By Brice Sanderford | July 23, 2009
A recent article in the Los Angeles Times focused on the health of the direct mail market, and attacked the increasingly unpopular business tactic. The reporter, David Lazarus, took the time to go to the office of the main direct mailer in the Los Angeles area and interview the co-owner of the company that sends out 12 million articles of third class mail every month.
Lazarus found the building a bit despairing - in the midst of the recession the direct mailing company in LA followed the trend of many other businesses, and recently laid off nearly half of its work force. They aren’t the only ones suffering. For the first time in nearly six decades, the direct mailing industry has experienced a decrease in sales.
Lazarus didn’t disguise his contempt for the direct mail industry. Others are cheering its demise. There has been an uproar against the direct mailing industry due to its apparent disregard for the environment and its lackluster approach to reducing waste. There are reportedly 19 states that at the moment are trying to pass laws involving a do-not-mail registry, and more stringent restriction on the junk mail business.
Thing is, the direct mail industry is an important player in our economy. Direct mailing companies in the U.S. alone employ about 1.2 million people, and indirectly employ another 9 million. It stimulates an estimated two trillion dollars in spending every year helping to keep small businesses afloat, drive major corporations advertising campaigns, and also keep the United States Postal Service running. An attack from the government may not be the most prudent solution…for anyone.
But change is needed. Better recycling habits, and more efficient mailing lists are what are called for in this situation. Get the mail to the people who want it, and then get it into the recycling bin.
I think direct mailers should take it upon themselves to innovate before change and regulation is forced upon them. Direct mail haters should be cheering for this change rather than shouting for demise. Because in the end the last thing our economy needs is another colossal failure in another industry that employs millions of people and stimulates massive amounts of spending.
Article Resources:
LA Times
CSMoniter
Image Source: Flickr
nice post! keep it up!
Good post and I’m glad you pointed out some of the innovative and beneficial steps list providers can take to increase environmental effeciencies.
Here in Canada this will be a little more of a challenge because of privacy laws. They prevent us from getting into individual level knowledge for direct mailing lists. However our models are continuing to improve insight and allow for marketers and direct mailers purchasing our lists to further refine their carpet bombing tactics into laser guided precision approaches. The idea being reduction of mail and wasted offers through increasing relevancy.
I also really like the idea of list compilers becoming sources of pull marketing to be input by the people that own their records. With some deep partnerships and innovative affiliates just like many online marketing clearinghouses I think we can really reduce the amount of wasted paper and wasted offers going out!
Keep up the good work. Keep the posts coming.
yeh right.. great post, Thank You
Proper just posting this comment to show that I drop in on your blog daily.