The UK’s direct marketing industry generates £205 billion in sales annually in the UK, according to the findings of new research published by the UK Direct Marketing Association (DMA).

The DMA’s inaugural Value of DM Report, which provides a detailed picture of the total financial contribution the direct marketing industry makes to UK commerce, cites the retail sector as the biggest beneficiary of direct marketing. More than £102 billion in sales are attributed to direct marketing – 36 per cent of the £285 billion in retail sales recorded by the British Retail Consortium in 2009. Direct marketing is also responsible for nearly £76 billion in revenue for the consumer financial services sector. 

The Value of DM Report also addresses the economic worth of the direct marketing industry aside from the sales it generates. UK companies spend £43.3 billion on direct marketing activities every year; nearly £17 billion is earned by workers employed within the industry; and companies spend an additional £12.5 billion on employee overheads. More than 1.1 million UK workers are employed by or are indirectly connected with the direct marketing industry. 

Commenting on the findings of the Value of DM Report, Chris Combemale (pictured), executive director of the UK DMA, said: "At a time of tremendous economic turmoil, the Value of DM Report shows that direct marketing has been a consistently solid sales generator for businesses throughout all sectors. 

"As well as the financial contribution direct marketing makes to UK PLC, the report also shows the value it adds to people’s lives through employment and empowering them as consumers."

Elsewhere in the Value of DM Report, the findings reveal the spread of expenditure on the spectrum of direct marketing channels. More than 30 per cent of direct marketing budgets are now allocated to online and email, with catalogues and direct mail accounting for 28 per cent and 26 per cent respectively.

The Value of DM Report can be downloaded here: www.dma.org.uk/research