• by Richard Whitman , Columnist, September 5, 2018

Well, here’s a diversification move for you.

A credit union is buying an ad agency. Actually, it is already a done deal. PenFed Credit Union has acquired Washington area ad shop WHITE64.

And it’s not just a case of a client effectively buying itself an in-house agency, although that’s partly the case — PenFed has been the agency’s largest client since 2014. In fact, the agency led a rebranding from Pentagon Federal Credit Union to PenFed, and launched the PenFed “Great Rates Across America” campaign. The shop has provided both creative and media services for the firm, billed as the second largest federal credit union with over $23 billion in assets.

But the agreement calls for WHITE64 to retain its name and operate as an autonomous operating unit. It will retain its other current clients, which include CFP Board (a trade group for financial planners), Washington Metro, Koons Automotive Group, Luray Caverns, Bio Industries, Hilton, Visit Fairfax, Wolf Trap and Navy Mutual insurance company among others.

It appears to be business as usual for the agency, which will also continue to pursue new business opportunities just as it always has. Agency president Matt White will continue in that role.

“Matt White and his team at WHITE64 have fueled PenFed’s growth since our rebranding in 2014,” said PenFed President and CEO James Schenck. “I see that value as not only for us, but for WHITE64’s entire roster of clients. This acquisition is designed to empower the agency to offer its best-in-class marketing services to national, state and local clients, including other credit unions. We’re thrilled to have WHITE64 officially become part of the PenFed family.”

Added White: “This partnership is all about continuing to build upon the winning value proposition to our existing and new clients by being able to deliver full-service offerings and results across all media platforms in the days and years ahead.”

White noted that the acquisition will “help us provide our current clients with a greater array of services while also helping us attain the scale we need to attract new clients who are seeking a full-service agency with a wide range of integrated capabilities.” Specifically, the agency plans to bulk up in the areas of data, research and analytics, which as we all know are services of increasing importance to clients.