These M&A deals show the hot areas of the creator economy and where the industry could be heading

• It was a busy year for M&A in the creator economy.
• Startups in influencer marketing, talent management, and podcasting became acquisition targets.
• Companies also sought to expand globally by acquiring creator startups in new regions.

Dozens of merger and acquisition deals were signed between companies across the creator economy in 2024.

Two M&A experts told Business Insider that one of the most impactful sales was Publicis Groupe's purchase of Influential for $500 million, signaling that one of the world's largest ad holding companies viewed influencer marketing as a must-have offering.

"If influencers are the new gatekeepers and authority within these digital channels, then they're going to command audiences," Chris Erwin, the founder of the M&A advisory firm RockWater, told BI. "Advertising revenue dollars are going to flow towards them."

Goldman Sachs analysts highlighted influencer-marketing spending as a primary driver of growth in the creator economy when they valued the industry at $250 billion last year.

A few other clear trends emerged this year around deals. Outside influencer marketing, popular acquisition targets included talent-management firms and podcasting tech. Non-US firms also pushed to build out creator businesses globally through purchases.

BI combed through data from PitchBook and Crunchbase and connected with M&A insiders to understand some of the key deals in 2024. Here are four takeaways:

1. Influencer marketing was a big focus among acquirers in 2024. The category has a proven business model compared with some of the more experimental parts of the industry. Beyond Publicis' deal with Influential, other large advertising brands brought in influencer expertise through acquisitions.

A few noteworthy deals in this category:

• The marketing firm Stagwell announced in July that it had acquired the influencer-marketing agency Leaders.
• The Canadian talent agency Dulcedo Group acquired the influencer-marketing app Node in July.

2. The creator economy is maturing globally. Several companies made strategic deals across markets like India, Japan, and Australia. Publicis highlighted Influential's global reach in its announcement about the deal.
   
   "Creators really can be global from day one," said Ollie Forsyth, a former senior manager at the investment firm Antler who now writes the newsletter New Economies. He pointed to technologies like AI-powered audio-dubbing and video-editing tools as helping creators distribute content to a global audience.

A few noteworthy deals in this category:

• The French influencer firm Ykone announced in March that it had acquired a majority stake in the Indian influencer-marketing firm Barcode to build a business in the Indian influencer market.
• The Finnish influencer firm Boksi announced in February that it had acquired the German influencer-marketing company The Influencer GmbH to grow its business in Central Europe.

3. Podcasting is a hot category. As platforms like YouTube and Spotify drive listenership (and viewership) of longer content, advertisers are paying close attention. EMARKETER expects US ad spend for podcasts to hit $2.28 billion this year, a roughly 16% increase from 2023. Meanwhile, M&A deals in the category focused on podcasting tech and IP in 2024.
   
   "It's a publisher play of rolling up these popular networks of shows," said James Creech, an M&A advisor through Quartermast Advisors who founded Creator Economy Jobs. "I think that'll continue because you're likely to see a handful of winners in this space."

A few noteworthy deals in this category:

• Triton Digital said in March that it had acquired the podcasting-adtech firm Sounder to boost its targeting and brand-safety tech.
• Night announced in April that it had acquired The Roost, a podcast network that includes shows from Theo Von and other popular creators.

4. Creator-focused talent firms are continuing to consolidate. There's no shortage of talent managers and agencies looking to represent creators. But a smaller number are prepared to support the businesses of top creators who aim to book deals, exclusive podcast agreements, and Hollywood roles.

A few noteworthy deals in this category:

• The talent-management firm Wasserman announced in September that it had acquired the talent-management agency Long Haul to grow its gaming and sports creator business.
• The influencer-marketing and creator talent company Whalar announced in October it had acquired the influencer-management firm Sixteenth.

Looking ahead to 2025

Erwin and Creech are expecting the next year to be fruitful for creator-economy companies.

"We're going to see more activity next year," Creech said.

The two M&A advisors are watching closely whether consumer-packaged-goods companies will continue to shop for creator-owned businesses, such as Hershey's purchase of Maxx Chewning's Sour Strips brand in 2024.

Companies that raised new funding in 2024 may also signal where M&A activity is heading next in the industry. Creator startups with offerings in artificial intelligence, newsletter tech, influencer marketing, and e-commerce drew in investor dollars in the past year. Among the big rounds were the creator-marketing platform Agentio, the newsletter app Beehiiv, the social shopping app Flip, and the AI firm ElevenLabs. Startups flush with funding could become acquirers in 2025.

"If you are looking to sell or to raise capital now, it's a good time to do it," Erwin said.