Direct mail is not dead, but it's changing. To remain cost-effective, it's become much more targeted and is now integrated with digital media.
Direct mailers also are testing the use of QR Codes to link their ink-on-paper messages to videos, personalized landing pages and other digital content. If you've always used direct mail, don't jump ship without testing. If you've never used direct mail, consider whether or not it may be appropriate.
Even Google has recently used direct mail to reach small and medium size businesses. And insurance and credit card marketers continue using direct mail as a mainstay of their media mix. I repeat: test, test, test.