Accenture Acquires Karmarama to Expand Digital Marketing Services
Accenture plc (NYSE: ACN) has purchased digital marketing firm Karmarama from Phoenix Equity Partners. Financial terms were not disclosed. The acquisition is part of Accenture’s strategy to expand the company’s digital marketing presence globally.
Karmarama, based in London and founded in 2000, provides digital advertising services for businesses. Some of the target’s notable clients include Honda and Unilever. Phoenix Equity invested in the target in 2011. Karmarama will join the Accenture Interactive division, which includes Accenture Digital.
“We believe this is a genuinely game changing moment for clients and for our team, who will now have even greater opportunity to work with leading global brands across international markets,” says Karmarama CEO Ben Bilboul.
Accenture has been growing in the digital marketing sector through acquisitions. The company previously acquired digital agencies AD.Dialeto in Brazil; Brightstep of Sweden; Chaotic Moon, located in Austin, Texas; IMJ Corp., based in Japan; and Hong Kong-based Pacific Link.
With the retail landscape changing, as consumers shop more online, the services of digital marketing firms are rising in demand. Criteo SA (Nasdaq: CRTO) bought Hooklogic, which help companies position ads on a network of retail websites; Perficient Inc. (Nasdaq: PRFT) acquired digital marketing agency Enlighten. Trans World Entertainment Corp. (Nasdaq: TWMC), the owner of the FYE DVD and CD retail chain, acquired digital marketing and consulting firm Etailz Inc.; Web.com Group Inc. (Nasdaq: WEB) bought digital marketer Yodle; Xaxis, the operating company of communications and digital marketing firm WPP plc, acquired Triad Retail Media, a firm creates ads for retailers to sell on their e-commerce sites.