Yamato Holdings Co. said Friday it has signed an agreement with DHL Global Mail (Japan) K.K., part of the Deutsche Post World Net group, that will create a joint direct marketing venture on April 3.
Yamato Dialog & Media Co. aims to develop effective direct mail delivery services for corporate customers. The new firm, to be based in Tokyo, will be established with capital of 100 million yen, of which Yamato will contribute 51 percent and DHL Global Mail the rest, the Japanese parcel delivery company said.
Yamato said it is partnering with the German firm based on the potential for growth in direct mail, and to build on the achievements of a similar direct mail delivery service offered by its core unit, Yamato Transport Co.
The Kuroneko Mail service generated revenue of 100 billion yen in the 2004 business year, Yamato said.
Estimating Japan's direct mail market may grow grow by 50 percent from its present size, Koji Ogura, president of Yamato Transport, told a news conference his company is aiming for 150 billion yen in annual revenue for its entire mail delivery business within five years.