Some top public relations firms are eyeing the rising new media companies popping up in DUMBO, an area of NY’s Brooklyn that has become a hotbed for digital and social media agencies. Firms such as GolinHarris and Middleberg Communications are considering acquisitions from among the 60 digital shops ranging from large creative agencies such as Huge and Spike DDB to emerging players including Prolific Interactive and Breakfast. According to PRWeek these companies are seen as not only potential partners, but as competitors. These new agencies work with social media, and their young, entrepreneurial talent is drawing clients to the area.
However, while multinational agency leaders welcome the emergence of DUMBO as the new digital age hot spot, some are less bullish about the acquisition opportunities. Some say most of the agencies have small revenues, and the work they’re doing is already done in-house or through contracting out to high-level production houses.