Swiss Post takes full control of direct marketing group

Swiss Post has taken over a group of direct marketing companies in Switzerland, in which it had previously held a 50% stake. The postal operator said the acquisition of Basel-based DMC Group for an undisclosed amount was about strengthening its core business – the delivery of advertising mail.

It also suggested the investment was a “clear message” regarding the potential for direct marketing.

Swiss Post said the acquisition was completed on January 6, with retroactive effect from the start of the month. Following the change of ownership, the postal service intends to continue operating DMC Group as an independent unit.

DMC Group includes Direct Mail Company AG as its lead unit, with Direct Mail Logistik AG as the group’s logistics subsidiary and IN Media AG, distributor of a free consumer lifestyle magazine. The group also holds an 80% stake in Biel-based delivery company Direct Mail Biel-Bienne AG.

The DMC Group specialises in addressed and unaddressed direct mail services, from planning and preparing print materials to logistics, delivery and data analysis. Founded in 1962, it has around 135 full-time staff with around 2,500 part-time workers at sites in Lausanne, Biel, Thun, Zurich, Domat/Ems and Niiederbipp.

Swiss Post. which has held a 50% stake in Direct Mail Company and Direct Mail Logistik since 1996, said taking complete control of the group would boost its position in the “highly competitive” market for unaddressed mail and free newspaper distribution.

“With this takeover, the company is strengthening its position in direct marketing and thereby its core business,” the firm said, adding: “The takeover will have no immediate effects on the customers and employees of the DMC Group.”

Outside Switzerland, this month has also seen Swiss Post’s business services division Swiss Post Solutions acquiring a marketing software company in Dublin to strengthen its offering in the UK and Ireland.