MEDIA FACTS Direct MarketingCREATE A PROFILE QUICK FACTS - pick up to 5 U.S. direct and digital advertising spending increased 2.7% to $154.4 billion in 2010, according to a study by the Winterberry Group. For 2011, direct and digital ad spending is predicted to grow 6.2% to $163.9 billion. Direct mail spending grew 3.1% in 2010, and accounted for $45.2 billion of direct and digital ad spending in 2010. Direct mail is expected to grow 5.8% in 2011, to $47.8 billion. In addition to direct mail, spending attributed to the other segments of the direct marketing industry in 2010 (totals in billions): Direct response print, $15.0; direct response broadcast, $23.6; digital, $27.7; teleservices, $39.5; insert media, $0.8; other, $2.6. Of the $27.7 billion spent on digital advertising in 2010, Search accounted for $15.6 billion of the total and Display accounted for $9.3 billion, while E-mail claimed $1.4 billion. Based on research by the National Mail Order Association, the categories of Food, Gardening, Gifts, and Health & Beauty typically have the highest direct mail response rates. In 2010, an investment of $1 in direct marketing expenditures was predicted to return, on average, $11.73 in incremental revenue. Response rates to direct mail have held steady over the past several years. Letter-sized envelopes, for instance, had a 2010 response rate of 3.42% for an in-house list and 1.38% for a prospect list. Credit card companies mailed out approximately 2.50 billion card offers in 2010, up from 1.39 billion in 2009. More than 80% of U.S. households read some or all of their advertising mail. Forty-nine percent of e-mail marketers find that a mid-day (10 AM to 2 PM) blast produces the highest ROI. ADVANTAGES - pick up to 3 Targetability Reach Maintenance Tracking Precision DISADVANTAGES - pick up to 3 Low Response Rates Attention New Customers Consumer Perception Outdated Mailing Lists Declining Couponing Growing Expense PLUS RADIO - pick up to 3 Intrusive: Radio is linear, where consumers listen through commercials, unlike direct mail that quickly gets discarded after little more than reading a headline – if it is even opened. Only one commercial is heard at a time on Radio, drawing attention to that one advertiser. How do you get people to open the direct mail they usually discard? By augmenting your marketing strategy with Radio to call attention to your mailings, and precondition recipients to the benefits of reading and responding to your direct mail offers. Creates Brands: Radio generates new customers by branding an advertiser. Radio, with its reach and frequency, develops an image for the advertiser. Personal Connection: The Radio Ad Lab (RAL) in its study called "Personal Connections, Personal Relevance" shows how consumers connect with radio. Consumers listen to a station because they enjoy it, unlike the “junk” perception associated with direct mail. STATION/COMPANY ADDRESS PHONE WEBSITE LOGO NOTE: Click browse to select your logo. For best results, logos should be no more than 300 pixels wide by 150 pixels high. For more help call 1-800-232-3131.