State of Direct Mail 2025
Scale Smarter
Brought to you by Lob and Comperemedia, a Mintel Company
Letter from the CEO
Marketing is evolving fast. Marketers—from executives down to early career hires—have access to a tremendous amount of data and automation. As exciting as this is, it comes with rising expectations. Leaders today aren’t just expected to drive growth, they must do it efficiently, continuously growing the impact of every dollar spent.
Direct mail is no different. While 79% of executives say direct mail is their best-performing channel, success isn’t guaranteed. The companies seeing the strongest ROI aren’t just sending more—they’re working smarter. The data shows they are:
- 32% more likely to use automation partners to scale efficiently.
- 163%+ more likely to have high-quality data for precise targeting.
- 35% more likely to track attribution with multi-touch models to measure impact.
The 2025 State of Direct Mail explores how marketers and operators are optimizing spend, refining targeting, and using technology to drive results. Read on to learn how leaders are making direct mail more personalized, integrated, and AI-powered than ever.
The path forward is clear—smarter strategies will define the next era of direct mail. Those who hone their approach now will see stronger performance for years to come.
Ryan Ferrier, CEO, Lob
Methodology
Lob and Comperemedia, a Mintel company, surveyed 405 business professionals from North American companies with 500+ employees, across industries including insurance, financial services, telecommunications, healthcare, automotive and more. Respondents were required to have direct input into their company’s direct mail.
- 200 Marketing Executives (Director level and above)
- 108 Operational Practitioners
- 97 Marketing Practitioners
Key takeaways
Industries are scaling direct mail despite rising costs.
Per company, respondents plan to double their direct mail volume. The average is expected to grow from 34.9M in 2024 to 67.3M this year.
Campaign targeting is only as good as customer data.
Nearly half of respondents struggle with outdated or incomplete customer data, making it harder to refine segmentation and increase engagement. While 1:1 mail remains a priority, gaps in data access or availability prevent many from executing at the highest level.
Direct mail still leads in ROI, but staying ahead requires smarter strategies.
79% of executives rank direct mail as the top-performing marketing channel (a slight decrease from 2024). As costs rise, marketers will need to make smart use of data, targeting and automation to optimize spend and drive the same impact.
Automation drives deeper personalization.
88% of marketers say personalized direct mail improves response rates, yet many still limit customization to basic details. The brands seeing the strongest ROI use automation software, allowing them to personalize based on loyalty data, behavior, and customer preferences.
High-ROI teams invest in better tech and data.
Those who report the highest direct mail ROI are far more likely to work with software automation partners, leverage high-quality data, and adopt advanced tracking like multi-touch attribution.
Manual processes are a growing liability for operational mail.
93% of operational mail leaders struggle to scale due to time-consuming workflows and inefficiencies. The reliance on manual efforts slows execution and increases costs over time.
Direct mail usage
Companies plan to double direct mail volume despite rising costs.
Despite regulatory changes and postage increases, respondents plan to double mail volume at the company level, from an average of 34.9M in 2024 to 67.3M in 2025. Key industries are driving this volume shift – Financial Services is increasing mail volumes, on average, from 48.3M to 69M, while Insurance is set to expand from 24.9M to 51.2M. This confidence in direct mail as a growth channel is reflected in budgets: 82% of marketing executives will increase their direct mail investment in 2025.
“We hope to increase our mail volume drastically over the next year.
Not only are we planning to mail more pieces, but we are also being more strategic with the types of mail pieces we are sending, frequency in our send, and who exactly we’re sending to.”
Andrew Burless, Marketing Specialist
Real estate consulting agency Kendall Partners
How much direct mail does your team send every year?
Average number of direct mail pieces sent per company, by industry
Base: 2024 N=250; 2025 N=405
Q: How much direct mail does your company send every year? (Please select one response.)
Financial Services predicts the largest increase in direct mail budgets for 2025.
“We’ll see an uptick in direct mail given new rules and regulations around digital outreach.
Mail has allowed us to be innovative—we can do very specific targeting and messaging with AI, helping clients control and maximize their budgets."
Roberto Moreno, VP Product & AI
Place
How has your company’s direct mail budget increased year over year?
Industry breakdown: Showing significant increases (more than 10% YoY)
N= 405
Q: How has your company’s 2025 allocation of marketing budget to direct mail specifically changed compared to 2024?
The best-performing formats by industry
What formats of direct mail does your company send?
Marketing executives n=200
Industry data N=405
Q: What formats of direct mail does your company send?
Direct mail performance
Direct mail remains a top ROI driver, but strategic shifts are necessary.
