Surge in direct marketing spend as consumer confidence grows
According to the latest IPA Bellwether Report, UK companies increased their marketing budgets at the highest rate since 2014, with direct marketing one of the strongest growth areas, behind events. “Budgets for direct marketing have increased for the past six quarters, as companies aim to target prospects more precisely, and this trend looks set to continue,” comments Mike Rigby, Managing Director of trade database supplier WindowBASE.
The quarterly report, researched by S&P Global on behalf of the Institute of Practitioners in Advertising (IPA), surveys businesses on their marketing spend and financial confidence. The overall spend on marketing by those surveyed was one of the strongest upward revisions in nearly 25 years.
“This is an extremely positive sign for the building and construction industry – especially when looked at alongside GfK’s latest Consumer Confidence Index which increased by one point in July to -13,” explains Mike. “The long-running report is a barometer of how UK consumers feel on crucial economic topics, and their outlook for the future. Overall scores have improved dramatically from the lows after Liz Truss’s disastrous Mini Budget. The Major Purchase Index – one of seven measures that make up the overall Index – showed a 7-point uptick from last month to -16, showing that consumers are more confident about spending on big ticket items (such as houses, cars, or larger home improvements such as windows and doors) in the next 12 months. This is 16 points higher than July last year.”
Mike continues: “The tide is turning for the economy as inflation falls and an interest rate reduction seems imminent. It’s time for companies and marketers to make the most of these favourable conditions and get ahead of the competition by investing in effective marketing. And direct marketing is one of the most effective and precisely targeted forms – but only if you’re using up-to-date data.”
For more on accurate and reliable data including WindowBASE (window fabricators and installers) visit windowbase.co.uk.
