Tag: direct mail

Small fanfare for UK Royal Mail’s drop in B2B price

There was a luke-warm reaction to news that Royal Mail is to reduce its prices for business mailers. The move is part of the postal service’s plan to stave off the growing competition for its huge share of the B2B market. From April this year the cost of a first-class stamp will rise from 28p to 30p. Business mailers will receive a 1p discount on the 30p price if their mail is franked or uses a PPI (Printed Postage Impression) and weighs less than 60g. Discounts range from 3p to 8p for heavier items. “There are some reductions and small increases, which are likely to behave as a balancing act,” said David Robottom, director of postal affairs and industry development at the DMA. “Royal Mail is making its prices relate more to its cost, which we support,” he added. “We welcome any reduction in price, as long as the service improves.”

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UK direct mail lags behind other media growing 2.1%

Growth in spending in direct mail lagged behind the marketing industry average over the past quarter, up by 2.1% in current prices, compared with 4.6% across the board. According to the Advertising Association, direct mail, which only includes mailouts and not doordrops nor other forms of direct marketing, rose to GBP569m. But compared with other media, it was lagging in terms of growth.
Last month, the AA reported that spending on direct mail in the UK could rise by as much as 54% over the next 10 years. Between now and 2014, the medium of direct mail is set to rise between 46% and 54%. This put it well ahead of the marketing industry as a whole.

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