WPP buys majority stake in Acceleration
24 July 2012
WPP Digital has acquired a majority stake in Acceleration Holdings in Guernsey and Acceleration eMarketing in South Africa, the latest in a string of acquisitions.
Founded in 1999, Acceleration is a marketing technology solutions group. It has offices in Bueno Aires, Cape Town, Dubai, Johannesburg, London and New York, and employs 148 marketing technologists.
Acceleration’s services include the implementation of digital marketing and publishing technologies. Its clients include Celebrity Cruises, The Economist, South African Tourism, Pandora and UEFA. Acceleration’s revenues for the year ended December 31, 2011, were $16.8m.
At the same time, WPP has also acquired German-based digital agency KKLD, which specialises in brand and digital communication strategies, creative solutions, ecommerce and social media.
Both investments are part of WPP’s strategy of investing in digital capabilities. They follow a string of recent acquisitions including Finnish digital agency Activeark, Brazilian digital agency Foster, French digital data agency Predictys and digital shop AKQA.
WPP’s revenues from digital currently total almost $4.8bn, more than 30% of the group’s total revenue of $16bn. In the next five years, WPP has set a target of 35-40% of revenue derived from digital.
Financial details of the acquisitions were not disclosed.
Jenni Baker, London