August 12, 2004, 12:00 AM

E-mail proves its power as a marketing vehicle

E-mail generated $15.50 in sales per dollar spent on e-mail marketing campaigns, 17% more than direct mail, even though marketers spend 23 times more money on direct mail campaigns than on e-mail, Winterberry Group reports.

Kurt Peters

Executive Editor

E-mail generated $15.50 in sales per dollar spent on e-mail marketing campaigns last year, 17% more than direct mail, even though marketers spend 23 times more money on direct mail campaigns than on e-mail, Winterberry Group reports. Winterberry notes that e-mail drove 73% more sales per marketing dollar than did telemarketing, which generated $8.94 per marketing dollar.

E-mail will maintain about the same leads over direct mail and telemarketing in generated sales this year, when Winterberry estimates that e-mail will generate $16.7 in sales per dollar spent on marketing, compared to $14.6 for direct mail and $9.71 for telemarketing.

Winterberry also projects that marketers will spend $2.2 billion on e-mail campaigns this year, up from $2.1 billion last year, and that they’ll spend $51.4 billion on direct mail, up from $48.6 billion last year.

Jupiter Research reports that spending on e-mail marketing will grow at a compound annual growth rate of 24% over the next several years, rising from $2.1 billion last year to $6.1 billion in 2008.

 

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