Digital ad agency Sapient Corp. is buying traditional agency Nitro Group LLC, in what the Wall Street Journal calls a reversal of the recent trend of trad agencies buying digital shops.
It used to go like so: Traditional Agency realizes that all of the money it used to be getting was going to the upstart digital kids. Unwilling or unable to build itself its own digital practice, Traditional Agency finds a nice digital firm and snaps it up for a few mil.
Now, digital firms are being asked to cover the traditional side as well as marketers look to consolidate, Vidya Drego, a senior analyst at Forrester Research Inc., told the WSJ. And again, they’re not willing or able to build up their own traditional skills fast enough, so it’s acquisition time.
Sapient paid about $50 million in a combination of cash and stock for Nitro.