DM Mergers and Acquisitions Rise in First Half
Merger and acquisition activity in the direct marketing industry increased exponentially in the first half of 2007, according to Petsky Prunier, an investment bank.
In all, 208 transactions totaling $34 billion in aggregate deal value took place during the first half. Total deal value increased 134% over the same period last year.
According to Petsky, activity within the interactive segment reached a pinnacle, trimming the significant gap between interactive marketing expenditures and online media consumption. Currently, approximately 10% of total marketing expenditures are placed towards interactive channels even though about one-third of total media consumption occurs online.
In mid-April, Google took action and was the high bidder at the auction for Doubleclick. Yahoo followed suit with its deal for Right Media. Less than three weeks later, Microsoft purchased advertising network and agency AQuantive. After seeing Microsoft’s deal and Publicis’ acquisition of Digitas in late 2006, agency holding company WPP announced its acquisition of 24/7 Real Media, reported Petsky.
