Boston—The Direct Marketing Association kicked off its annual convention and expo Oct. 3 with the release of its biennial forecast of direct marketing's economic impact. The association also announced its board for the coming year.
DMA's “Power of Direct Marketing,”
which used an economic model of U.S. direct marketing activity updated for DMA by economic forecasting company IHS Global Insight, showed that spending in direct marketing will hit $163 billion this year, up 5.6% over 2010 and now accounting for 52.1% of total advertising spending in the U.S.
Much of this growth is driven by online media, according to the report, with digital channels snaring 19% of the marketing budget this year, and expected to rise to 21% in 2012. Mobile spending, from a low base, is growing at a 50% year-over-year clip.
Meanwhile, traditional channels are experiencing mixed results. Direct mail expenditures will grow 4.6% this year, and direct response TV will grow 6.1%. However, direct response magazine, direct response radio, inserts and telephone marketing will all experience negligible real growth rates (adjusted for inflation), and direct-response newspaper ad spending will continue to fall, according to the report.
Separately, DMA announced its new board members for 2012-13, headed by Matt Blumberg, CEO-chairman of email delivery company Return Path, the new DMA chairman. He succeeds G. Steven Dapper, chairman of agency hawkeye.
Other officers include Rick Erwin, president of the data division at Experian Marketing Services, who will be vice chairman; Glenn S. Eisen, exec VP-marketing at Guthy|Renker, treasurer; and Leslie Abi-Karam, president-mailing solutions management at Pitney Bowes, secretary.