Tuesday, March 3, 2015

Despite Digital Growth, Mail Still Leads Budgets

Don't let stories about online and social media politicking distract your campaign planning from the proven direct marketing leader: direct mail. Note that direct mail will top overall marketing budgets this year despite all the chatter about e-mail and digital content, predicts the Winterberry Group. At a forecast $45.7 billion spend for 2015, direct mail is showing only a 1% growth, but that still puts mail well ahead of an expected e-mail spend of just $2.3 billion, as well search dollars of $26.9 (including desktop and mobile). Although targeted digital display, including desktop and mobile promotions, has the strongest predicted growth (21.1%), it still comes in well behind mail at $28.3 billion in projected spending. Key factors driving strong direct-mail budget plans include lack of a postal rate increase in early 2015, rising mail volumes, strong acquisition mail investment to offset declining retention mailings, and a rise in digital-to-offline retargeting, according to the Winterberry study. Direct mail may also benefit from its proven ability in data-driven targeting--the Holy Grail of today's political marketing. Across channels, Winterberry predicts that 2015 marketers will invest more in data-driven promotion, with the top reason (from 52.7% surveyed) cited as the demand for more relevant, customer-centric (read donor-centric and voter-centric) communication. For an infographic summarizing results, check out the Direct Marketing News magazine article at http://www.dmnews.com/marketing-spending-in-2015-infographic/article/400487/

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