Have We Achieved 'Peak Mail'?
None of this is to say there is a diminished role for direct mail in a post peak-mail digital age. Quite the contrary, the role of direct mail is simply changing, gaining efficiency in targeting, response and engagement—and learning its space and place in an omnichannel marketing environment. In its various postage promotions for 2014, the USPS is testing and encouraging such innovation and integration.
In a recent presentation to the Direct Marketing Club of New York, Bruce Biegel of The Winterberry Group, saw direct mail spending in 2013 actually grow by 1.2 percent, and is projecting another 1.1 percent uptick this year. (Postage hikes in 2013, and coming in 2014, well exceed both these growth percentages.) "Direct mail should be growing because it works," Biegel said as he announced his findings and projections. "Digital doesn't do enough in customer acquisition." This is encouraging news following years of decline.
Volume, however, is not immune to increases in postage, paper and print costs, and to digital migration, and in this scenario, we are really in a situation where USPS infrastructure must continue to adjust to changing mail composition, shape, class and purpose—while continuing to serve all its stakeholders. First-Class Mail peaked in 2000, and Standard Mail in 2007—and we most likely never will return to such volumes ever again.