Marketing Mail Increasing as Resilience Remains Strong in Uncertain Economy

August 29, 2022 • Posted by DM20

Marketing Mail revenue increased $324 million, or 9.4 percent, compared to the same quarter last year, on volume growth of 545 million pieces, or 3.5 percent, reports the U.S. Postal Service for the third quarter of its fiscal year 2022 (April 1 – June 30). All other types of mail experienced a decline or were essentially flat.

While this news is monetary music to many direct mail providers ears, even related technology companies like DirectMail2.0 are seeing this trend ring true as businesses of all shapes and sizes continue to utilize this resilient method of advertising.

“We have noticed a significant uptick, well more than just an uptick in the volume of marketing mail this year,” explains Brad Kugler, CEO/Co-Founder of DM20. “Direct mail is not dead but growing again and converting for our partners and clients.”

Conversion is key and omni-channel marketing is the big buzz word that’s helping direct mail drive those conversion rates higher. In fact, DM20 lifts direct mail response rates 23-46% by integrating the printed piece with up to 11 different digital technologies. And it’s working, with DM20 reporting the highest ever amount of marketing mail being utilized by their partners in over five years.

“Our VSD (valued of services delivered) had a year over year growth of 79% from July 2021 to July 2022,” shares Adam Steele, VP Operations at DM20. “In July 2022, we had the highest amount of mail pieces ran through our platform since the inception of DirectMail2.0.”

Higher response rates yield higher reorder rates. Clients who use DM20 reorder 70% more than those who use traditional direct mail. This proven system of profitability has been the saving grace for many commercial printers and other direct mail providers who have experienced many challenges over the last few years, from Covid-19 and marketing declines, to paper shortages and supply chain issues.

“Marketing Mail has generally proven to be a resilient marketing channel, and its value to U.S. businesses remains strong due to healthy customer returns on investment and better data and technology integration,” explains Mail Magazine.

Morgan DiGiorgio, SVP Sales at DM20, has seen this first hand: “The technology we have today to improve direct mail campaigns is truly incredible. DM20 can identify and target customers who are ready to buy right now, track the delivery and conversion of the mail and ads, and lift the response to the mail 23-46% for pennies per piece. We are using omni-channel repetition integrated into the mail piece to deliver 8-16 touches that are essential to gain a new sale in our highly competitive consumerist world.”

While rumors of a recession may be looming, savvy business owners know they can keep their marketing message prominent with the power of omni-channel marketing and outpace the businesses that draw back on their marketing efforts; and it all begins with direct mail. No matter what state the economy is in, we know that marketing mail is effective, resilient, and more high tech than ever before.