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Companies Continue to Invest in Direct Marketing

The Direct Marketing Association with Winterberry Group recently released its Quarterly Business Review for the second quarter of 2011, which found growth in spending, sales, profits and staffing compared to the first quarter and the second quarter of 2010. Marketers said they were optimistic for the third quarter despite economic conditions inhibiting overall growth.

According to the data, 91.6 percent of marketers said investment in direct marketing grew or remained steady compared to the first quarter. In addition, 52.1 percent expect their direct marketing budgets to remain the same from the second quarter to the third quarter of the year, while 42.3 percent anticipate increasing their spending next quarter.

While 35.6 percent of marketers reported profitability increased from the first to second quarter, the poor economic climate remained the top challenge for marketers working to improve their campaigns' performances.

Jonathan Margulies, vice president of Winterberry Group, said U.S. marketers have been consistently optimistic about their potential growth despite the failing economy.

"It's now clear that growth simply hasn't materialized to the extent that was initially anticipated, leading many to stick with the conservative business approaches that served them well during stormy times," Margulies said.

In a blog post for Business 2 Community, Steve Olenski, creative director of digital services for The Star Group, said direct mail is an example of a conservative approach that has proven its worth in multichannel marketing efforts.

"I am steadfast in my believe that direct mail, when used as a part of an overall integrated campaign, can prove to be a very valuable player on the marketing team," Olenski said.  

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