M&A transactions in the marcom agency space spiraled downward by 37% in 2024 to just 52 deals compared to 82 deals in 2023, according to a just-out analysis by agency research firm COMvergence.     

The report looked at digital, data, media and creative transactions from 2016 to 2024 and found a total of 786 acquisitions. Companies covered in the assessment include the “Big Six” advertising/marketing holding companies (Publicis, WPP, Omnicom, Interpublic, Havas and Dentsu), as well as leading global management consultancies (Accenture, Deloitte, Capgmini, PwC, EY, KPMG, McKinsey) and independent and emerging holding companies such as Stagwell, S4 Capital, Ascential, Hakuhodo and others.   

Highlights from last year’s activity:

•  Total Acquisitions: 52 deals, showing a slowdown in M&A activity compared to the peak years of 2016 and 2017, but consistent with 2019 levels.   

        • Staff Acquired: 13,324 employees, maintaining levels from 2023, though the average headcount per acquisition has slightly decreased to 833 from 868 in 2023.  

        • Accenture and Publicis Groupe lead with a clear focus on acquiring digital and datacentric businesses to enhance service offerings. 

        • Accenture’s acquisition of Navisite (cloud consulting) and Logic (retail tech) strengthens its position in digital transformation, adding over 1,500 employees, primarily in North America and EMEA.  

        • Publicis Groupe, with 7 deals, is expanding its footprint globally through acquisitions in digital commerce and media, boosting its digital and media capabilities in North America. Publicis’ acquisition of Mars United Commerce is one of the standout deals, adding significant headcount in the connected commerce space.  

        • Stagwell Global stands out for its diverse acquisition strategy, including digital intelligence (UNICEPTA) and media (PROS). Leading in deal volume with 10 acquisitions, Stagwell’s acquired revenue impact ($141M) shows a focus on small, high growth assets.  

       • While Stagwell leads in volume across all agency segments, Accenture leads in revenue efficiency per acquisition. Management consultancies have notably scaled back, with only 12 acquisitions in 2024, signaling a deceleration in activity.   

       • Havas continues its more localized approach, focusing on creative and media acquisitions such as Liquid (e-commerce) and Hotglue (media).   

Other Big 6 holding companies remained relatively quiet last year on the M&A front.   

IPG completed two deals: the acquisition of U.S.-based real-time e-commerce intelligence platform Intelligence Node and a smaller acquisition in the Philippines, Xiklab Digital, a digital marketing consultancy.  

Omnicom also executed two deals— digital advisory firm LeapPoint and UK-based post-production studio Coffee & TV. WPP and Dentsu each made a single acquisition. The company’s acquisition of IPG is pending and would counted in this year’s round-up assuming the deal is completed in the second of the year as expected.   

WPP acquired New Commercial Arts (NCA), strengthening its creative and customer experience capabilities.   

Dentsu, while historically leading in deal volume with 111 acquisitions since 2016, continues to slow its M&A activity, recording just one acquisition in 2024, acquiring only Mitsue-Links in Japan, a specialist in digital content and communication design.  

The report also notes that Since 2016, North America has remained the dominant region for acquisitions, contributing nearly 59% of global revenue and employing the largest share of talent. EMEA continues to drive the highest volume of acquisitions, focusing on smaller-scale deals.  

E-commerce acquisitions have accelerated since 2021, with Accenture making seven deals (between 2021 and 2022) and adding 950 employees. 

Publicis Groupe and WPP were also major acquirers in the sector. Publicis added over 1,000 employees, including through its acquisition of Mars United Commerce. WPP added 870 employees across three deals.  

Omnicom made a major move in 2023, buying Flywheel Digital (2,570 employees), the largest M&A deal in the history of the firm.   

Accenture reasserted its presence with five deals totaling 940 employees, reflecting a continued consultancy-driven push into e-commerce.   

“The sustained high volume of acquisitions underscores the industry-wide recognition that ecommerce is a core driver of growth and competitive advantage,” the report stated.  

Since 2016, management consultancies have acquired 191 agencies, nearly a quarter (24%) of all M&A activity, which highlights their strategic pivot toward Digital, Data, Creative, and Media capabilities. The report notes that Accenture has been at the forefront of this transformation, responsible for half of all consultancy led acquisitions. 

 
The chart above provided by COMvergence.