Quarterly Direct Mail Trends Report: Q2 2020
In the midst of the 2020 pandemic, marketers stayed connected to consumers by sending over 5.1 billion pieces of mail during the second quarter. As expected, aggregate mail volumes are down 33.7% from the first quarter, yet the year-to-date total mail volumes are up 2.4% due to a volume increase of 18.5% in Q1 2020.
The insurance industry still holds the top position this quarter, down less than 1% from Q1 2020. Retail/consumer services’ second quarter volumes are in-line with 2019, surpassing both credit cards and mortgage/loan quarterly volumes for the first time in over a year. Energy was the only industry to increase mail volume from Q1, on the backs of companies such as CleanChoice Energy, NRG Home and AmeriGas Propane.
“Second quarter metrics have provided additional insight into the impact of the coronavirus crisis on the direct mail industry, and overall we’re encouraged to see a less than anticipated dip in Q2 volumes with year-to-date year-over-year metrics reasonably stable,” explained Erik Koenig, SeQuel’s Chief Marketing Strategist. “We expected aggregate volumes to be down as much as 50%, but resiliency in most insurance categories buttressed volumes and new industries slid into top mailer positions as consumer sentiment shifted to focus on homelife, essentials and financial protection. As we move through the third quarter and into the fourth, we’re experiencing a continued increase in mailer sentiment, signaling a modest but steady rebound in the channel, with full recovery to pre-COVID volumes likely taking a few more quarters.”
The infographic below shares additional information on direct mail’s Q2 2020 performance, and the state of direct mail during COVID-19.