The transactional print and mail industry has experienced significant evolutions since its beginnings. Technology and innovation have modernized and optimized operations. Regulations and compliance with them have shaped it, as well. In looking at the present and future, those companies that use them should be aware of trends in transactional communications.
These five strategic trends are and will impact the production and disbursement of transactional communications.
More Organizations Shift to Outsourcing
Businesses have to cut costs while also increasing efficiency. Outsourcing has long been a solution for this. Anything not a core competency creates waste and ineffectiveness. Transactional print and mail serve as good candidates for outsourcing.
Organizations transitioning from in-house to outsourced operations recognize there are qualified providers in the space. They need this confidence to ensure their outsourcing partner upholds accuracy, quality, security and compliance.
Digital transformation is also influencing the migration to outsourcing. It makes sense for businesses to use this as a way to focus on what they do best and be able to invest in technology in other areas. They no longer want to devote substantial budget numbers to the sophisticated equipment needed for transactional communications.
Outsourcing also solves challenges related to workforce shortages and expenses. The complex regulatory environment also serves as a pain point alleviated by letting experts handle this work.
The Transition to Digital Communications Continues
Digital transformation plays a role in this trend in transactional communications. Most top companies have been pursuing digital transformation for decades. One area is the ability to improve customer engagement through virtual channels.
In managing transactional online communications, the rules are different versus purely marketing emails. Companies have realized they have vulnerabilities in this area. As a result, they have formed partnerships with transactional print and mail vendors with a secure email platform.
With email and mailed documents residing with one provider, businesses can reduce costs, enhance security and compliance, and have complete visibility.
Data Breaches and Fraud Keep Increasing
Customer data breaches are rampant in the modern world. Hackers are sophisticated and motivated to steal PII (personally identifiable information) and PHI (protected health information). It is very lucrative and a concern for any company.
The risk of business disruption from a cyber incident is of great concern. To mitigate this as much as possible, organizations are approaching business continuity differently with transactional communication partners.
Even if companies don’t outsource all their transactional print and mail, they can still ensure redundancy with a provider. The new model is like disaster recovery on demand. It’s more seamless when the third party produces a small portion of communications monthly. In the event of a breach or cyber-attack, the partner is fully prepared to produce these important communications.
For those choosing to outsource, the evaluation of potential providers emphasizes practices around compliance, security, and redundant operations.
Industry Consolidation Is Causing the Industry to Shrink
Consolidation is a pattern many verticals experience. The rising costs associated with transactional print and mail have caused some to go out of business or become part of another company through acquisition.
Other print and mail companies that once worked on transactional and promotional jobs have eliminated the latter. It’s too much of a burden and a financial risk.
The industry players are becoming fewer. Those remaining must make strategic investments and become as efficient as possible.
Multi-Channel Communications Offer an Integrated Approach to Customer Engagement
Targeting customers with only one channel of communication has a low performance rate. Expanding into an omnichannel strategy allows businesses to reach and repeat through mail, email, and text.
Integrating all tactics provides a new opportunity and has become a trend in transactional communications. Doing so ensures consistency, accuracy, and compliance. Providers in the space are now able to incorporate all these efforts under one umbrella. It’s a benefit for all stakeholders.
Trends in Transactional Print and Mail: What’s Next?
These five trends are affecting every aspect of the process. They have similar themes around cost-cutting, compliance, and customer engagement. Emerging concepts include AI, more intelligent automation, and using data for insights and more informed decision-making.
We’re always evaluating trends and adapting our processes and technology in response. Learn more about how we’re innovating by connecting with our experts.
