3 Ways a Marketing Agency Adds Value to Private Equity Firms


Strategy

As the COO of a digital marketing firm, we partner with numerous private equity (PE) portfolio companies. As a result, I've witnessed firsthand what really moves the needle for our clients' coveted financial backers.

While every PE firm is unique, there are some universal truths about what they value most from their agencies.

PE firms crave clarity, tangible results, predictability, and setting the stage for exits that maximize their investment returns. And at our agency, delivering on exactly those key priorities is baked into our DNA and how we approach growth strategies for our clients.

1. A clear, measurable growth strategy

From day one, our agency works hand-in-hand with both the portfolio company leadership and their PE firm (if they want to be that involved) to map out an airtight marketing strategy packed with clearly defined, data-backed goals. We align on the target markets, customer acquisition costs, ROAS hurdles, and other metrics that matter.

We drive valuations by constructing holistic digital ecosystems that aggregate into a major revenue growth engine ideally suited for recapturing maximum valuation multiples come exit.

 

There's no ambiguity about what "success" looks like based on the PE fund's overarching investment thesis and timeframes. We collaboratively build trackable, transparent dashboards to showcase quantifiable performance across those key result areas as we execute.

 

2. Predictable growth mechanisms

A huge reason PE firms appreciate our firm is that we implement full-funnel digital growth engines with baked-in recurrence, automation, and predictability rather than one-off tactics that fizzle. We leverage closed-loop systems like HubSpot to map out the entire lead generation, conversion, and customer lifecycle. We build lasting audience databases, not just wildly fluctuating monthly website traffic.

This systematic approach allows us to continually analyze, optimize, and accurately forecast growth potential based on leading indicators. PE firms can start to model just how profitable their assets can become based on the sustainable scale we're institutionalizing.

3. Stage-setting for exits at maximum valuations

Ultimately, PE firms are playing the long game of prepping portfolio companies for strides exits and lofty valuation multiples. Our digital initiatives are laser-focused on cultivating the valuable "crown jewel" assets that make companies irresistible M&A targets.

Here's a small taste of the work that helps build your value:

  • Robust SEO and keyword dominance that locks in persistent free customer acquisition
  • Sleek UX/UI and conversion-optimized sites that nurture leads into sales
  • Vibrant social/content platforms that build raving brand affinity
  • Killer loyalty/retention plays that maximize lifetime customer value.
  • Aggressive demand generation campaigns that set your sales up for success.

We drive valuations by constructing holistic digital ecosystems that aggregate into a major revenue growth engine ideally suited for recapturing maximum valuation multiples come exit. Period.

We know because we've done it

For a former client acquired in 2022, we helped their PE firm drive a 20X multiple based on the accelerated growth trajectory, digital assets, and systematized lead generation our efforts produced over three years.

For another PE-backed company, we steered a complete brand revamp that turbocharged their conversions and ROAS within 6 months.

Digital marketing will get you there

Jen-cut outAt our core, we're a profit acceleration agency that just so happens to leverage digital tactics to get there. By staying hyper-focused on quantifiable growth strategies with crystal clear ROI, our engagements translate into de-risked, lucrative exits for PE funds looking to maximize their investments.

So if you're a PE firm seeking an agency partner who aligns with your demand for results-driven rigor and exit strategy value creation, I'd love to start that conversation. We'll earn a seat at your portfolio company's strategic table by approaching growth the exact same way you do — with transparent financial accountability and clearly traceable returns on investment.

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