(AOF) – Ipsos announced the acquisition of New Vehicle Customer Study, which it describes as InMoment’s largest and longest-running syndicated automotive research program in North America. New Vehicle Customer Study focuses on the behavior of automobile buyers in the United States and Canada. It provides the main players in this industry with detailed analyzes on consumers’ purchase reasons and preferences, as well as the evaluation of their experience with their new vehicle. Financial details of the transaction were not disclosed.
“This is the benchmark study program for the industry, used by hundreds of industry professionals to fuel their marketing and product development strategies,” emphasizes the survey research specialist.
This acquisition strengthens Ipsos’ investment in reporting and data integration technology platforms as the group already provides similar programs in 20 markets.
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Key points
– Second in the world for market studies and public studies created in 1975;
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revenue of €2.4 billion achieved 43% in Europe-Middle East-Africa, 40% in the Americas and 17% in Asia-Pacific;
– Activity divided between 4 major audiences: consumers for 74%, customers and employees (20.5%), citizens (16%) and doctors and patients (16.5%);
– “Total understanding project” economic model: aiming to generate annual growth higher than that of the market (3%), extension of the network in the United States, China, the United Kingdom and France, by broadening the base of customers and by improving the competitiveness of services;
– Split capital (10.52% of shares and 18.93% of voting rights for the founder and managers), founder Didier Truchot chairing the board of directors of 12 members and Ben Page providing general management;
– Very healthy balance sheet with €1.5 billion in equity compared to €69 million in debt and €866 million in cash.
Challenges
– 2025 Plan “Best people and best technologies”:
– recruitment of the best experts, those in data, increasing from 1,500 to 2,000,
– organic (5 to 7% per year) and external growth and doubling of investments in data analysis,
– operating margin greater than 13%;
– Global Innovation Strategy Program to combat competition from IT and communications service companies in data collection:
– via neuroscience and information sources, offering 4 services: Measuring differently, Having the data in real time, Analyzing Big data, Offering support-based services,
– via the Ipsos Knowledge Center (analytical R&D, value-added analysis, etc.),
– via the major platforms Ipsos Digital, Simstore, Communities, Askia, Infotools and Synthesio;
– Environmental strategy defined in the annual “Taking Responsibility” programs covering almost all of the group’s subsidiaries and aiming for carbon neutrality by 2035, with 2023 as a milestone: 15% reduction, compared to 2019, in CO2 emissions per employee ;
– Continued acquisitions of small digital companies;
– Good visibility with an order book for 2023 up 8% at the end of September.
Challenges
– Lack of visibility and seasonality of the activity (57% of revenues in the 2nd half);
– Impact on operational profitability of investments in automation;
– Supply disruptions and inflation among customers: rebound in demand for information;
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Confirmation of expectations of a rebound in activity from spring;
– After a 6.3% increase in revenue, 2023 objective: 5% growth in revenue and operating margin rate of around 13%;
– 2022 dividend increased to €1.35 and €50 million share buyback program.
Learn more about the Communication and Advertising sector
A global market that is doing well
According to Magna (Interpublic Group), growth in the global advertising market was limited to 1% year-on-year during the first quarter compared to a dynamic start to the year in 2022. However, for the full year, the company expects growth much superior, driven by digital. This performance is the result of China’s economic rebound since the end of the “zero Covid” policy. In the first quarter, advertising spending jumped 6% year-on-year in this country. Elsewhere, expected performances are lower for 2023: 4.2% growth in Europe (including 2.8% in France) and 2.5% in North America (4.2% if we exclude political advertisements falling without an election). The good results of the three world leaders (the French Publicis, the British WPP and the American Omnicom group) in the first quarter reflect this market development.