PwC has bought yet another consulting firm. This time it was BGT, a midsized American digital consulting firm. About 120 consultants will make the transfer to the consulting branch of the Big Four firm. Financial terms of the transaction have not been disclosed.
BGT is an end-to-end digital consulting firm. Its team consists of digital strategists, analysts, designers and technologists, based in offices in Miami and Chicago.
“The addition of the BGT business brings our clients new and creative capabilities in customer experience and design. The combination of BGT's digital creative strategists with PwC's broad range of business and industry consultants brings us in a unique position. We can now provide our clients with a complete suite of digital offerings”, says Miles Everson, PwC Advisory Leader in the US.
The takeover fits PwC’s strategy to expand its consulting branch worldwide, autonomous and through takeovers. Reason for this is the shift in profitability between the consulting services. At present time, consulting pays better than audit. PwC’s latest global annual figures show that revenues from consulting services increased by 7.6%, compared to ‘only’ 1.4% for audit. In addition, margins on consulting are higher as a result of the increasing commoditization of audit services and fierce competition on the market. This also applies to the other big accounting and consulting firms.
Recently, PwC announced that it has reached an agreement in principle to takeover strategy consulting firm Booz & Company, a move that left the strategy consulting world shaking on its ground. In December, the partners of Booz will come together to vote on the transaction. Earlier this month, HumanR, a small American consulting firm specialized in talent development, was acquired. Last year, the American consulting practice bought Ants Eye View, a consulting firm specialized in social media en omnichannel.