective way for global marketers to reach consumers, especially in countries that lack a traditional direct marketing infrastructure.

        The US direct marketing services industry includes about 2,500 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $9.5 billion. The industry is part of the larger advertising and marketing sector, which is covered further in a separate profile.


        Demand is driven by economic activity and corporate profits. The profitability of individual companies depends on their targeting services, creative skills, and marketing ability. Large companies have economies of scale in database analytics, marketing, and automated operations, which allow them to compete more aggressively on price. Small companies can compete effectively by specializing in a particular industry, geographic market, or service type. The US industry is concentrated: the ...

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