The digital advertising trend may be doing many things, but it is not yet killing direct mail as many predicted it would two decades ago. This is especially true in the retail sector as overall spending on circulars, coupons, direct mailers, and catalogs hit $76 billion in 2017. Although this number has been relatively stable since 2015, it rose from about $40 billion in 2012. Why is this happening?
One look inside your mailbox tells you that direct mail is alive and well. Simply put, we all have a mailbox, they are far less cluttered than our virtual mailboxes, and direct mail remains a fairly low cost tactic for marketers. It's also very effective for geographic targeting. And the marketing communications we get very day except Sunday are often integrated with some sort of e-commerce or in-store tie-in. Aside from the obvious sustainability issues with concerns about too much unwanted paper, what's not to like? It's old school, but nonetheless effective.
Discussion: Event though most retailers see digital advertising as a growing share of their marketing spending, do you think direct mail should continue to be an important part of marketing strategy? Why or why not?
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