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Email marketing in the UK is set to enjoy strong growth this year thanks to rising demand and a move to third party solutions rather than in-house systems.

Researchers from E-consultancy believe the UK market will grow 25 per cent from £120m in 2004 to £148m this year. This growth is despite price pressure on basic delivery services.

Strong demand from eccommerce firms, media and publishing, financial services, technology and travel and leisure companies will help grow the market. Although there is price pressure on basic services, providers are increasingly offering additional services like strategy and copy writing.

The number of players is expected to shrink this year as US firms look for acquisiton targets and existing European players decide to consolidate rather than compete in an increasingly commoditised market.

More details from E-consultancy here.
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