One of London’s longest-running independent creative agencies 23red, which works with charities and governments to drive behavior shifts in audiences, has been acquired by consultancy Capgemini. The financial terms were not disclosed.
The agency, which was founded in 2000 to focus on third-sector clients by chief executive Jane Asscher and executive creative director Sean Kinmont, will become part of Capgemini, which employs more than 350,000 people in over 50 countries.
It comes as the U.K. is set to enter an economic shift of public sector funding cuts due to a cost of living crisis that has seen inflation reach double figures. This, coupled with government spending cuts, all impact the non-governmental, nonprofit organizations of the third sector which rely on public funding and donations.
The deal will see 23red, which employs 55 people, join Capgemini Invent’s Creative Consultancy Frog which the agency has been working on a strategic partnership basis since earlier this year. It will allow 23red to access Capgemini’s data, technology and digital capabilities.
Assher and Kinmont will join the Frog executive team, reporting to its U.K. head Gagandeep Gadri who will also join the leadership team of 23red. The 23red team will move into Frog’s offices in Shoreditch.
“Clients in the public and third sectors are increasingly relying on the use of data insights and digital technologies to truly engage their target audiences. This is particularly pertinent for public information, societal and charity communication campaigns,” explained Cyril Garcia, CEO of Capgemini Invent in a statement.
“23red’s capacity and competencies in this space will help our U.K. team to meet the increasing demand for our sustainability and purpose-driven customer-first services, which are also a key growth area for the Group,” added Garcia. “I am delighted to welcome them to Capgemini.”
The London-based agency’s client base included Bupa, the Metropolitan Police, Network Rail, NHS England, the Cabinet Office, the Department for Transport, Thames Water, Public Health England and Transport for London.
“As a purpose-driven organization, we felt that our values and culture were closely aligned to those of the Capgemini Group,” Asscher added. “This was a key consideration for us. Capgemini’s global scale and breadth of industry expertise will bring great added value to our clients in the public and third sectors.”