We have released a summary of our
detailed review of data analytics consulting M&A and investor trends for
owners of businesses across the knowledge economy.
At the core of the Fourth Industrial
Revolution is the fusion of big data, advanced analytics and new physical
technologies. The key to business success in the new digital age is no longer
being able to simply use data to measure current and past performance. It is
being able to make predictions about the future and quickly prescribe
recommended strategies that can enrich decision making.
From a delivery model perspective, there is pressure on knowledge-intensive services firms to enhance their consulting offering with new data analytics solutions. This same pressure is being felt by consulting firms’ clients, who look to their advisers for assistance in innovating and realizing competitive advantages from new data analytics tools. Across the space in 2018, we found that buyers focused on acquisition targets with proprietary platforms, leverageable IP and managed services solutions.
Buyers expect to complete 5 acquisitions over the next 2 to 3 years
Private equity expect to acquire 75% more businesses than strategic buyers
The optimum turnover size for an acquisition rose 18% since 2016
Strong demand for artificial intelligence, data analytics and Internet of Things capabilities
The Knowledge Economy Global Buyers Report analyzes the findings of our fifth comprehensive independent survey of global strategic buyers and private equity investors acquiring businesses across the knowledge economy. The report provides exclusive insights into current M&A trends among buyers that acquire knowledge-intensive services businesses across five segments: management consulting, IT services, media agencies, engineering consulting and human resources.
Welcome back to Equiteq Edge. A new year brings new opportunities for a fresh start. So, as you return to work after an indulgent festive break, we thought we’d provide a quick summary of some of the important things we’ve learnt over the course of 2016 – and that you can apply in the year ahead.
Dentsu to acquire majority stake in Merkle, gaining market-leading capabilities in customer-focused data analytics & performance marketing
In our 2016 Global Consulting M&A Report, we observed that last year’s media buyers were dominated by a few large players, with one of the key drivers for acquisitions being their motivation to keep ahead of the competition within the context of a rapidly changing industry. This industry transformation is being led by the digital disruption of business models, particularly as it relates to how companies interact with their customers.
This week, Dentsu Aegis Network, the international arm of one of last year’s top three media buyers, announced their acquisition of a majority stake in Merkle. Merkle is considered to be the largest independent U.S.-based agency focused on customer relationship management and search, managing a vast dataset of first-party customer records. Merkle is also one of Google’s largest agency partners and was one of the first agencies to offer custom audience data relating to Facebook.