Private equity appetite in Australia’s marketing, consulting and tech sectors has shifted to value from volume, according to SI Global director Australia Julia Vargiu.
SI Global has just released its March quarter Private Equity Insights Report, which analyses more than 220 global transactions across the marketing, consultancy, and technology services sectors.
The report shows investors are doubling down on quality, margin improvement and future-fit growth stories, particularly those that are tech-enabled and digitally mature.
“Investors are getting sharper in what they pursue, backing firms with strong margins, sticky client bases and clear specialisation in resilient categories like B2B, health, finance or performance media,” Vargiu said.
And you don’t need to be a $10 million business now. First-time platform deals are on the rise, and smaller agencies with EBITDA (earnings before interest, taxes, depreciation, and amortisation in the $3 million to $5 million range are now in play, especially if they have scalable infrastructure and a compelling growth story.
"Smaller, more founder-friendly funds are also reshaping the local deal landscape,” she said.
“These firms are backing niche or emerging players earlier and with more flexible structures, not just full exits, but earn-ins, buy-and-builds and growth capital partnerships.
“For founders, this means private equity is no longer just a finish line, it’s becoming a strategic growth lever if you know how to use it."
Private equity interest in Australia’s marketing, consulting and tech services sectors is becoming more precise, not just more prolific.
Rather than chasing scale alone, funds are prioritising businesses with strong margins, sticky clients and future-fit specialisations, especially in performance, data and content infrastructure.
“We’re not just seeing more deals,” Vargiu said. “We’re seeing smarter investment decisions. Investors are focused on efficient, high-margin businesses serving sectors that aren’t going anywhere.
“It’s no longer about whether you’re a digital agency or a consultancy. What matters is how your business is built, how well it scales and whether it holds up in tougher markets.”
This means labels matter less. Operating models matter more. Investors want scalable delivery, client retention and financial resilience.
“What’s notable is the uptick in first-time platform investments by both international and local funds,” she said.
“Many PE firms are now actively looking to cornerstone new platforms rather than waiting for ready-made ones."
Australia is also seeing a quiet but meaningful rise in smaller or mid-cap PE firms reshaping the landscape.
“They’re nimbler, more founder-friendly and open to backing niche agencies with strong IP or recurring revenue models.
“For agency leaders, this signals a broadening of the M&A path, not just exits, but earn-ins, growth partnerships and smarter capital at earlier stages.
“These funds are changing the game. Founders no longer need to wait until they hit scale. Smaller funds are offering flexible paths to growth and liquidity without giving it all away.
“Looking ahead, we expect PE activity to intensify around firms that combine specialist depth with scalable delivery: think tech-enabled consultancies, automation-led content studios and data-rich performance shops.
“Legacy creative agencies will still get attention, but only when paired with operational sophistication and clear client category dominance. In this market, capability alone won’t cut it. Conviction and commercial clarity will.
“PE is chasing repeatable brilliance. If you’re niche and efficient, or have built a machine behind your craft, you’re in the right lane. This is the era of business models with bite, not just ideas with flair.”
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