Sure, Web videos are cool, but direct marketing can be loaded with incentives that actually get people into stores or onto websites to buy something. In today's rocky retail climate, that's more important than ever. The National Retail Federation projects that sales will be up just 2.2%, the lowest growth since 2003, and industry estimates see store traffic actually declining by as much as 9%.

What's the appeal of e-mail pitches? They're cheaper and quicker than print inserts or direct mail for reaching millions of shoppers. E-mail messages' average cost is about $7 per consumer response, vs. $48 per response for traditional direct mail. And retailers can craft and send a promotion in about half the time it would take to print and distribute traditional messages.

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