The number of UK companies outsourcing their entire campaign management process, except for the creative concept and design phases, has increased by three per cent over the last two years and now stands at 42 per cent.
This was the conclusion of research carried out by CDMS, whose survey took in senior marketers in the top 1,000 UK companies. The outsourcing figure for retailers was 45 per cent – a relatively small one per cent increase.
It is thought that this trend will not let up in pace over the next few years, with projected figures suggesting that 52 per cent of all companies will use a third party to orchestrate the majority of their direct marketing campaigns by 2008.
According to Retail Bulletin, Ian Hubbard of CDMS said: “The marketing department has historically been at the bottom of the pile when it comes to large-scale technology investment, and with the technological advances that are occurring in the marketing space, many companies need to access cutting-edge technology through an outsourced provider.”
A lack of sufficient in-house technical support provided by IT departments, coupled with flat consumer spending conditions, is thought to be a leading factor behind this increased trend for campaign outsourcing.