By Raphael Michilis
The volume of credit cards offered by post in the US has fallen 33% in April, according to data from market researcher Mintel.
American households received 260 million offers for new credit cards last April, 130 million lower the amount put forward in the same month of 2011, and the lowest estimated monthly mail volume tracked in the past 25 months.
“April marks a new low for the credit card direct mail decline that began in December 2011,” says Andrew Davidson, senior vice president at Mintel Comperemedia.
He predicted the annual volume of credit cards directly mailed in the US will also take a plunge.
“Credit card direct mail volume will be significantly lower in 2012 than 2011,” he said without risking an exact figure.
Despite the numbers, Davison has a somewhat optimistic position and said the downturn is not a sign of a long term trend, just a “temporary hiatus” in the activity, and other advertising modalities are supporting this “traditional channel”, rather than replacing it.
The fall is result of a “more cautious approach” adopted by the issuers due to an uncertain economic atmosphere, said Davison.
He explained that credit card direct mail is cyclical, and it will return to its normal volume levels along with the regain economic confidence in the US.
“For credit card issuers this is a great time to be in the mail. The mailbox is less cluttered and it is easier to get consumers to notice your message,” suggested Davison.
The volume of credit cards offered by post in the US has fallen 33% in April, according to data from market researcher Mintel.
American households received 260 million offers for new credit cards last April, 130 million lower the amount put forward in the same month of 2011, and the lowest estimated monthly mail volume tracked in the past 25 months.
“April marks a new low for the credit card direct mail decline that began in December 2011,” says Andrew Davidson, senior vice president at Mintel Comperemedia.
He predicted the annual volume of credit cards directly mailed in the US will also take a plunge.
“Credit card direct mail volume will be significantly lower in 2012 than 2011,” he said without risking an exact figure.
Despite the numbers, Davison has a somewhat optimistic position and said the downturn is not a sign of a long term trend, just a “temporary hiatus” in the activity, and other advertising modalities are supporting this “traditional channel”, rather than replacing it.
The fall is result of a “more cautious approach” adopted by the issuers due to an uncertain economic atmosphere, said Davison.
He explained that credit card direct mail is cyclical, and it will return to its normal volume levels along with the regain economic confidence in the US.
“For credit card issuers this is a great time to be in the mail. The mailbox is less cluttered and it is easier to get consumers to notice your message,” suggested Davison.
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