Communications provider iGroup Australia and mailing and distribution house Dynamic Direct have initiated a merge with hopes of becoming a direct marketing “powerhouse” in Victoria.

Alan Read, chief executive of Dynamic Direct, said the merger had been on the cards for years.

“It’s a wonderful success story in the print and mail space. Consolidating our Melbourne footprint will bring renewed strength and vigour to both organisations that can only benefit our clients and their customers,” Read said.

Paul Tannous, managing director of iGroup Australia, added: “While increased capacity was a huge drawcard for us, the real clincher was the ability to apply Dynamic Direct’s 25 years of Melbourne market experience and insights to leverage iGroup’s experience and investment in forward-thinking digital, web and telemarketing initiatives.”

The merger only impacts iGroup’s Melbourne operations with the business to move into Dynamic Direct’s facility from February 4 this year.

The combined businesses have a focus on new technology according to iGroup Australia’s managing director Paul Tannous.

“We’ve made a substantial investment in digital colour and the associated integrated communications software,” Tannous said.

However, he said the “real success story” is Moxii, a program iGroup described as an “emerging multi-channel marketing campaign performance enhancer”.