By
Lob
The answer may surprise you. It’s not creative, it’s logistics. An overwhelming 87% of business leaders say it’s their biggest blind spot. And more than 8 out of 10 have faced unexpected costs or missed delivery windows due to gaps in ownership and oversight.
In our State of Direct Mail: Business Insights 2026 webinar, we analyzed data and insights from 250 senior marketing and operations leaders to uncover what’s working, what’s not, and what’s next for direct mail in 2026.
Six key findings from the webinar revealed where mail programs are breaking down, why unexpected costs arise, and what the highest-performing teams are doing differently.
The majority of companies (90%) reported increasing their direct mail budgets in 2026. On average, direct mail increased to about 25% of total marketing spend—a direct result of audience engagement, especially among Gen Z and millennial consumers.
“Our research last year showed that people are digitally burned out,” notes Kelsey White, Founder and Principal of Kirin Analytics, the researcher of the report. “The tactile quality of direct mail feels more special, valuable, or exclusive, helping brands differentiate.”
“Lots of people are integrating different media channels to take a more robust, omnichannel approach with their campaigns,” adds Chris Karpenko, Executive Director, USPS. “Mail plays an important role in that. We’re seeing reinvestments in the form of additional mail pieces and expanded campaigns.”
As creative and targeting become more sophisticated, the production engine behind them hasn’t kept up. Printing, shipping, and delivery are major blind spots for both marketing and operations—affecting nearly 90% of leaders surveyed.
One of the biggest takeaways from the webinar is that even the smallest breakdown at any point in the workflow can cascade into bigger, more expensive problems. Greater visibility across logistics reduces surprises, improves cost efficiency, and turns mail execution into a competitive advantage.
Eighty-four percent of leaders say they struggle to track USPS updates. And more than half say that USPS changes have significantly disrupted their planning. A lack of clear ownership for monitoring and planning around USPS updates can make these changes even harder to manage.
“Ownership seems to be a really critical factor in helping teams adapt faster and plan their campaigns with more confidence to avoid disruption,” said White.
The biggest challenges for operations teams are maintaining quality control, balancing production capacity, and keeping delivery on track as volume and complexity increases.
To counter these challenges, Brent Hagan, Chief Supply Chain Officer at Lob, points to automated print workflows, tighter supplier integration, tech-driven presort, and USPS promotion optimization as the most impactful investments in direct mail right now.
While nearly everyone automates, top performers apply AI where it matters most. Teams that see high ROI use technology to reduce manual bottlenecks, personalize messaging, strengthen attribution, and better integrate behavioral data across channels.
“AI is a strategic advantage for those that are leveraging it well, but it’s going to become table stakes for folks not to get lost,” said Hagan.
Ninety-six percent of leaders say personalization lifts results, but the strongest campaigns use behavior, preferences, and milestones to deliver perfectly timed mail.
“We’re seeing a lot more companies connect the dots to enhance understanding of the entire direct mail process,” said Paul Bobnack, Founder & CEO of PB Communications. “Measurement and integration capabilities have improved a lot, so there are more insights into performance and attribution.”
The biggest challenges ahead aren’t creative, they’re logistical. Even the strongest campaigns can’t convert if they miss their in-home delivery window.
Our research makes it clear: logistics is no longer a backend function. Printing, shipping, and delivery directly impact campaign cost and performance, putting logistics intelligence at the forefront of direct mail ROI. When data and logistics work together, direct mail becomes more measurable, meaningful, and predictable.
Want to learn more? Watch the webinar or read the full report.
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