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BizReport : Email Marketing : October 30, 2006
Direct Marketing To Slow?
Yes and no. A new study out from the Direct Marketing Association (DMA) indicates a growth slowdown could be on the way for direct marketers in the United States. However, direct marketing sales may continue to grow despite the expected slowing of growth.
The study, called The Power of Direct, was presented at the DMA’s 2006 conference. It indicates that sales driven by direct marketing will continue to grow, but that the growth will face a downturn sometime in 2007. That slowdown will likely coincide with a general advertising slowdown in the U.S.; however the slowdown is not expected to be as high as the slowdown for the general U.S. marketplace.
Ken Magill (via The Center For Media Research) noted at the conference that “direct marketing spending is expected to be $175.2 billion in 2007, up 5.2% from $166.5 billion in 2006. Also, direct marketing-related sales are expected to grow 6.5% in 2007 to $2.064 trillion, according to the DMA.”
Total U.S. sales are expected to grow only 3.9%, compared to the 6.5% growth expected for direct marketing sales which could help to bolster the country’s economy. Direct marketing could account for as much as 10% of the United States economy next year.
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