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Direct mail defies the doom mongers

Direct mail was the top performing media, according to latest industry figures.

The Advertising Association/Warc Expenditure Report reveals that spend on direct mail was up 12.7 per cent in the fourth quarter of 2010. Coming in at a very close second was TV, at 12 per cent.

Total spend on direct mail stood at £1.68bn in 2009, rising to £1.71bn in 2010. A slight fall to £1.69bn is predicted for this year.
Overall, 2010 was a good year for the UK advertising market, which saw a of 6.9 per cent rise to £15.5bn, making it the strongest year for adspend growth since the dotcom boom of 2000.

While this is a significant bounce-back from recession, growth is expected to dip to 2.9% in 2011, before rising to 5.5% in 2012. This is due to a relatively weak economy and a fall in consumer confidence.

Adspend growth will also suffer in year on year comparisons to its strong performance in 2010. But it is expected to revive in 2012, on the back of the London Olympics.

Suzy Young, data editor at Warc, says: “2010 was an impressive year for UK adspend. This included a surprisingly strong performance from direct mail in the second half of the year. This could be attributed to advertisers relying more heavily on the more traditional and immediate forms of communication with the consumers. While growth will moderate in 2011, we anticipate higher rates of growth in 2012 as the economy picks up and London gears up for the Olympics.”

Source: DMA (link)