gpbullhound-2022年第1季度对数字服务的洞察（英）-2022-24页_1mb

Q1 2022 Digital Services Sector Summary

Core Content Overview

The Digital Services sector in Q1 2022 saw significant activity and growth, driven by trends in automation, cloud computing, and headless technology. The sector continues to evolve as companies seek to enhance their digital capabilities to meet the increasing demands of consumers and businesses alike.

Main Trends and Insights

• Automation in Creative Production:

  • Digital channel proliferation is pushing the need for rapid and efficient creative production.
  • Marketers are facing challenges in content generation, with 80% identifying it as a key issue.
  • Automation technology is a major driver of acquisition and investment activity, helping to streamline and personalise content creation.

• Cloud Computing Growth:

  • Hyperscalers such as AWS, GCP, IBM, and Azure are in high demand for their scalable cloud computing solutions.
  • The global cloud computing market was valued at $369bn in 2021 and is expected to grow at a CAGR of 15.7% through 2030.
  • Hyperscaling data centers accounted for 47% of all data center sales in 2020, up from 21% in 2015.

• Headless Technology Transformation:

  • The next generation of software integration is being driven by headless innovations.
  • Headless CMS is projected to reach $1.6bn by 2027 with a CAGR of 22.6%.
  • Headless platforms offer flexibility, allowing brands to customise their front-end and back-end systems for better user experiences and security.

Key Transactions

Acquisitions

• Team ITG (UK) acquired by Bridgepoint (Mar-22)
• Feed (UK) acquired by DEPT (Dec-21)
• LoopMe (UK) acquired by Orca Pacific (Mar-22)
• Bliss Point Media (UK) acquired by Tinuiti (Mar-22)
• Adyoulike (UK) acquired by OpenWeb (Insight Partners) (Mar-22)
• Byte (UK) acquired by Dept (Mar-22)
• Search Discovery (UK) acquired by Mightyhive/S4Capital (Mar-22)
• Phiture (Germany) acquired by European Digital Group (Mar-22)
• Netnomics (Germany) acquired by OSF (Mar-22)
• RDS Solutions (US) acquired by Upstack (Feb-22)
• TÁ DIGITAL (US) acquired by OmnicomGroup (Dec-21)
• Loop (UK) acquired by Kin + Carta (Feb-22)

Investments

• Team ITG (UK) invested in by Bridgepoint (Mar-22)
• The Variable (UK) invested in by Svoboda Capital (Mar-22)
• Venatus (UK) invested in by Livingbridge (Mar-22)
• FutureDeluxe (UK) invested in by Queen's Park Equity (Mar-22)
• fabric (UK) invested in by SoftBank (Feb-22)
• FortyFour (UK) invested in by Momentum (Mar-22)
• Search Discovery (UK) invested in by Mightyhive/S4Capital (Mar-22)
• Phiture (Germany) invested in by European Digital Group (Mar-22)

Market Activity

• Deal Activity: Strong throughout Q1 2022, with the US leading in dealmaking activity.
• Regional Trends: Asian digital services deals remain below pre-pandemic levels.
• Buyer Groups: IT Services and Marketing Agencies are more active than Consultancies, reversing previous trends.

Valuation Trends

• GP Bullhound Digital Services Index:
  • Market cap increased by 31% compared to Q1 2021.
  • EBITDA margins remained stable at around 18-19%.
  • The sector outperformed the FTSE100 and was in line with the S&P500 over the past six and twelve months.

Key Players and Their Performance

Summary of Key Points

• Automation: Increasingly important for efficient creative production, with a significant focus on AI/ML and martech.
• Cloud Computing: Dominated by hyperscalers, with a strong market growth trajectory.
• Headless Technology: Transforming marketing and commerce by enabling flexible and secure platform integration.
• M&A Activity: High in Q1 2022, with notable deals in digital marketing, e-commerce, and cloud services.
• Investments: Highlighting growth opportunities in automation and headless solutions.
• Valuation Trends: Positive growth in market cap and EBITDA margins, with a strong rebound in the Digital Services index.