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Expect More Data in 2013

By: Dwayne W. Waite Jr.

The marketing and advertising industry is always changing. Some changes appear so fast that it is hard to predict what major activity will rise above the rest, or what new and fresh campaign will lead as an example of good advertising. But like most trends and paradigm shifts, there is usually an event or piece of data that can give us a leg up in seeing what to expect.

Yes, the marketing and advertising industry has a tell. What is it?

Mergers and Acquisitions.

The investment bank Jordan, Edmiston Group Inc. (JEGI) released a report about mergers and acquisitions in the media, information, marketing and technology sectors in 2012. The report, summarized by Scott Brinker, shows that the money spent and value of marketing technology was no joke. In Marketing Services and Technology alone there were 485 deals, totaling a staggering $20.5 billion dollars. Out of the top 30 largest deals of the year, the marketing services and technology sector accounted for nine of them.

The report also noted that 24 of the 30 largest acquisitions were led by strategic company acquirers, while the other six were led by private equity buyers. This tidbit of information is important because these groups do not just get involved in M&A to streamline revenue, or cut costs. These groups look to find businesses and services that are growing and can produce a worthwhile return on investment over a long period of time. This means that marketing services and technology will start to become ever more active in the regular business environment. Look for more integrated environments where marketing and IT can actually be on the same page. Look for marketing departments that no longer have to ask for special software patches because IT didn't give them room to work.

The marketing data and technology environment is about to get really exciting. Let's see what moves in 2013.

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About the Author

Dwayne W. Waite Jr. is partner and principal at JDW: The Charlotte Agency, a marketing and advertising shop in Charlotte, NC. He enjoys consumer behavior, economics, and football.

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