Industry Analysis & Industry Trends
After the recession, an increase in corporate profit margins led to a rise in spending on all forms of advertising. As a result, revenue for the Direct Mail Advertising industry is expected to increase over the five years to 2015. However, much of this gain represents a recovery from recessionary lows and industry revenue is expected to remain below prerecession levels. During the five years to 2020, industry revenue is expected to remain nearly stagnant. Higher expected levels of consumer spending and rising corporate profit margins are anticipated to increase advertising expenditures, but outside competition should continue to hinder significant revenue growth and profit improvement... purchase to read more
Industry Report - Industry Investment Chapter
IBISWorld estimates that for every dollar spent on labor in 2015, roughly $0.11 will be spent on the use and replacement of buildings and equipment. Therefore, IBISWorld estimates that this industry has a low level of capital intensity.
The industry is information- and knowledge-intensive, with a requirement to collect, collate, analyze, store and retrieve data. Operators must then print and organize mail-outs of the contracted promotional material. For these reasons, IBISWorld estimates that wage costs comprise 20.8% of industry revenue in 2015. While computing and related technology assists in this process, operators require specialist labor input in the areas of sales, client meetings and graphic design... purchase to read more