Analysis
NAICS 541870 is the 2022 national industry for advertising material distribution services, part of 54187 (Advertising Material Distribution Services). Census lists 9 example activities under it in the official index.
Between 2018 and 2023 the number of establishments grew 38% and employment fell 3%. The 2018 count used NAICS 2017, so part of a large move can come from codes being redefined rather than from businesses opening or closing.
County Business Patterns counts 1,164 US establishments in this code in 2023, employing 11,284 people at an average annual payroll of $83,008 per employee (71st percentile of national industries). 81% of the establishments have fewer than five employees, which marks it as a small-business industry.
Its index entries, the activities Census uses to assign businesses to this code, include advertising material (e.g., coupons, flyers, samples)…, circular direct distribution services, coupon direct distribution services and directory, telephone, distribution on a contract basis, among 9 in all.
Census lists 4 related activities that belong elsewhere, most often in 541860, 51, 541890 and 541810. Businesses that do several things are classified by their primary activity, the one that generates the most value, so check those boundaries before settling on this code.
For example, creating and designing advertising campaigns for the purpose of distributing advertising materials or samples through the mail are classified in 541860 (Direct Mail Advertising) instead.
Official definition
This industry comprises establishments primarily engaged in the direct distribution or delivery of advertisements (e.g., circulars, coupons, handbills) or samples. Establishments in this industry use methods, such as delivering advertisements or samples door-to-door, placing flyers or coupons on car windshields in parking lots, or handing out samples in retail stores.
Source: US Census Bureau, NAICS 2022 Manual.
Not this code if…
| The business mainly does | Use instead |
|---|---|
| Creating and designing advertising campaigns for the purpose of distributing advertising materials or samples through the mail | 541860 Direct Mail Advertising |
| Publishing newspapers or operating television stations or online information services | 51 Information |
| Distributing advertising specialties (e.g., keychains, magnets, or pens with customized messages imprinted) to clients who wish to use such materials for promotional purposes | 541890 Other Services Related to Advertising |
| Creating advertising campaigns and placing such advertising in print and digital media | 541810 Advertising Agencies |
Index entries (9)
- Advertising material (e.g., coupons, flyers, samples) direct distribution services
- Circular direct distribution services
- Coupon direct distribution services
- Directory, telephone, distribution on a contract basis
- Door-to-door distribution of advertising materials (e.g., coupons, flyers, samples)
- Flyer direct distribution (except direct mail) services
- Handbill direct distribution services
- Sample direct distribution services
- Telephone directory distribution services, door-to-door