Managing constant uncertainty & change M&A Insider | October 2025
Many of the issues that plagued performance in 2024 have continued this year - unexpected client losses, pricing challenges, reduced/delayed spending, higher costs and uncertain pipelines.
Economic uncertainty and rapid technological advancements with AI, have led to additional pressures on agencies to provide better value for money to their clients.
Many agencies are struggling to re-invent themselves, or even agree on a plan to evolve their businesses in the age of AI.
The challenge lies in deciding on an AI strategy, where/how to invest, finding talent and enacting change with organisations to capitalise on the opportunity.
Many of the answers to future value lie in what larger groups and buyers are acquiring and looking for:
AI native talent
IP / bespoke tools to improve workflows and value to clients
Understand how new technologies /platforms can be used and optimised
Ability to solve complex problems and produce effective solutions for clients
Deep and trusted client relationships
We are seeing particularly high M&A demand for companies with expertise in the new generation of technology platforms that unify data, analytics and AI.
Clients are looking for support with data migration, system integration and implementation, to help them optimise their CRM / marketing effectiveness.
Also there is continued demand for data driven performance marketing - optimised advertising spend and return on investment.
M&A deal activity is still remaining steady, with a combination of larger deals to consolidate / merge groups, and smaller bolt on acquisition to drive growth and add capabilities.
Get in touch if you want to understand the value of your business today, how to evolve and improve the attractiveness of your business to clients and buyers.
Industry News
M&A Deals
Open AI acquires product development platform Statsig for $1.1bn
Atlassian acquires DX, a developer productivity platform, for $1bn
GAIN Drives CRO Innovation with Acquisition of AI Specialist Sitewiz
Gravity Global acquires US performance agency Marketing Doctor
383 Group and LION+MASON merge to launch a new proposition for AI-driven digital product innovation
News
Accenture plans on ‘exiting’ staff who can’t be reskilled on AI amid restructuring strategy
Layoffs are about to hit Martin Sorrell's S4 Capital advertising group
WPP’s ‘unacceptable’ results show scale of turnaround challenge
WPP cuts out the agency to help brands create their own ads with AI
bluhalo io News
Your free indicative business valuation: bluhalo io valuation tool launched
Building Future-Ready Agency Models. Joanne Reid & Spencer Gallagher join PAAN (Pan African Agency Network) for a webinar on the 26th November. Register here: https://paan.africa/events
Recommendations
Book
Shift - AI for Agencies by Jules Love
Podcast
Podcast Walking the Golden Path to Value: Aligning AI Readiness and Human Readiness
Playlist
