Service Consolidation Leads Database Marketers’ Outsourcing Concerns

Database marketers spend an average of $3.5 million annually on outsourced marketing services, according to a new study from Forrester Research Inc. Just under one third spend more than $5 million a year, while slightly more than one-quarter spend less than $1 million.

On average, these marketers use nearly nine different vendors, and 65% indicated they would welcome a chance to consolidate their activities. According to Forrester, the first type of service bureau to fall will likely be standalone e-mail service providers. Marketers are looking into developing integrated contact strategies across both e-mail and traditional mail channels, and will want partner firms that can synthesize both services within the boundaries of a single campaign.

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