Marketing budgets in Q2 2025 grew at their fastest rate in over a year, with a net balance of +5.5% according to the latest IPA Bellwether Report. After months of uncertainty, marketers are putting money back on the tableābut with a clear focus: driving revenue.
And itās not flashy TV or brand-building fluff thatās leading the charge. The real growth? Itās in sales promotions and direct marketingāthe channels that get results, fast.
š„ Whatās Fuelled the Growth?
1. Sales Promotions Break Records
Promotional budgets surged to a record highāfrom +8.0% in Q1 to +9.4% in Q2. That tells you everything: when the pressureās on, brands want immediate traction, and price-led campaigns deliver it.
2. Direct Marketing Still Delivers
Direct marketing spend also crept up againāfrom +9.0% to +9.1%. That marks ten consecutive quarters of growth. While other channels wobble, direct marketing continues to prove its worthāquietly dependable and consistently effective.
šÆ Key Takeaway: One-to-One Channels Are Taking the Crown
The report makes it crystal clear: when times are tough, marketers turn to what works. One-to-one channels like direct mail, email, and SMS are outperforming because theyāre measurable, personal, and drive action.
Direct marketing isnāt just survivingāitās thriving. And with AI, automation, and better data, it’s more powerful than ever.
š§ Why This Mattersāand What You Should Do
š§ Final Thought
The rebound in budgets is good newsābut the shift in how money is being spent is even more telling. Brands are becoming more selective. They want certainty, speed, and resultsāand direct marketing is giving them exactly that.
The message? In a cautious climate, one-to-one channels reign supreme. If youāre not already doubling down on personalised, accountable comms, nowās the time to rethink your mix.
Because when the going gets toughā¦ direct marketing gets going.
