(01)EngagementOverview

Strategic buyer acquires KoMarketing for growth.

Founded in 2004 and based in Boston, MA, KoMarketing is a digital marketing agency that specializes in serving mid-market and enterprise B2B brands across the globe. With a multidisciplinary approach, the agency delivers customized solutions in search engine optimization (SEO), paid search and social media advertising, content marketing, B2B marketing research, and more. KoMarketing has earned a reputation for consistent growth and high client retention over the past 17 years. The agency’s expert team of 25 diverse professionals works collaboratively to drive results for clients across various industries, including SaaS, healthcare, engineering, and technology. With a strong retainer-based revenue model (100%), KoMarketing offers long-term, impactful relationships with its clients, helping businesses build brand visibility, generate leads, and improve their bottom line. The founders are now looking for a strategic acquirer to help elevate the agency to the next stage of growth, leveraging additional resources to expand KoMarketing’s capabilities and reach.

(Details)

  • Engagement Sell-Side Representation
  • Type Full Sale
  • Category Digital Product & Web Development, SEO, Paid Media & Lead Generation, Under $10M
  • Buyer Type Private Equity
  • Deal Size $25M- $50M
  • Services Valuation & Market Positioning, Buyer Targeting & Outreach, Offer & Negotiation Support, Due Diligence Management, Closing & Transition Support

(02)Inside TheEnterprise

Who Is KoMarketing?

KoMarketing operates as a full-service digital marketing agency with a strong focus on B2B clients. The agency’s primary services include SEO, PPC, social media advertising, content marketing, and marketing research, with a unique approach to delivering results through a highly customized, data-driven strategy. The team is known for its ability to help clients rank on competitive keywords and develop effective paid advertising strategies that drive both brand awareness and conversions. KoMarketing has worked with a range of well-known clients, including Cyren, Fortinet, Mercury Healthcare, and Alation, providing tailored services that generate measurable growth and establish clients as industry leaders. The agency’s 100% retainer-based revenue model ensures long-term client relationships and a consistent stream of revenue, making it an appealing acquisition for buyers seeking stability and growth potential.

(03)Founder'sMotive

The Why Behind The Sale

The founders built KoMarketing from the ground up and are now ready for the agency to grow to the next level with the help of a strategic partner. After achieving significant success over the past 17 years, the founders believe that being part of a larger ecosystem would provide the resources and leadership needed for further expansion. They are seeking a buyer who can help elevate the agency’s offerings, particularly by leveraging its established client base, enhancing its sales outreach efforts, and supporting the agency’s future growth. The founders plan to stay on board post-transaction, ensuring a smooth transition and continued success.

(04)Founder’s Vision

Criteria for the Perfect Acquisition Fit

KoMarketing is looking for a buyer with the resources and experience to help the agency scale. The ideal buyer would be an agency or financial group that can provide the necessary capital and strategic guidance to expand the agency’s reach, develop new growth models, and enhance its outbound sales efforts. A buyer with a marketing background, particularly one experienced in B2B sales and digital marketing, would be well-suited to integrate with KoMarketing’s existing structure and accelerate its growth. Additionally, the buyer should value the long-term relationships KoMarketing has built with clients and maintain the agency’s high client retention rate. The founders also hope to retain the management team, ensuring continuity and the continued execution of KoMarketing’s strategic goals.

(05)Setting the Stage

Preparing KoMarketing for Acquisition

Merge emphasized KoMarketing’s proven success in digital marketing and its ability to deliver impactful results for B2B clients. The agency’s 100% retainer-based revenue model, coupled with its focus on SEO, PPC, and content marketing, made it an attractive acquisition target for potential buyers. Merge also highlighted KoMarketing’s strong client relationships, its impressive portfolio of long-term clients, and the agency’s highly skilled team, ensuring that any buyer would be able to step into a well-established business with significant growth potential. Merge worked to position KoMarketing as a stable, high-performing agency with the resources and leadership in place to thrive under new ownership.

(06)Attracting Suitors

Strategic Marketing of KoMarketing for Acquisition

Merge positioned KoMarketing as a high-growth agency with a solid foundation and a proven track record in B2B digital marketing. By emphasizing the agency’s strong client retention, long-term revenue model, and impressive results in SEO and PPC, Merge attracted several interested buyers. The agency’s reputation for delivering tailored, data-driven marketing solutions made it an appealing target for firms looking to expand their digital marketing capabilities, particularly in the B2B space.

(07)Sealing the Deal

Perfect Matchmaking with the Ideal Buyer

The acquisition of KoMarketing by Stone Goff – Walker Sands was a strategic match, combining KoMarketing’s expertise in B2B digital marketing with Walker Sands’ strong capabilities in integrated marketing and public relations. Stone Goff, a private equity firm backing Walker Sands, recognized KoMarketing’s proven success in SEO, PPC, and content marketing for mid-sized B2B and tech clients. This acquisition allowed Walker Sands to significantly enhance its digital marketing capabilities and extend its reach into new B2B markets, leveraging KoMarketing’s strong client relationships and retainer-based revenue model.

(08)Unlocking Synergies

Positive Impacts Post-Transaction

Since the acquisition, KoMarketing has successfully leveraged the buyer’s resources and strategic guidance to expand its service offerings and enhance its marketing capabilities. With additional support in sales outreach and media buying, the agency has been able to accelerate its growth and increase its client base. The integration of new resources has allowed KoMarketing to take on larger projects and provide more comprehensive services, ensuring that the agency is well-positioned for long-term success.

(09)Finding a New Home

The Merge Difference

Merge played a critical role in identifying the right buyer for KoMarketing. Through expert matchmaking, strategic guidance, and tailored negotiation, Merge helped ensure that both the agency and the buyer were aligned in their growth objectives. By showcasing KoMarketing’s strong client relationships, experienced team, and proven digital marketing capabilities, Merge helped secure a buyer who could take the agency to the next level. The successful acquisition highlights Merge’s ability to connect high-potential agencies with the right buyers, driving long-term growth and value creation.