Global Mail Order Industry to Reach US$835 Billion by 2015, According to New Report by Global Industry Analysts, Inc.

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GIA announces the release of a comprehensive global outlook on the Mail Order Industry. The global mail order market is growing at a healthy rate driven primarily by the growing preference of time crunched modern consumers to shop from the convenience of their home. Additionally, low investment and capital requirements are further stimulating distribution of a wide range of goods/products through non-store retail channels, offering a greater variety of product choices to consumers.

Mail Order: A Global Outlook

Follow us on LinkedIn – A part of non-store retailing, mail order is a convenient medium for customers to obtain requisite products, while staying at home. All the products of the mail order companies are displayed in the catalogue or on the web site. The displayed information includes product specifications, pictures, and prices. Drugs, clothing, beauty and health aids and computer software and hardware among others are major product categories in the mail order industry. Mail order businesses are very cost competitive as no store-related costs are involved.

With the rise in internet usage, fixed and mobile broadband penetration, and innovations in easy online payment systems, online shopping is now a commonly adopted practice by consumers. The internet has evolved, and mutated over the years and with it a new breed of online trading has taken shape. A majority of online users all over the world are estimated to switch over to Internet shopping in the coming years. Online retail categories are grouped into three-growth modes namely plateau, steep and steady. The steep group comprising home and personal care segments such as home improvement, grocery and over-the-counter drugs is projected to register robust growth, when compared to the plateau group which includes PCs, books and software. However, majority of the total online retail sales are expected to come from steady group. Heavy volume items such as consumer electronics and apparel are grouped under steady group. In next few years, video commerce integration into online shopping is expected to increase. Use of interactive videos for product promotion, as well as to provide general information would also increase, providing users with an interesting online experience.

Traditionally, most of the catalog companies were based on the agency model, comprising of various sales representatives who distribute catalogs and obtain orders from the customers, in a specified allotted area. Smaller mail order firms develop direct and well-positioned catalogues targeting only niche customers. Presently, increasing number of retailers is utilizing more than one format of retailing to effectively target customers. Multi-channel marketing is the new growth strategy among retailers to enhance their sales volume. Several merchants are simultaneously utilizing Internet and catalogs as sales channels to bolster their market shares. Retailers are employing a wide array of marketing strategies, including in-store catalog kiosks, online catalogs, e-mail promotions, exclusive merchandise, sales associate referrals, and sales circulars to tap more customers. Subsequently, the emergence of E-mail marketing and other e-marketing initiatives in the recent times has augmented sales in the mail order industry.

Mail order pharmacies constitutes one of the most prominent segments of the mail order industry. Majority of the pharmacy benefit management (PBM) companies have established mail order service facilities that enables them to provide their members an option to order prescriptions through telephone, fax, or the Internet. The mail order service facility offers PBMs a range of strategic advantages, allowing them to optimize their operations. Firstly, delivery of prescriptions through mail eliminates the dispensing charges, which PBMs have to pay to retail pharmacies. Secondly, mail order offers a greater substitution rate for generic drugs when compared to the retail pharmacy network. In addition, mail order prescription sales allow PBMs to cut their costs, as the mail prescriptions are delivered in bulk for three months compared to the retail prescriptions that are dispensed for only one month at a time.

The research report titled “Mail Order: A Global Outlook” announced by Global Industry Analysts, Inc., provides a collection of statistical anecdotes, market briefs, and concise summaries of research findings. The report offers a rudimentary overview of the industry, highlights latest trends and demand drivers, in addition to providing statistical insights. Regional markets briefly abstracted and covered include the US, Canada, Europe (France, Germany, Russia, Spain, Sweden, and the United Kingdom), and Asia (Japan, China, and Korea). The report offers a compilation of recent mergers, acquisitions, and strategic corporate developments. Also included is an indexed, easy-to-refer, fact-finder directory listing the addresses, and contact details of companies worldwide.

For more details about this comprehensive industry report, please visit –

About Global Industry Analysts, Inc.
Global Industry Analysts, Inc., (GIA) is a leading publisher of off-the-shelf market research. Founded in 1987, the company currently employs over 800 people worldwide. Annually, GIA publishes more than 1300 full-scale research reports and analyzes 40,000+ market and technology trends while monitoring more than 126,000 Companies worldwide. Serving over 9500 clients in 27 countries, GIA is recognized today, as one of the world's largest and reputed market research firms.

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Global Industry Analysts, Inc.
Telephone: 408-528-9966
Fax: 408-528-9977
Email: press(at)StrategyR(dot)com
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