NEWS7 July 2009

Communispace crowd-sources acquisition opportunities

M&A North America Trends

US— Communispace makes its money by helping brands improve their businesses by tapping the collective brain power of their online communities. Now the company is putting that money where its mouth is.

CEO Diane Hessan put a call out today to her almost 5,000 followers on Twitter asking: “If you were in my shoes, what companies would you tell us to consider acquiring?”

Intrigued by what is surely the first time potential takeover targets have been crowd-sourced – at least in the MR industry – Research asked Hessan how much she was looking to spend.

”$ doesn’t matter if it’s the right fit,” she replied.

Communispace has been growing at quite a clip, with clients including Elsevier, Hallmark, Heinz, Kraft, PepsiCo and Reebok.

It was the highest-placed new entry in Jack Honomichl’s annual ranking of the US’s top 50 agencies, coming in at 29 with year-on-year growth of 27% to $29m.

Clearly online communities are attracting a healthy amount of research spend at present. Asked whether Communispace would look to build out its existing offer or explore new territory, Hessan said: “Our primary strategy is to be better and better at what we currently do, but we are also open to complementary capabilities.”

To share a hot tip with Hessan, follow her on Twitter @CommunispaceCEO.