The Improving Disclosure for Investors Act currently under review by the House Financial Services Committee, marks a significant crossroads for the transactional print industry as it faces the realities of a rapidly evolving global communications landscape. While much of the world has shifted away from printed and mailed transactional correspondence, the $1.6 trillion U.S. “Big Mailing” industry—encompassing print, paper, and related vendors—clings to the status quo, resisting the push for modernization.

The Digital Adoption Plateau

In the U.S., digital adoption within the financial services sector has stalled at around 70%, falling short of the industry’s ambition to reach 90% or higher. While print and mail will always serve specific customer segments, rising postage costs, the efficiency of digital solutions, and increasing environmental concerns are accelerating the shift toward digital transformation.

Over 70% of their revenue still comes from print and mail-related activities, putting them at odds with the financial services industry’s digital transformation efforts.

For print service providers (PSPs), this shift presents a significant challenge. Many PSPs will argue that they have done everything they can to encourage digital adoption. What they really mean is that they can’t offset the revenue gap by simply sending more emails. Over 70% of their revenue still comes from print and mail-related activities, putting them at odds with the financial services industry’s digital transformation efforts.

The Implications of the Improving Disclosure for Investors Act

According to Treeline Research’s 2024 Paper Suppression Study, increasing digital adoption from 70% to 95% would have a profound impact, potentially eliminating 5 billion mailed pieces and 14 billion printed pages annually.

If passed, the Improving Disclosure for Investors Act could serve as a watershed moment for the print service industry. According to Treeline Research’s 2024 Paper Suppression Study, increasing digital adoption from 70% to 95% would have a profound impact, potentially eliminating 5 billion mailed pieces and 14 billion printed pages annually. While this level of change might seem drastic, it has already occurred in many markets outside the U.S.

The decline in volume is expected to place significant pressure on smaller print service providers (PSPs), many of which may struggle to stay afloat—again a trend already visible outside the U.S. In contrast, industry giants like Broadridge, Fiserv, and RR Donnelley are well-positioned to adapt, leveraging their extensive digital capabilities to capture much of the remaining demand for print services coming from the financial services sector. As the industry undergoes this transformation, initiatives such as the Improving Disclosure for Investors Act are set to redefine the landscape for U.S. print service providers, ushering in a pivotal era of change.

For those who prefer paper, the study also revealed that 70% are content with printing documents at home, leading to a decentralized approach to printed mail production—an outcome the print service providers are also likely to find less than ideal.

The US Big Mailing industry wants to frame this issue as a matter of limited internet access or digital insecurity. However, these arguments are unlikely to resonate with policy makers, as consumers will still have the option to opt back into receiving paper mail if they prefer. Treeline Research’s 2024 Paper Suppression Study provides clear insights: most consumers won’t abandon their financial service providers when required to transition to digital. Instead, they’ll adapt and move forward, just as they have with countless other aspects of life that have been digitized. For those who prefer paper, the study also revealed that 70% are content with printing documents at home, leading to a decentralized approach to printed mail production—an outcome the print service providers are also likely to find less than ideal.

The Industry’s Volume Problem

The real challenge facing PSPs is their reliance on print and mail activities as the primary revenue driver—an Achilles’ heel in an increasingly digital world. Many businesses continue to prioritize print volumes, often offering digital services just to sustain print demand. The industry’s core focus remains on selling volumes and channels, a mindset reinforced by print vendors who also push volume-based sales. But as I’ve said before, the industry doesn’t have a value problem—it has a volume problem.

To seize this potential, PSPs must move beyond volume-focused business models and recognize the unique value of delivering digital experience solutions and effective Customer Interaction Management (CIM).

Clinging to outdated, print-centric business models in the digital age is a losing strategy. Print Service Providers (PSPs) cannot offset declining print volumes simply by sending more emails—email has long been commoditized. However, the digital landscape presents a valuable opportunity to unlock new revenue streams and enhance profitability. To capitalize on this potential, PSPs must shift away from volume-driven approaches and embrace the distinct advantages of offering digital experience solutions and effective Customer Interaction Management (CIM).

Lessons from Global Markets

One of the most striking insights from industry peers worldwide is how quickly these changes are occurring. Outside the U.S., PSPs report that the pace of transformation often exceeds expectations, catching providers unprepared. This underscores the critical need for agility and innovation in navigating disruption effectively.

Direct mail, a longstanding cornerstone of the industry, is also poised for significant transformation. As businesses shift toward digital-first strategies, postage rates rise, and consumers grow increasingly frustrated with the influx of unsolicited mail, environmental concerns are likely to catch the attention of policymakers, as they have in other parts of the world. Print service providers (PSPs) must reimagine how to deliver value in this changing landscape. By focusing on niche markets with a digital-first approach, leveraging data-driven personalization, and seamlessly integrating direct mail with digital channels, they can reposition print as a powerful complement to digital communications rather than a standalone solution.

The Time to Act is Now

US Print Service Providers are uniquely positioned to guide their customers through the shift to digital, serving as trusted partners with expertise in data, compliance, and integrity.

The clock is ticking for PSPs to modernize their offerings, as multi-channel and even omni-channel approaches are now considered “table stakes”—the bare minimum required to stay competitive. To succeed in this rapidly evolving landscape, PSPs must adopt an adaptive mindset, embrace emerging technologies, and prioritize digital diversification. Those who take decisive action today position themselves to thrive in the future.

There is good news. US Print Service Providers are uniquely positioned to guide their customers through the shift to digital, serving as trusted partners with expertise in data, compliance, and integrity. Their true value lies in enabling this digital transformation, rather than confining customers to an outdated, print-centric approach. Those bold enough to lead this change will discover that digital solutions can become a powerful driver of profitability and market diversification. When executed effectively, this transition will also help PSPs retain high-value print opportunities as part of a balanced strategy. While print is here to stay, the nature of printed communications is evolving—just as it has globally—and this shift is now poised to reshape the U.S. market. The time to embrace change is now.

https://financialservices.house.gov/news/documentsingle.aspx?DocumentID=409480

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