It makes us cringe when we think of some of the rubbish that gets passed off as ‘market research’ from folks in and around our industry (data often gathered simply by ‘cold calling’ contacts to get headline figures). Truly however some of the best data we have seen over the last few years is from John H. Doyle II’s outfit Peachtree Media Advisors, Inc.
John is Managing Director & Founder of Peachtree Media Advisors and kindly gave us the report at the bottom of this post (attached as PDF) to share with you.
The report summarises the mergers, acquisitions and the amount of capital raised in the interactive (online) and out-of-home sectors of media in 2008.
Some of the highlights with regard OOH M&A from the report are: –
- In 2008, there were 18 strategic acquisitions involving a change of control and 13 capital raises for the out-of-home sector of media. Out-of-home media (OOH), which is comprised of digital signage, billboards, alternative outdoor, street furniture, transit and place-based media, had $556 million of reported M&A transaction value in 2008.
- With the exception of the Health Club Panel Network and the Hanger Network, virtually all of the capital raised went to providing expansion capital to established digital out-of-home networks.
- In 2008, general consumer digital networks were out of favor and investors sought out niche opportunities in highly targeted channels with endemic advertising bases. In addition, investors looked for networks that were close to the point of purchase that could influence purchasing decisions.
It’s very US centric but well worth a read and we know that many of you will find it of interest.