The number of financial services company direct mail offers to acquire new customers fell by more than one-quarter in 2008, according to market researcher Mintel Comperemedia.
Between Jan.-Nov. 2008, the total volume of banking, credit card, investment, and mortgage and loan new customer acquisition offers totaled 10.3 billion pieces, down 26% from 13.9 billion pieces in 2007, Mintel reported.
“Across the board, financial services companies were forced to change their direct mail strategy last year,” said Stephen Clifford, vice president of financial services, in a statement. “Faced by the unprecedented challenges of a weak housing market, the credit crunch, a global recession and declining consumer confidence, financial institutions cut back on direct marketing.”
Specifically, Mintel noted that:
*Credit card acquisition offers dropped 24% last year from 2007 levels.
*Mortgage and loan mailings dropped 37% from prior-year levels.
*Investment mail volume fell 5% during the period.
In contrast, banks increased their volume 5%, in 2008, said Mintel.
“Banking was a bright spot in 2008 financial direct marketing, as banks across the country increased their acquisition mail in hopes of new deposits,” noted Clifford.
