Report: Combined eMail Marketing to Reach $4.6 Billion by 2003

Combined expenditures of e-mail marketing products, services and email advertising will increase from $1 billion at year-end 2000, to $4.6 billion by 2003, an increase of 360%, according to a new report by eMarketer.

The eMail Marketing Report identifies e-mail as the current dominant Internet application, used more frequently than the World Wide Web.

The report states that permission-based commercial e-mail message volume will reach 64 billion by year-end 2000, accounting for 12% of total U.S. e-mail. Americans currently receive an average of 12.8 permission e-mail messages per week, and will have received an average total of 664 by year-end 2000. By 2003, the number of permission e-mails received per week will rise to 31, including those from companies/websites with whom they have relationships, opt-in lists, sponsored newsletters and discussion groups.

"Currently, the average e-mail user receives more than twice as many e-mail messages as he or she sends out," according to eMarketer Statsmaster Geoffrey Ramsey. "This is a result of the rapid adoption of permission-based e-mail marketing and the wide transmission of opt-in e-mail lists."

The report finds that 61% of medium to large-sized companies in the U.S. are currently implementing e-mail marketing into their business strategies to market towards prospects and/or customers. Among direct marketers, 62% presently have e-mail marketing capability, and an additional 23% said they are considering implementing e-mail marketing by year-end 2000.

Key Findings of the eMail Marketing Report: * By year-end 2000, there will be 96.6 million e-mail users aged 14 and older. This represents 43.8% of the total population of adults and teens.

* U.S. companies are projected to spend $496 million on e-mail advertising by year-end 2000, a 177% increase from 1999.

* Revenues from retention e-mail are predicted to grow to $2.4 billion by 2003, a 300% increase from year-end 2000.

* Permission-based commercial e-mail message volume will increase 60% by year-end 2000 to 64 billion, accounting for 12% of total volume.

* Spam (or unsolicited e-mail) accounts for 10% of total e-mail volume in the U.S.

eMarketer's eMail Marketing Report provides key statistics and information in 160 pages, filled with 230 charts and graphs aggregating research data from leading firms such as Forrester Research, Cyber Dialogue, ActivMedia Research, IMT Strategies, Gartner Group, Jupiter Communications, Arthur Anderson, among others.

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