MMG Worldwide acquires Ypartnership, forms MMGY Global
Digital travel marketing company MMG Worldwide acquired Ypartnership, a travel research services company, both companies said Dec. 14. The agencies have merged to form MMGY Global, a full-service travel marketing agency.
“For us to truly pay off our mission, which is to integrate the entire marketing channel in one shop, the only way to do that effectively is to have it all under one roof,” said Clayton Reid, president and CEO of MMGY Global.
Reid said Ypartnership's research capabilities were a perfect complement to MMG Worldwide's digital and online capabilities, CRM and database marketing tools. “It made perfect sense to come together to take the best of their research and strategy and meld it together with the more progressive channels that we are building,” he said.
Reid stressed that the acquisition will act like a merger, since senior level executives from each company will continue to have leadership roles in the new enterprise.
“This is not an acquisition in the sense of one company gobbling up another,” Reid said.
The joint company will be headquartered in Kansas City, MO. The agency will also operate offices in Denver, New York and Orlando.
There will be no layoffs, Reid said.
“Ypartnership outsourced lots of their Web development, which we do in-house and we were outsourcing research, which they do in house,” said Reid. “We believe there will be 25% growth just by bringing these two companies together.”
The new company will continue to serve existing clients of both former companies.
Terms of the deal were not disclosed.
Some fascinating data from YPartnership in a study looking at the inspiration, research, search, shopping and buying of travel products by consumers.
The study of 2,500 US adults, carried out to help form its Portrait of American Travelers paper, asked what are the major influencers for would-be travellers throughout the travel purchase funnel.
The study segmented that journey into five areas:
- Ideas and inspiration
- Insights and advice
The table below charts which is the most influential factor for each.
Perhaps the standout stat to note is the lack of digital influences at the earliest stage (ideas and inspiration), with family-friends coming up top and other offline triggers thereafter.
In the advice and insight stage the range of sources begins to narrow and the web comes in alongside “travel experts” (agents).
For pricing and comparing the internet comes to the fore, with the top five in both categories all web-related. Offline agents get a look-in at the purchasing phase, but the web still dominates.