Study says pendulum swinging more toward e-mail campaigns

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Stamford, Conn.--More businesses are using e-mail marketing campaigns instead of traditional direct mailings, according to a study released Tuesday by research firm GartnerG2.

The research firm said e-mail advertising revenue is projected to reach $1.26 billion in 2002, up from $948 million in 2001. By 2005, e-mail advertising revenue is expected to grow to $1.5 billion.

"Direct mail has reached its peak and will account for less than 50% of mail received by U.S. households by 2005, down from 65% in 2001," said Denise Garcia, research director for GartnerG2.

The study also found that e-mail campaigns are significantly less expensive to execute than traditional direct mail campaigns. Currently, e-mail costs range from $5 per thousand to $7 per thousand while direct mail ranges from $500 per thousand to $700 per thousand.

--Matthew Schwartz

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