A survey of direct marketers concludes that the share of internet sales will increase to 43 percent of all catalog, retail and e-commerce sales in 2007 - and 46 percent by 2009 - according to the new "Multichannel Marketing 2005 Report" issued by the Direct Marketing Association at DMA 05 in Atlanta, reports DM News. In 2004, 38 percent of orders were placed online, according to the report, which also outlines best practices and industry benchmarks.
Survey respondents said 33 percent of web-based sales in 2004 were new customers, while 53 percent had shifted from phone or mail - up from 42 percent in 2003.
Some 65 percent of respondents said a multi-channel approach in DM campaigns yields a better ROI; 7 percent said a single-channel approach achieved higher ROI. Among the top benefits cited for online marketing were increased revenue (73 percent), greater visibility (58 percent), cost savings (56 percent) and access to new customers/new segments (54 percent).
Nearly three-quarters (74 percent) of companies' email marketing budgets was spent on customer retention as opposed to acquisition, according to the report, which was produced by DoubleClick and Abacus, with commentary by Mark Swedlund, SVP of Haggin Marketing.