Agency & Marketing M&A Activity
Agencies & Marketing M&A by Year (In Billions of USD)
Total Deal Size in ($B) # of Deals
710
603
Annualized
Low marketing spending and a decline in M&A activity were notable in 2023 as global M&A volume fell to the lowest level since 2004. However, despite shifting market demands and consumer preferences, the industry shows resilience, and these lows could indicate pent-up demand for deals in 2024. Key trends: • Surge in Total Deal Value: Total deal value experienced a surge in 2024 following significant declines in 2022 and 2023. This increase was driven by a sharp rise in large transactions during Q2 2024. As the marketing industry grows more complex, mergers and acquisitions have become strategic imperatives for marketing firms navigating this intricate landscape. • Increased Martech Activity: Despite a decline in new product launches and feature updates in 2023, the use of AI has led to an upswing in 2024, resulting in significant MarTech M&A transactions. • Non-Traditional Buyers: Companies like publishers, sports leagues, and digital media businesses are entering the M&A market seeking complementary agency services.
39.5
427
421
414
213
9.3
54.4
37.0
6.4
20.3
2020
2021
2022
2023
YTD 2024
M&A Volume by Quarter (In Billions of USD)
Total Deal Size in ($B) # of Deals
197
168 164 173
154
148
130
124
120
120
165
98 97 102 108 105
99
81
2.1 2.0 2.3 2.9 9.4 9.7 6.3 28.7 6.5 8.9 1.7 20.0 3.2 1.0 0.5 1.6 3.9 16.4
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2020 2021 2022 2023 2024
Source: Pitchbook as of June 2024. Data consists of transactions where deal value was disclosed.
20
Made with FlippingBook - Share PDF online