The popularity of mobile devices and social media has boosted the value of digital marketing agencies. While traditional agencies produce marketing and advertising campaigns for print, radio and television, digital agencies develop campaigns for websites, social media and mobile devices. The sub-sector has been active on the M&A front, with several strategic buyers on the prowl for targets.
Among the strategic acquirers buying digital marketers are: IBM (NYSE: IBM), Web.com Group Inc. (Nasdaq: WEB) and Accenture (NYSE: CAN). Buyers have been looking both in the U.S. and internationally for deals.