Marketing and media group Merchantwise Group has doubled its footprint in the Australian creative agency sector after scooping up Jaywing and Frank Digital for an undisclosed sum in the Melbourne-based company’s largest deal to date.
Merchantwise, which earlier this year acquired social media and influencer marketing agencies The Social CliQ and The Content CliQ, says the latest deal is its “most transformative” yet with the merger of operations putting it on track to become one of Australia’s top five independent marketing and media agencies.
The Sydney-based Jaywing is a creative and performance marketing agency, while its subsidiary Frank Digital is a digital product and UX specialist.
The agencies increase Merchantwise’s capabilities across AI-powered media, data strategy, performance marketing, UX/UI and digital product development, while boosting its management of client media spend to more than $110 million.
Merchantwise says it now also oversees licensing and consumer products programs that generate more than $500 million in retail sales annually.
“This is a transformative moment for our group,” says Alan Schauder, CEO of Merchantwise Group.
“Jaywing and Frank Digital are powerhouse agencies that work with major Australian and global brands.
“By bringing them into the Merchantwise Group, we’re combining data, creativity, media and technology to deliver full-funnel solutions for some of the world’s most exciting brands.
“We’re now operating at a whole new level of scale, capability and impact and there is more to come.”
Merchantwise, which is backed by Sydney-based private equity firm Parc Capital, has delivered more than 30 per cent revenue growth annually over the past five years, and has made no secret of its ambitions for bolt-on acquisitions to drive future expansion in Australia and internationally.
The latest acquisition doubles the Merchantwise headcount to 145 staff located in Melbourne, Sydney, Adelaide and Brisbane. The group is also growing its presence in Europe with offices in London and The Hague and China where it is located in Shanghai.
The purchase in February this year of The Social CliQ and user-generated content agency The Content CliQ allowed the group to connect brands to more than 3,000 creators and influencers worldwide.
The latest deals follow the 2023 purchase of performance marketing and digital media agency RQ Media, which also includes creative marketing agency Three Scoops.
Jaywing, which has offices in Sydney and Melbourne, has experienced significant growth by partnering with leading brands such as New Balance, Crocs, Myer, Intuit QuickBooks, a2 Milk, OES and InvoCare.
Sister agency Frank Digital is renowned for building high-performing websites, apps and platforms across government, education, and consumer sectors for clients such as Meriton, The City of Sydney, Merivale, Regional Australia Bank, Employment Hero and Sonder.
Tom Geekie, CEO of Jaywing and Frank Digital, says he is looking forward to growing the businesses further through Merchantwise’s ownership.
“We’re incredibly proud of the business we’ve built in Australia over the past decade,” says Geekie.
“Jaywing and Frank Digital have grown into highly respected, award-winning agencies in their own right.
“Merchantwise Group is the perfect new home to take this next step, as they share our passion for creativity, data and innovation.”
Geekie says the move will bring “immediate benefit” to the agencies’ existing clients through Merchantwise’s award-winning social content, strategy and influencer team, its technical performance media team and creative resources.
“The backing of Merchantwise and Parc will also accelerate our AI journey, as we scale and invest in this space as a strategic priority,” he says.
“With their backing, the team is poised to unlock even greater growth and impact for our clients.”
Schauder says the addition of Jaywing and Frank Digital gives Merchantwise “unmatched capability in data-led growth”.
“We’re bringing together best-in-class talent from brand, content, performance, UX and data science, and that’s incredibly exciting for our clients and teams alike,” he says.
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