• by Larissa Faw , September 5, 2019

Broadhead is acquiring Kohnstamm Communications, a food-focused public relations agency, to expand the full-service ad agency's expertise in the consumer food space.

Financial terms of the deal were not disclosed.

Founded in 1991, Kohnstamm's roster of clients includes Honest Tea, Angie’s Boomchickapop, Happy Baby and Noosa Yoghurt.

For marketing purposes, The Kohnstamm brand will be maintained, although the agency’s staff will integrate with the broader Broadhead team at offices in the Minneapolis Warehouse District.

This deal was sparked when founder Josh Kohnstamm decided to sell, so he could focus his energies on business growth as well as offer more services to clients. Broadhead, at the same time, liked the synergy potential of the combination.

Kohnstamm clients will now have access to Broadhead’s full spectrum of creative and studio services, including video, design, digital, consumer insights, media planning/buying, analytics, package design and other strategic marketing resources.

Broadhead leaders realize this acquisition doesn't necessarily mean PR clients will automatically become agency clients, since most of these brands have prior relationships. Still, CEO Dean Broadhead believes there is a possibility of gaining additional work on a "client-by-client basis," he says.

"We’ll tell our broader story, but what’s right for clients will drive those decisions, not us. Where clients see value in expanded opportunities with the broader team to support their business objectives, we believe the integrated Kohnstamm/Broadhead team will be an attractive offering," he adds.