WPP makes Tesco data play
Tesco’s Dunnhumby Big Data unit which has been given great credit for the retailer’s past business success – though it has done zilch to halt its decline – is the subject of a takeover bid from WPP. Tesco is reportedly looking for £2 billion pounds for a majority stake in the operation that developed its much-vaunted Clubcard loyalty programme as part of a series of cuts and store closures aimed at halting the retailer’s decline – the company recently sold its Blinkbox video streaming service to telco TalkTalk.
WPP is on a bit of an M&A bender at the moment having last month shelled out $300 million for a minority stake in web metrics specialist ComScore. The group then acquired a stake in FlowNetwork, a Swedish, over-the-top television service which provides Sweden’s regional newspapers with technology and video content. The company says the investment continues its strategy of developing its integrated services in fast-growing and important markets and sectors and strengthening its capabilities including digital media.