Study: Data and tech assets now key focus in almost two-thirds of M&A deals in the past decade

Over the past decade, there has been a significant shift in the landscape of mergers and acquisitions (M&A) within the advertising agency sector. Data and technology assets have taken center stage in nearly two-thirds of the deals between 2016 and 2025. According to a comprehensive 10-year study by COMvergence, digital and data agencies accounted for 64% of all marketing communications acquisitions during this period, resulting in a substantial 57% increase in total staff across 845 tracked deals worldwide.

The study also highlighted a notable transformation in the focus of M&A activity, moving away from traditional scale-driven expansion towards investments in data and technology infrastructure. This shift has been accompanied by a decline in deal volume, with 127 transactions recorded in 2016 compared to just 55 in 2025, albeit showing a slight uptick from 52 deals in the previous year.

One of the most significant transactions in the industry’s history was Omnicom’s acquisition of IPG for $13.5 billion in late November, positioning itself as the world’s largest advertising holding company in terms of revenues. The deal, which included the integration of IPG’s Acxiom data platform with Omnicom’s Flywheel commerce unit, is expected to yield $1.5 billion in cost reductions by 2028—double the initial target—with 8,200 roles cut in 2025.

While mega-mergers like the Omnicom-IPG deal dominate headlines, smaller-scale acquisitions targeting niche expertise have also been prevalent. Publicis Groupe and Havas led all holding groups in 2025, each completing 11 acquisitions. Interestingly, two-thirds of the acquired firms had fewer than 100 employees, reflecting a strategic emphasis on specialized digital, customer relationship management (CRM), commerce, and artificial intelligence (AI) capabilities over sheer headcount growth.

For marketers and agencies, the implications of these M&A trends are significant. It is evident that holding companies are now fiercely competing on their data infrastructure rather than on creative scale. Agencies are strategically acquiring ad tech capabilities to gain greater control and independence from dominant players like Google and Amazon. As a result, brand partnerships with agencies are increasingly focused on leveraging first-party data assets and AI-driven targeting rather than relying solely on extensive creative networks.

However, this shift towards consolidation also poses risks for brands. As holding companies continue to absorb ad tech platforms and tighten control over data access, brands may face limited independent options and potentially higher costs in the long run. Marketers are advised to closely evaluate whether their agency partners’ data acquisitions actually translate into tangible improvements in campaign performance or if they merely replicate the walled garden environments that agencies claim to challenge.