Report: Ranking the Direct Mail Service Providers

Direct mail marketing is getting more personal, more real, and more effective than ever. Affordable high-quality digital printing and technologies that simplify integration make multi-channel campaigns excel as a result.And according the United States Postal Service, 57 percent of all the mail pieces in the U.S. at this time is attributed to direct mail. As a result, approximately $9.4 billion in direct mail spending goes to print and mail services and postage.

Therefore, as the efficacy of digital channels comes under scrutiny, marketers are making direct mail an integral part of their strategy. In doing so, they use many different channels to reach the hearts and minds of their customers.

Thriving Direct Mail Companies

We wanted to better understand the impact this has on the value chain that serves this market printing industry – specifically, direct mail service providers. We focused specifically on revenue from listed companies’ direct mail operations. Using this data, as well as additional research, we created this first-of-its-kind ranking of the top direct mail service providers by sales revenue.

Senior Director Haroon Abbu, Ph.D., who helped spearhead the research, said that printers that provide direct mail services are growing faster than those that do not offer them — at about 8 percent more versus 1 percent, respectively.

“Direct mail continues to be a very dynamic space. It also provides numerous opportunities for traditional print providers to expand into a broad range of new mail-related services,” Dr. Abbu said. “We will be watching over the coming years to see which of these companies will prosper more than others. And, if that can be particularly attributed to expanded direct mail service offerings.”

The 10 Top Direct Mail Service Providers from the DM200 are listed below, as well as the location of their corporate headquarters:

1. IWCO Direct – Chanhassen, Minnesota
2. Quad/Graphics – Sussex, Wisconsin
3. SG360°, a Segerdahl Company – Wheeling, Illinois
4. Data-Mail, Inc. – Newington, Connecticut
5. Freedom Graphic Systems – Milton, Wisconsin
6. Japs-Olson – St. Louis Park, Minnesota
7. Sir Speedy Print Signs Marketing – St. Louis Park, Minnesota
8. Alliance Franchise Brands – Parsippany, New Jersey
9. American Litho – Carol Stream, Illinois
10. EarthColor – Parsippany, New Jersey

Bell and Howell presented each DM200 company with a certificate of recognition. Additionally, they awarded recipients with a trophy.