Direct mail continues to stand out for ROI, with 79% of executives ranking it as their best-performing channel (down from 84% in 2024). As external factors make mail programs increasingly costly, marketers must continue to refine their strategies – leveraging personalization, targeting and automation to ensure direct mail remains a high-impact driver within the marketing mix.
Respondents also believe in the power of direct to enhance their digital campaigns. 90% of marketing executives say direct mail enhances engagement and conversions across digital channels, boosting performance in email, social media, and online ads.
How does direct mail campaign performance compare to digital campaigns?
Direct mail commonly outperforms digital campaigns – across industries.
Base: Total N=405
Q: In your opinion, how does direct mail campaign performance compare to digital campaigns?
How has your company’s direct mail budget increased year over year?
Leaders are more likely to say direct mail enhances digital campaigns – likely because they track overall marketing spend and see the impact across channels. Practitioners, on the other hand, may not have the same centralized view, making it harder to measure direct mail’s full effect.
n=405
Q: To what degree, if at all, does direct mail enhance digital marketing campaigns?
“We have found that the key is to implement elements in your direct mail campaign that aid in attribution:
QR codes, consistent theme and messaging coordination with ads, and timing out campaigns with other efforts all contribute to putting together a cohesive experience for our prospects and customers."
Tom Hopkins, Director of Marketing
Pearly
Stronger direct mail ROI comes from better tech and data integration
Those who agree direct mail delivers the best ROI are 32% more likely to partner with an automation platform, 150%+ more likely to leverage high-quality data and 35% more likely to adopt advanced tracking like multi-touch attribution.
83% of automotive and ecommerce companies say direct mail delivers the best ROI.
Direct mail’s role in the marketing journey
All sectors say direct mail stands out for its support of the entire customer journey. Take the insurance industry: 63% of these companies use direct mail to reconnect with dormant digital leads and bring customers back into the fold.
Direct mail is more effective than digital for acquisition, retention, and reactivation.
Base: Total N= 405
Q: Take a moment to consider the following campaign goals. For each, please rate how direct mail’s effectiveness compares to digital channels.
“Direct mail serves as a valuable tool for nurturing existing customer relationships by offering exclusive discounts and personalized messages, ultimately strengthening customer loyalty and encouraging repeat business.
As a physical piece, it captures attention more effectively than digital channels alone, even when those channels are also utilized."
Lob Customer
Automotive Marketing-as-a Service provider
Direct mail + DIGITAL
Omnichannel effectiveness relies on integrated data and systems.
86%
of marketing executives agree direct mail performs
best when integrated with other channels.
Yet, many companies struggle to create a truly seamless customer experience. Why?
Only 46% leverage it for retargeting or trigger-based campaigns
25% of executives struggle to connect direct mail with their tech stack
55% find it particularly difficult to integrate with digital tracking tools
“Direct Mail effectively integrates with other marketing channels by delivering a tangible message to consumers at the precise moment they are most receptive to taking action.
This multi-channel approach allows consumers to engage with physical mailers while seamlessly transitioning to online platforms for further browsing and purchasing.”
Lob Customer
Automotive Marketing-as-a Service provider
What channels are integrated with your direct mail campaigns?
Email leads the way as the channel most tightly integrated with direct mail.
n=200
marketing executives
Q= What channels are integrated with your direct mail campaigns?
How does your organization integrate direct mail with digital channels?
n=200 marketing executives
Q= Which of the following best describes how your organization integrates direct mail with digital channels?
80% of healthcare companies integrate direct mail with email, while half use
personalized PURLs or QR codes to connect direct mail to digital experiences.
Real estate consulting company Kendall Partners integrated property-specific data into their campaigns, prioritizing high-value prospects with custom messaging that speaks directly to each recipient’s situation – increasing engagement and conversion rates.
“We have seen a good response from our “check style” letter campaign.
This mailer is custom to the specific property we are mailing to with an estimated cash offer for the house printed on a “check” image in the letter. This mail piece is sent to our top prioritized prospects, customized specifically to the property information we have.”
Andrew Burless, Marketing Specialist
Kendall Partners
Integrate direct mail
Integrate Lob with your marketing stack to automate campaigns, personalize mail at scale, and sync direct mail with digital channels. Get up and running in minutes with turnkey integrations – or build custom connections with our powerful APIs.
Direct mail personalization
Automation drives deeper personalization.
88% of marketers say personalized direct mail significantly improves response rates. But the best campaigns go beyond just customizing [first name, last name]. They use tailored text, imagery, maps, and offers to create a truly relevant experience. Brands that use a software automation partners actually have the tools to do this – leveraging loyalty data, browsing behavior, and communication preferences to make every piece of mail feel personal and ROI-positive.
