In this blog, Maddy Birtles, Senior Account Director at Whiteoaks, considers:
- Why PR is essential to sustaining success after an M&A deal
- The dangers faced by merged or acquired businesses without consistent comms
- The M&A advantages of preparation and experience in B2B tech PR
When a business completes an acquisition, it’s easy to assume the story ends with the announcement – but that’s a mistake. PR momentum after an acquisition is just as critical as before. An acquisition marks the start of an important new chapter, and it’s a crucial moment to ramp up communications, not slow them down.
In the B2B tech sector, acquisitions are an important way to access innovation, develop new partnerships and scale rapidly. But once the deal is announced, the market immediately begins asking questions – and this creates a window of opportunity to shape the narrative.
The post-acquisition moment is when a business lays out its vision and increases visibility for its people, products and services. It is the time to explain what the acquisition means for customers, investors and employees.
In the critical period after the announcement, companies should actively step forward with consistent thought leadership and profiling to solidify its leadership position and clearly communicate the identity of the expanded organisation. It’s not enough to be part of the conversation, a business must lead it, emphasising how the expanded company now has something new and even more effective to offer.
Doing nothing leaves a gap that competitors are quick to fill. Their narratives, unchallenged, will amplify and ultimately dominate share of voice. A cloud of uncertainty can then quickly gather around the newly-acquired or merged business.
Everyone wants accurate information
Right after an acquisition, of course, PR activity must reassure customers and buyers about product roadmaps, support-continuity, pricing and contract terms. When communication is limited or unclear, concern can quickly turn into frustration, particularly if stakeholders are unsure whom to contact to manage their account or address urgent issues.
Whether they’re a customer, employee or investor, everyone wants clarity about the timelines for handovers, service alterations or restructuring of organisational departments and territories. Something as routine as a change in invoicing can start the rumour mill going about bigger changes coming down the line.
If there are changes – anything from product rebranding to headcount reductions – the failure to communicate properly with the wider market could impact confidence. It is vital that investors do not perceive a lack of strategy, or that unanswered concerns leave partners asking themselves if they should scale back their relationship.
Internally, employees concerned about what the acquisition means for them could easily become demotivated and start looking for new jobs. As much as anyone, they need to know the vision.
Competitors will sense an opportunity
When a company goes quiet after an acquisition, competitors rarely do the same. A communications vacuum gives them space to reinforce their own position and leadership while you are absent from the conversation. They can reassure the market, emphasise their stability and present themselves as the safer choice while customers and partners are still trying to understand what the acquisition means.
In that environment, it becomes much easier for competitors to shape the narrative around your business. They may imply that support is uncertain, that price increases are likely, or that products are heading for the sunset. Even vague suggestions can be enough to create doubt in the minds of customers who are already unsure about the future.
Sales teams for the merged business may suddenly find they are constantly having to debunk rumours and re-establish credibility. A reputation for reliability and excellence built up over years can be impacted quickly.
The advantages of a trusted comms partner in M&A
If, however, an acquisition is supported from the outset by continuing communications from a B2B tech PR partner, all these pitfalls are avoided. Preparation and experience are everything. Senior leaders from the acquirer can rely on a Performance PR specialist to draft a coherent communications strategy that covers every aspect and possible consequence of their transaction. It will be in full alignment with the leadership’s long-term aims.
Experience of M&A activity makes it easier to integrate brand narratives and craft messaging that reassures customers, partners and investors.
An integrated campaign ensures the new business explains its strategy coherently across all channels including a programme of well-timed news releases in the right publications, social media to dispel gossip and briefings with the right journalists.
Communications will also address the information requirements of employees and partners – whether through tailored email campaigns or FAQ documents to help maintain morale and strengthen commercial relationships at a time of uncertainty.
A sustained, longer-term programme of articles, blogs and interviews in targeted publications, forums and broadcast media then builds on these foundations and leaves no room for doubt about the company’s progress and its leaders’ plans.
The continuing alignment of comms and business strategies after acquisition
This coherent communications strategy will ensure the new business is fully visible, well-understood and generates confidence in suppliers, customers and partners. Competitors will be far less likely to think they are being offered a big open-goal to aim at.
The key message is that the acquisition story doesn’t end with the deal – that’s when it really begins. Performance PR is what ensures the market understands the value, vision and purpose behind it, and is ready for exciting new developments in products, services and people.
If you are involved in an acquisition, or have just completed one, and need help with your PR strategy, get in touch with our experts to discuss your requirements.
