LGT Digital is usually in the agency seat, helping eCommerce brands all over the country grow through tactful performance-focused marketing strategies. With this recent acquisition of Cosy Cribs, they put themselves in the shoes of their clients, and are paving their way as a new breed of digital marketing agency.
“We sell the dream of growing eCommerce brands to our clients everyday, acquiring our own brand is us putting our money where our mouth is”, LGT Digital CEO Leo Alhalabi said in a statement.
There has always been a gap between ecommerce owners and their agencies struggling to understand everything it takes to run a successful online business, which has been the driving force behind the team at LGT Digital’s decision to become a market leader and acquire their own ecommerce business. However, this acquisition does raise questions surrounding LGT’s direction and whether they’ll retain their client-first agency structure. When asked about this Mr. Alhalabi had this to say:
“This acquisition doesn’t push us away from assisting current and future clients, it brings us closer. There are plenty of cowboys in the industry, how many of them can confidently grow their own eCommerce brand? We did this so that we could understand our clients better, and showcase our own confidence with our ability to drive online growth.”
Cosy Cribs, which was founded by Army Veteran James Anglum, is an online home decor brand that has seen fantastic growth over the past 2 years. From their inception in 2019, they managed to turn over an impressive $485,000 in revenue during the last financial year.
The twist in this acquisition deal is that LGT Digital is the marketing agency for Cosy Cribs and has been working with them since their early days. When asked about LGT Digital’s role in Cosy Crib’s growth Mr. Anglum praised the agency saying, “I’ve been working with these guys since day one, and it hasn’t felt like a typical client to agency relationship, they’re literally an extension of the business and have played a massive role in the growth we’ve had”.
The acquisition includes Mr. Anglum retaining some of his shares and remaining in charge of daily operations, “The possibility of a complete acquisition was considered, but we love working with James, keeping him around as COO seemed like the best move” commented Mr Alhalabi.
An acquisition of this nature is a rare occurrence, but deals like this will pave the way for a new breed of marketing agencies to emerge who have first-hand experience across ecommerce business operations and logistics, and technical knowledge of marketing at a high-level to achieve exponential growth for their clients.
It’s for this reason that LGT Digital’s doors are wide open for new clients, albeit with a strict qualification process. Where other agencies may work with anyone willing to sign up, LGT focuses on partnering up with the right brands, a criteria that includes, but are not limited to factors such as marketing budget, current revenue, and logistical ability to handle an influx of new orders.
The future of ecommerce is bright, especially when agencies are entering the market. You can guarantee that the growth within this industry won’t be slowing down anytime soon.
