DUNDAS, ONTARIO: Social Media Group (SMG) plans to acquire DC-based Livingston Communications in August, combining two firms focused exclusively on social media marketing and communications.
The combined entity will employ 20, including Livingston's five staff in the DC area and one in Texas. Livingston CEO Geoff Livingston will become EVP of Americas, reporting to SMG CEO Maggie Fox.
Terms of the deal include an undisclosed amount of cash and stock.
He argued that agencies devoted exclusively to social media outreach are able to provide better services than agencies with integrated offerings because attempts to combine such outreach with more traditional communications services "hampers their thinking," he said.
"It made sense to combine," he added. "Then we can go after the large accounts in the Fortune 500, government, and nonprofit space. That will let us compete effectively against [large global] agencies."
Clients of the merged company include Ford, which recently hired SMG, SAP, and Yamaha, as well as existing clients of Livingston, such as the Consumer Electronics Association and Network Solutions.