Friday, July 6, 2012
IBISWorld; Direct Mail Recovering from Recession
Direct Mail Advertising Hurt Less by, Rebounding from the Recession Says IBISWorld: The recession caused demand for the direct mail advertising industry to fall as businesses cut costs to maintain profit...For marketers that want to target a specific group or niche market, direct forms of advertising are often more cost effective than traditional advertising. Direct mail advertising displays relatively low volatility, suffering less in a downturn because many businesses substitute their traditional advertising methods with cheaper, broader-reaching advertising methods...When the economy slows and businesses trim marketing budgets, marketers turn to more cost-effective and targeted forms of promotion. While fewer funds are allocated to marketing across the board, the proportion devoted to direct mail grows; in essence, the industry takes a larger slice of a smaller pie. This factor helped distance the industry from the declines experienced by the wider advertising sector during the recession...During the five years to 2017, industry revenue is expected to increase. For more information, visit IBISWorld’s “Direct Mail Advertising in the US: Market Research Report” page.