Catalog sales are expected to reach $104.3 billion this year and are forecast to jump to $142.9 billion in 2005 at an annual compound growth rate of 6.5%. Sales were $47 billion in 1990.
According to the study, Economic Impact: U.S. Direct and Interactive Marketing Today, released yesterday by the Direct Marketing Association at the 17th Annual Catalog Conference & Exhibition in San Francisco, consumer sales this year will be $63.8 billion, compared to $39.7 billion in 1995. Business-to-business sales will total $40.5 billion compared to $24.5 billion in 1995.
By 2005, consumer sales are forecast to reach $86.4 billion with a compound annual growth rate of 6.3% and B-to-B sales will total $56.4 billion at an annual growth rate of 6.9%.
The study also found that catalog industry employment is expected to grow by 2.5% between 2000 to 2005. In five years, 523,900 people will be employed compared to 463,600 this year. Catalog advertising expenditures are expected to reach $17.2 billion in 2005 compared to $13.3 billion this year.
In addition, 76% of consumer catalogs are conducting online transactions and of those 73% reported turning a profit. B-to-B catalogs showed higher gains. While only 43% accept online transactions, 80% earned a profit.
DMA president, H. Robert Wientzen told a crowd at the opening session yesterday that the next impact study will for the first time expand internationally to include five other countries: Argentina, Australia, Brazil, New Zealand and Canada.
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