Advertising and marketing services major
), recently announced the signing of a deal to acquire Bottle
Rocket, a full-service mobile solution provider in the US. The
financial terms of the deal as well as the purchase consideration
have not been disclosed.
Headquartered in Dallas, Texas, Bottle Rocket designs iPhone,
iPad and Android apps for renowned brands. Established in 2008,
the company has served brands such as NPR,
Scripps Networks Interactive, Inc.
), ABC News, National Geographic and NBC Universal. The company
generated revenues worth $17 million for the twelve months-ended
September 2013 and many of its apps lead in their categories in
the App store.
This acquisition by WPP plc is a strategic move to strengthen
its competency in digital media and mobile advertising. In
August, WPP plc's digital investment arm - WPP Digital -
purchased a minority stake in Mutual Mobile, Inc., an
Austin-based mobile product development agency, to expand its
WPP offers a range of advertising and marketing services
including advertising and media investment management; consumer
insight; public relations and public affairs; direct and digital
promotion as well as relationship marketing. WPP plc operates
under four segments, namely, Branding and Identity, Healthcare
and Specialist Communications; Advertising and Media Investment
Management; Data Investment Management; and Public Relations
& Public Affairs.
The company's digital business falls under the Branding and
Identity, Healthcare and Specialist Communications segment. The
segment delivered a strong performance in the third quarter of
2013, with revenues of £747 million ($1,157.4 million), rising
10.1% year over year.
The digital business alone generates substantial revenues for
WPP plc. Of the total revenue generated in 2012, the digital arm
accounted for 33% or $5 billion. Additionally, WPP plc is
planning to increase contribution of revenues from fast-growing
markets and new media to 40-45% of total revenue.
WPP currently carries a Zacks Rank #2 (Buy). Some other
advertising stocks worth considering, carrying the same rank are
Clear Channel Outdoor Holdings Inc.
Publicis Groupe SA
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