Is your agency “defensible,” or just busy? As M&A activity in the creator economy accelerates to new heights, Phil Gripton, Partner at Waypoint, examines the new criteria buyers are using to judge Northern agencies.
The Northern agency market has entered a decisive phase.
After two years of recalibration, confidence is back – but it’s returning with far more intent. Across performance marketing, social and the creator economy, buyers are moving again, founders are making sharper strategic choices, and the gap between businesses with genuine defensibility and everyone else is widening fast.
Prolific North has consistently highlighted three dynamics shaping this moment: independent agencies repositioning ahead of acquisition, larger groups restructuring how their agency architectures actually work, and a new wave of founder-led spinouts emerging from frustration with legacy models. When you look at what’s happening in creator-economy M&A, those dynamics are not separate. They’re all responses to the same structural shift.
Creator economy M&A is accelerating again
Creator-economy M&A has clearly re-entered an expansion phase. Business Insider reported a 17.4% year-on-year increase in deal activity in 2025, marking a turning point after two years in which the market was effectively redefining itself. That momentum has carried straight into 2026, with early moves including PMG’s acquisition of influencer agency Digital Voices.
What’s changed is not appetite, but criteria.
The old wave of influencer agencies – lots of delivery, lots of people, but little they actually owned – isn’t exciting buyers anymore. Those businesses did the job, but they were interchangeable. Capital is now flowing toward social-native businesses with something defensible: IP, owned audiences, community depth and real distribution power.
Global’s majority stake in The Overlap is a good example. Buyers aren’t chasing another influencer shop; they’re backing creator-led media brands that sit closer to culture, attention and long-term monetisation.
Social is no longer a channel
This shift only makes sense when you look at how social itself has changed.
Social isn’t a channel anymore; it’s the infrastructure everything else sits on – content, discovery, commerce and community. The scale behind that change is significant. Global social commerce reached around $872bn in 2025 and is projected to grow to roughly $1.6tn by 2030, expanding at around 13% CAGR, fuelled by rising social usage and platform-led commerce features such as TikTok Shop.
At the same time, creator marketing is now the fastest-growing online channel, with spend growth significantly outpacing search and display. That matters because it reframes what “defensibility” actually means. It’s no longer about reach alone. It’s about measurable engagement, conversion and repeatability.
Affiliate models, social commerce mechanics and creator-led conversion are increasingly replacing vanity metrics. In practice, that’s why buyers are drawn to businesses that can prove commercial outcomes, not just cultural relevance.
What buyers are really acquiring
Recent network activity makes this clear.
Publicis’ acquisition of Captiv8, one of the largest creator platforms globally, alongside itsexpansion into influencer markets via BR Media Group in Brazil, signals a clear strategy: own the infrastructure, not just the output.
Stagwell has been just as deliberate. Its acquisition of Create.Group deepened its social and digital footprint across MENA, while JetFuel Studios strengthened its creator-led content and experiential capabilities. These are not vanity acquisitions. They’re about locking in distribution, data and cultural proximity.
Private equity and growth investors are stepping back in too, but selectively. Capital is flowing toward businesses with clear monetisation logic and lower budget volatility, reflected in moves such as PSG’s investment in Uscreen and Summit Partners backing Later’s $250m acquisition of Mavely.
From Waypoint’s work advising on OK COOL’s sale to Residence, the pattern was unmistakable. Buyers were drawn to a social-native, creator-led model with real IP, deep community engagement and performance that could actually be measured. Assets sitting closest to culture and commerce are pulling the strongest interest.
Why This Matters for Northern Agencies
This is where the Northern picture comes into focus.
Independent agencies are repositioning because surface-level growth is no longer enough. Holding groups are quietly restructuring their agency architectures, centralising data, technology and performance capability while allowing culturally strong brands to remain distinct. And founder-led spinouts are emerging because leaders see an opportunity to rebuild around speed, ownership and outcomes.
Looking ahead, 2026 isn’t just shaping up to be busy. It’s shaping up to be decisive.
The divide between businesses that own IP, audiences and distribution and those that don’t is widening fast. Buyers know it. Platforms know it. Creators know it.
The deals happening now are buyers locking in capabilities they won’t be able to build later. For the right assets – those embedded in culture, with real communities and a direct line to commerce – this is a very good year to be in the market.
For everyone else, the choice is becoming clearer by the month: build defensibility, find the right partner, or accept margin pressure as the cost of standing still.
