Direct Marketing in Spain
Spanish market
Direct Marketing
·Total direct marketing expenditure in 2001, of 3,198m euro, effectively 62.7% of all advertising and 6.95% of total European direct marketing
·Spain is the 5th largest direct marketing market in Europe
·Spain is the 5th largest direct mail market in Europe
·Direct mail volume since 1991 has been steady, slow growth
·Direct mail absorbs the majority of direct marketing expenditure, at 77.7%
Telemarketing
·Teleservices grown dramatically, from 1991 to 2001, the market increased more than nine times over
· Telemarketing agent positions of 39,700 Vs largest market UK of 332,300 positions
·Outsourced telemarketing positions of 9,700 Vs UK of 29,800
E-commerce
·Internet market is very strong with continued growth
· Online retail market very strong at 273m euro in 2001, predicted to grow to 6,782m euro by 2007, effectively 6th largest European market
Home Shopping
·Home Shopping market very weak with turnover at 659m euro (2001) and per capita of 16 euro, 14th in Europe
·Per capita has been constant moving from 15 to 16 euro, over 6 years, compared to total European market average, moving from 117 per capita to 132 per capita, over the same period
Economy
·Economically Spanish economy out performing EU zone
·High dependency on tourism sector, benefiting from Portugal high prices
·Economy driven by domestic market: tax reform, low inflation and job creation
·Inflation at 2.3%, with marginal increase in labour costs
·Strong GDP growth over the last 10 years, with latest figures at 2.7% (Q4 2003), 6 consecutive quarters of accelerated growth
Regulatory
·Data Protection broadly in line with the more liberal interpretations and transpositions, within EU, such as UK and Netherlands
·List market split into public access data and lists from a list broker
·ER type data regulated use
·Distance Selling regulations interpretation and transposition, reflects a more liberal approach
·Use of incentives hampered by Spanish unfair competition legislation
Socio-demographic
·Spanish cost of living is still relatively low with the local population benefiting immensely from the growing economy
·On of the key demographic changes currently underway and set to continue is the level of North European ex-pats setting up permanent residence in Spain. This has been somewhat triggered by the pensions crisis. This group with a large disposal income could have a dramatic effect on the Spanish direct marketing industry.
