The United States and Canada traded more than $533 billion in 2006 making the Canadian marketplace an important business strategy for those who are involved in direct mail campaigns. Here are the other reasons why:

  • More than 25% of all mails coming to Canada originate from the USA.
  • The Canadian marketplace is large and profitable because the country is the second largest in the world and with a population of only 33 million.
  • Because of the limited radio and TV stations in Canada, direct mail has become the biggest grossing media, getting 22.4 percent of the money spent on Canadian advertising.
  • The Canadian marketplace for direct mail isn’t saturated yet. A Canadian, on average, receives only around 300 direct mails per year. That’s less than 50% of what a resident in the US receives.
  • Canadians respond more actively than US residents, making the Canadian marketplace more interactive. The probability of a response form the US marketplace for direct mail is only 1 to 2 percent while in Canada, it is at 3 to 4 percent.
  • The people in both the US and Canada pretty much share the same likes and dislikes so they enjoy similar products. And since not many local retailers in Canada can meet the demand, more and more Canadians are ordering from the Internet for things not available in the country.
  • Internet connection is highly available in Canada and is provided mostly by reliable DSL or Cable broadband companies. This makes reaching them through emails more efficient.
  • A large majority of Canadians still speak English as their first language, making communications easy. For the Canadian speaking residents of Quebec, translation services are available to help tap that market as well.
  • Canadians enjoy high living standards because of government subsidized education and also efficient health care. Disposable income is then available for the purchase of products by the Canadian consumers.
  • The US trade with Ontario alone is bigger than the trade with the whole of Japan. That’s how huge the Canadian marketplace
  • An average Canadian has 10.2 percent of disposable income that can be used for purchasing.
  • More than 60 percent of families in Canada own their homes.

The Canadian marketplace has grown a lot and is shown by the foreign investments which have grown 112 percent from 1982 to 1993. This is largely due to the positive investment climate combined with high-tech communications, efficient transportation, a receptive political climate, and the generally stable currency.

The key to penetrating the Canadian marketplace may lie with understanding its people. The various cultures in Canada have retained their individual uniqueness even through urbanization.

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