How the current M&A landscape is shaping Gen Z’s career trajectory

As someone who previously worked at a mid-sized agency that pursued two acquisitions during my tenure, Omnicom’s announcement that it intends to acquire Interpublic Group had my full attention. 

While the consolidation of industry giants isn’t new, the increasing prevalence of mergers and holding company acquisitions is shaping the career paths of Gen Z professionals.

The M&A landscape is widening the gap between big-name giants and small, indie firms, outlining different opportunities for young professionals to structure the trajectory of their career. From career development to job security, consolidated companies and specialized, indie firms each provide pros and cons to Gen Zers just starting out or early on in their careers. 

Consolidated agencies, for instance, can offer advantages that their smaller counterparents aren’t able to. One of the most critical benefits is the training and development resources and network of mentors larger firms or holding companies provide, allowing early career professionals to sharpen their skills with more support. 

Integrated agencies typically lean into specialized practice areas so Gen Z professionals are encouraged to develop expertise in a specific focus early on.

Larger firms also offer an international footprint. Exposure to cultural differences enables rising talent to develop a global perspective — a perk that many professionals may not experience until later in their careers, despite increasing demand from clients for a global brand. 

I, like many other professionals, believe the continuation of big-name mergers will create more space for independent agencies and challenger firms to shine with creative, outside-the-box strategies. 

While big agencies follow the same cookie-cutter approaches, independent firms can give Gen Z freedom to innovate by stepping away from traditional playbooks and carving out new paths and ways of thinking about marketing, comms and PR.

Starting off at a smaller agency can provide increased exposure to various roles. Two years into my career, I moved into a specialized media relations role at a larger firm. Joining a smaller agency gave me the chance to expand that niche skillset to content, social media and integrated marketing, providing the opportunity to explore other interests. 

Moving to an independent firm also allowed me to gain first-hand experience, playing a role in campaigns from end-to-end and working more directly with clients to see the impact of my completed work.

While larger firms typically have more resources to weather economic downturns, there is often less visibility on the contributions of lower-level individuals from a leadership standpoint, which can make Gen Z employees vulnerable during layoffs or restructurings. 

On the other hand, the loss of one major client can bring instability for a smaller firm. But, with employees wearing many hats at a limited staffed shop, Gen Z likely has more opportunity to showcase their contributions and make themselves an indispensable member of their teams.

Job security in the PR world is often a double-edged sword and can be a challenging foundation to build a career on. For Gen Z entering the workforce, it’s critical to consider what you value in a career: creativity, training and development or exposure to diverse roles. 

With the current M&A climate creating a wider gap between consolidated giants and independent shops, it’s more important than ever to evaluate which kind of agency meets your needs and how it will influence the long term goals of your career.

Alana MacLeod is a senior account supervisor at Greenough Communications.