Chicago - Mintel Comperemedia, a service that provides direct marketing competitive intelligence, reports that direct mail is on the rise. In Q1 2010, 6.1 billion direct mail pieces* were received by US consumers, up from 5.3 billion in Q4 2009, representing a significant 16% increase. The insurance and credit card industries are the strongest drivers of this growth.

"A seasonal push for life and auto insurance and a more confident credit card industry are fueling this increase in mail," says Andrew Davidson, SVP of Mintel Comperemedia. "Offers for new credit cards have increased substantially compared to last year as the economy recovers and fewer customers default on their cards."

Credit card direct mail reached 1.2 billion pieces in Q1 2010 a 36% increase over the 951 million mail pieces during the same time frame last year. Meanwhile, insurance mail grew by a modest 8% from Q1 2009 to Q1 2010, but makes up a staggering 2.6 billion pieces of mail. Mintel Comperemedia tracks offers for new products and services as well as customer communications.

Direct mail volumes in some sectors, including credit cards and mortgages, declined rapidly as the recession intensified. However, insurance and telecommunications were two sectors that showed resilience during this challenging time. As a result, the make-up of the mailbox has changed dramatically over the past two years.

Prior to the recession, the top three sectors were credit cards, insurance, and mortgage & loans. Now, insurance mailings are leading the pack by a large margin, accounting for 43% of all direct mail efforts tracked by Mintel Comperemedia and out mailing credit cards by 2 to 1 in Q1 2010. Telecommunications has replaced mortgage & loans in the top three as they are offering campaigns that promote bundled services for TV, Internet and phone.

"While it is unlikely that we will get back to the mailing levels during the boom years, there is a good deal to be optimistic about," adds Andrew Davidson. "The insurance and credit card industries still have room for growth as they expand their marketing efforts and, as the recovery gains momentum, we can once again anticipate growth in the mortgage & loans sector."