Consulting Firms’ appetite for digital marketing and ad agencies increases M&A activity level in the industry.

The rules of the game have changed. Digitalization is part of this new consumer generations’ DNA. Businesses must adapt to the requirements this concept demands in order to provide an added value to their customers.

Furthermore, understanding clients’ minds and way of thinking has become one of the basic principles of success for every business. Digitalization and data analysis have made this possible by turning “Costumer Behavior” into something measurable.

Today, information is considered one of the most valuable currencies. Whoever has the means to get, and derive insights from it, will count with a significant advantage in the business world. This is the reason why consulting firms’ interest in acquiring Digital Marketing companies has grown.

What do Consulting Firms look for?

As these consulting firms are to big to adapt to this fast paced and ever changing environment, they are now focusing in absorbing growth niche companies in the likes of:

  • Businesses that work with software and tools specialized in the creation and execution of online targeted advertising.
  • Businesses specialized in the simplification of the marketing process through technology and automating tools, such as:
    • CRM technologies.
    • SEO tools.
    • Costumer analytics Software.
    • Loyalty Programs.
    • Social Media optimization tools.

The consulting firms’ race for the acquisition of Digital Marketing companies

Half of all acquirers of marketing services businesses in the past 4 years came from a non-traditional marketing background. In which consulting firms played a highly active role.

¿Why is this?

The origin of the interest of consulting firms in digital marketing services sums-up in 3 basic points:

  1. In a digital world, large consulting projects are increasingly framed around enhancing the customer experience.
  2. Consultancies are looking to build out their marketing-focused operations and gain port of the market share.
  3. As digital ad spending continues to grow, industry experts predict the trend of consultancies buying up agencies will only accelerate.

The full report “Consulting Firms’ appetite for digital marketing and ad agencies increases” provides more detailed information about the impact and characteristics of this phenomenon. Download it here below:


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