Which of these direct mail elements do you personalize for recipients?
n=200 marketing executives
Q=Which of the following direct mail elements do you customize / personalize for recipients?
Which data attributes do you use to personalize your direct mail campaigns?
Marketing teams with direct mail automation platforms are much more likely to personalize mail using a variety of different data attributes.
Base Marketing Audiences Only: N=307
Q: Which of the following data attributes do you use to personalize your direct mail campaigns?
88% of marketing executives say that personalization in direct mail significantly improves response rates.
Direct mail targeting
Campaign targeting is only as good as customer data.
Marketers agree: targeting is critical to direct mail success. Leaders showing the best ROI in direct mail are 105% more likely to integrate direct mail with a customer data platform. Financial Services, in particular, is using advanced strategies like interest-based targeting and lookalike modeling to refine campaigns.
While more than half of marketers have enough audience data to meet their targeting goals, challenges remain. Only 12% of executives say their direct mail targeting matches the effectiveness of digital, and 48% are dealing with outdated or incomplete address data. The insight is clear: better data and tools are essential for improving targeting.
“Data is important to us.
A campaign might start with a Facebook ad, then lead to the website, and then we re-target with a postcard. Omnichannel is super important.”
Roberto Moreno, VP Product & AI
Brivity
Which direct mail targeting strategies do you use in your campaigns?
Base Marketing Audiences Only: N=200
Q: Which of the following direct mail targeting strategies do you use in your campaign?
The top data challenges marketers have with direct mail
Base Marketing Audiences Only: N=200
Q: Which of the following challenges have you encountered with your company’s direct mail data? (Please select all that apply.)
Brivity.com, a real estate technology company, built an AI-enabled direct mail platform that allows customers to precisely target using enhanced data sets. Their approach ensures that mailers are relevant to each recipient—whether they’re a potential homebuyer, a mortgage candidate, or a current homeowner.
“If you send a postcard and we just bought a house, we would know that,
says Roberto Moreno, VP of Product & AI. By leveraging AI and predictive analytics, Brivity refines its targeting, ensuring marketing spend is directed toward the right audience at the right time.
What is the quality of audience data in your database?
Marketers with automation partners face fewer challenges with audience data.
Base Marketing Audiences Only: N=307
Q: Which of the following best describe the quality of audience data in your database when it comes to your targeting goals with direct mail?
Smarter Targeting with Lob Audience
Reach the right customers with precision. Lob Audience helps you expand your mailing lists with high-quality data, so your direct mail lands in front of the people most likely to convert.
Operational direct mail
Operational mail is stuck in manual mode.
Direct mail operators are under increasing pressure as campaign volumes rise, but many still rely on manual processes that slow them down. 93% of operations executives struggle to keep up with demand, and 92% say manual efforts cause delays. Yet, despite these challenges, only 50% of companies have adopted automation tools, leaving the rest to navigate bottlenecks and inefficiencies with outdated workflows.
- Timely delivery while compliant: 66% of operations executives cite delivery timing to avoid compliance risks as a major challenge.
- Tracking visibility gaps: Over half of operations leaders report only partial visibility into delivery status.
How challenging is it to manage high-volume mail with your current process?
Base Operational Audiences Only: N=98
Q: How challenging is it for your organization to manage high-volume direct mail campaigns with your current processes?
What is the one area of improvement you’d like to see most in operations?
Operators see greater visibility as key to optimizing spend, which in turn helps reduce printing costs and improve ROI.
Base Operational Audiences Only: N=98
Q: What is the one area of improvement you would like to see most in your direct mail operations?
What are your top concerns about compliance in direct mail?
Base Operational Audience Only: N=98
Q: What are the top 3 concerns you have when it comes to compliance in direct mail execution?
Printing comes with its own set of hurdles.
Rising costs, poor vendor communication, and logistical slowdowns are dragging down campaigns. To keep things moving, marketers need stronger collaboration and smarter technology to streamline the print process.
What are the top challenges that you encounter with print vendors in your direct mail campaigns?
Base Marketing Audiences Only: N=307
Q: What are the top 3 challenges that you encounter with print vendors in your direct mail campaigns?
“By utilizing an automated platform for direct mail, we streamline the production process, ensuring rapid and accurate movement of mailers from creation and proofing to print.
Lob Customer
Automotive Marketing-as-a-Service Provider
Direct mail measurement
Direct mail is measurable, but attribution is still a challenge.
Direct mail’s measurability has evolved, with marketers using advanced attribution methods to understand campaign performance. Seven in 10 are using this data to optimize future campaigns based on the past customer performance data.
While measurability has improved, many marketers still struggle to attribute direct mail success. Half of marketers felt they received inconsistent or incomplete data from direct mail campaigns. 58% of healthcare marketers say they struggle to attribute results solely to direct mail.
