Credit Card Direct Mail Offers Drop by Over Two-Thirds

Online credit card offers provide far better deals than today's crop of direct mail pitches, according to a new market research study. Business intelligence experts and Mintel Comperemedia reviewed the contents and the quantity of credit card direct mail marketing campaigns over the past year. The researchers discovered a 71% drop in the number of new credit card offers mailed to American consumers, coupled with balance transfer deals requiring fees as high as 5%.

Andrew Davidson, spokesperson for Mintel Comperemedia, told reporters that uncertainty about new banking regulations and long lead times for direct mail campaigns forced many lenders to refocus credit card marketing on web-based offers. "In addition to adjusting their direct marketing strategy by sending less mail, they're raising rates and fees on existing and new cards," Davidson said. "The credit card offers we see today are undeniably less attractive than they were one year or even six months ago."

According to industry analysts, credit card marketers have shifted focus away from broad outreach and new customer acquisition strategies. Instead, many banks have restructured credit card agreements to generate higher finance charges and more profitable service fees.