Flyer sector: 60,000 jobs threatened – Economy

Weakened by the health and economic crisis and by increased pressure from the legislator, the prospectus sector fears for its 60,000 jobs.

Targeted by new binding measures within the framework of the Climate and Resilience Act currently being examined by the National Assembly, the prospectus sector (unaddressed advertising forms) is worried about its jobs. According to a 2019 EY study, companies that print and distribute advertising print from mass distribution in particular support 60,000 non-relocatable jobs in France. According to this study, the adoption by Parliament of a “Yes Pub” type device, which would prohibit the distribution of prospectuses if the authorization to receive them is not expressly displayed, would result in a 40% to 70% drop in activity in the prospectus sector with serious economic consequences.

A 40% reduction in the distribution of leaflets in circulation in France would therefore result in a loss of 23,917 jobs, around 1 billion euros in contribution to the GDP of France and 63 million euros in tax revenue, say EY analysts in their study. A situation far from trivial, which would be further aggravated in the event of a stronger reduction.

111 million euros of shortfall for the State

Still according to EY, in the event of a reduction of around 70% in the distribution of leaflets in France, the printed advertising sector would lose 41,856 jobs. The losses for the GDP of France would then amount to 1.85 billion (0.1% of the national GDP) and the shortfall in terms of contribution to tax revenue would amount to 111 million euros compared to the current situation.

Faced with the risks of destruction of the prospectus sector, the main players in the sector wish to alert the government to the fragility of their activity, which has increased even further since the start of the health crisis, but also to the instability imposed by the many legislative changes to which companies in the sector are subject (the latest legislative changes relating to “stop advertising” entered into force on January 1, 2020), which limit investment capacities.

Impact on the purchasing power of the French

But the economic impact of prospectuses is not limited to professionals in the sector. Flyers represent for many French people, and especially for more modest households, a unique opportunity to find out about current promotions. According to a study by GIE BALmetry, 68% of economically weakened socio-professional categories (28% of the population) read on average one print each week.

A more restrictive regulatory change would affect a print advertising sector with significant economic weight which has already taken into account the ecological challenges of its activity. This decision would therefore penalize both professionals (nearly 60,000 people) and the general public who inquire about good deals through prospectuses.