How does your company measure response from direct mail?
Base: Total N= 405
Q: Which of the following ways do you measure response from your direct mail campaigns?
57% of operations leaders said limited access to real-time performance data is a major obstacle to tracking direct mail.
How does your company measure attribution for direct mail?
Base: Total N= 405
Q: Which of the following methods does your company use to measure attribution for your direct mail campaigns?
Respondents rely on cross-channel attribution and consumer behavior data to measure impact.
The top obstacles when it comes to tracking and measuring direct mail
Base: Total N= 405
Q: What are the top 3 challenges when it comes to tracking and measuring direct mail campaigns?
57% of operations leaders said limited access to real-time performance data is a major obstacle to tracking direct mail.
Automation + AI
The future of direct mail is automated, intelligent, and scalable.
Automation is the pathway to both scaling direct mail and delivering better ROI through lower costs and stronger results. Yet, only half of respondents are leveraging automation tools or software, leaving many vulnerable to inefficiencies and delays.
AI is also emerging as a critical piece of the puzzle. Marketers expect AI to play an even bigger role in both direct mail and their broader marketing strategy. 89% of Financial services companies plan to increase their AI investment.
92% of marketers predict increased use of AI and automation over the next five years.
The majority of leaders predict AI will skyrocket over the next five years
Base: Total N= 405
Q: How do you predict that your company's use of Ai and/or automation for marketing campaigns will shift in the next five years?
64% of marketing executives agree you cannot execute effective direct mail campaigns without the support
of AI and/or automation.
Automate Direct Mail with Lob
From creation to delivery, Lob automates your direct mail so you can scale campaigns effortlessly. No batch minimums, no bottlenecks – just fast, seamless execution.
More mail, more impact – if you have the right strategy.
With volumes rising, it’s time to make direct mail work smarter by embracing better targeting, deeper personalization, and automation.
Marketers who integrate these strategies aren’t just keeping up, they’re winning. They’re creating more relevant customer experiences, eliminating operational bottlenecks, and driving stronger ROI.
The good news? You don’t have to overhaul everything overnight. Small, strategic changes, like automating workflows or refining targeting, can make a massive impact.
Here’s where to focus:
Integrate your tech stack
The best campaigns are powered by connected data. Marketers who integrate CRMs, automation tools, and audience data platforms unlock next-level targeting, personalization, and efficiency.
Unite digital + direct mail
Nothing in marketing happens in a silo. An omnichannel strategy that aligns direct mail with digital efforts, from planning to execution to measurement, creates a seamless customer experience and improves performance.
Personalize like a pro
Basic personalization isn’t enough. Go beyond just adding a customer’s name. Leverage loyalty data, browsing behavior, and communication preferences to make direct mail feel truly relevant and impactful.
“Personalization is key.
Super important. Standing out is important too. Go look at your mail, and if you get a lot of marketing messages, which do you tend to look at?
Roberto Moreno, VP Product & AI
Brivity
All in on automation
Automation isn’t a future trend – it’s already here. 92% of marketing leaders say they expect AI and automation to grow over the next five years. Now is the time to optimize your data and workflows to stay ahead of the AI-powered marketing shift.
Hit a bullseye with targeting
Better targeting means better results. Leading marketers are moving beyond broad audience segments and investing in interest-based targeting and lookalike modeling to reach the right customers at the right time.
Partner up
The best campaigns are powered by connected data. Marketers who integrate CRMs, automation tools, and audience data platforms unlock next-level targeting, personalization, and efficiency.
“Iterate, iterate, iterate.
Start testing small, and testing everything—different formats, different tones. What resonates with your audience might surprise you. Once you find success, double down and scale what really works."
Tom Hopkins, Director of Marketing
Pearly
Direct mail has never been more powerful, but only if it’s smart, efficient, and integrated.
Get started today with Lob.
Lob automates and personalizes direct mail at any scale, bringing the speed and features companies expect from their digital channels to direct mail for the first time. From creation to carbon neutral printing and delivery, Lob makes it easy to integrate, send and measure every piece. Over 12,000 businesses trust Lob to transform their direct mail.
Learn more at Lob.com
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Comperemedia is an industry-leading competitive marketing intelligence agency serving the United States and Canada. A Mintel Company, Comperemedia provides solutions for decision-makers in the marketing industry with world-class marketing intelligence technology, expert insights, and custom consulting services. Visit welcome.comperemedia.com for more information.
Read about the latest industry news and our competitive marketing insights on the Comperemedia Bolder Thinking Blog. Follow Comperemedia on Twitter and LinkedIn.
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