DMA Says Direct Marketing Job Growth Outpaces Job Losses

Posted on by Chief Marketer Staff

Certainly direct marketing is being hurt by the recession, but not all the economic indicators are bad. Yes, some companies are still hiring and spending on Internet and mobile media services is still strong.

Direct marketing job growth during the first quarter expected to be less than 1%. Spending on direct marketing and promotions is projected to decline more than 1% during 2009, but spending on Internet and mobile media is projected to grow 9.1% this year.

According to an employment report released by the Direct Marketing Association in conjunction with Bernhart Associates Executive Search, 20.8% of companies plan to add staff during the first quarter. About 43.6% of companies that are hiring will be adding new positions.

The number of companies hiring is slightly greater than the number of companies planning to reduce staff during the first quarter. DMA employment report findings indicate that 20.1% of companies plan to reduce staff during the first quarter. Still, 47.9% of companies have a hiring freeze in place.

Spending related to direct marketing and promotions is projected to drop 1.3% during 2009, according to private equity investment firm Veronis Suhler Stevenson (VSS).

Internet and mobile media spending is expected to continue growing, but at a slower pace. According to VSS the rate of growth will decline from 11.6% during 2008 to 9.1% by the end of this year.

Despite the recession, media and communications related spending during 2009 can be expected to outpace the U.S. economic growth in general, according to VSS. Some media such as newspapers and consumer magazines are being more adversely affected by the economic downturn than new media


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