Target Company Information

Established in 2011, ODiTY has experienced consistent growth and leadership in customer experience services. In 2020, ODiTY made a significant acquisition that allowed it to double its size by integrating Approche sur Mesure (AsM), the global leader in customer service for the luxury industry since 1998. This acquisition positions ODiTY to achieve a projected revenue of over 30 million euros in 2021.

ODiTY has previously expanded through acquisitions, including Actel in 2015, 118Contact in 2016, and AreYouNet in 2017. With the addition of AsM, ODiTY has strengthened its standing as a leader in customer experience, employing over 1,200 staff and establishing a global presence across nine countries, including France, South Africa, and several others across Europe and Asia.

Industry Overview in France

The customer experience industry in France has seen dynamic growth, notably in luxury segments. The demand for premium customer service solutions has escalated as companies seek to enhance their brand loyalty and consumer engagement. As brands increasingly recognize the importance of exceptional customer service, the market has expanded to accommodate multimodal interactions, including digital and traditional touchpoints.

Furthermore, the COVID-19 pandemic has accelerated the need for innovative customer care solutions as businesses adapt to remote engagement. Companies that effectively blend human expertise with digital tools are gaining a competitive edge in delivering personalized experiences.

France's luxury sector, characterized by its rich heritage and global appeal, continues to thrive in this environment. Companies operating in the luxury space are expected to leverage sophisticated customer interaction strategies to complement their premium positioning. The integration of technology in service delivery has enabled firms to operate seamlessly across diverse markets, increasing efficiency and customer satisfaction.

The expansion of firms like ODiTY into the global service market illustrates the robust potential for growth in France's customer experience industry. With an emphasis on high-quality, tailored services, organizations can capitalize on emerging opportunities in this competitive landscape.

Rationale Behind the Deal

The acquisition of AsM marks a pivotal moment for ODiTY, combining strengths from both organizations to create a comprehensive offering in customer experience management. The deal allows ODiTY to harness AsM's expertise in luxury client services, bolstering its position in a sector where high standards of service are paramount.

Additionally, ODiTY aims to exploit synergies that could arise from this merger, particularly in technology-driven services. The integration offers immense potential for up-selling and cross-selling capabilities while aiming for a higher growth trajectory of at least 20% per year over the next five years.

Investor Information

The investment in ODiTY is supported by Indigo Capital, a specialized investment fund. Indigo Capital has provided financial backing exclusively through bank and bond debt, enabling the acquisition of AsM while maintaining existing investments. The collaboration with key players in the transaction, including Inter Invest Capital and Turenne Groupe, has facilitated a smooth transition during this substantial organizational change.

ODiTY’s founder and president, Benoît Vorilhon, remains the majority shareholder and is set to lead the newly formed entity, ensuring continuity in vision and strategy. François-Xavier Poels, AsM's founder, will assist in the integration process over the subsequent year, benefiting from his extensive industry knowledge.

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The integration of ODiTY and AsM presents a strategic opportunity that signals significant growth potential in the premium customer service market. This merger brings together complementary expertise and resources, paving the way for innovative service delivery models that prioritize client engagement and satisfaction.

Investing in ODiTY AsM may prove advantageous given the wealth of experience both companies share in the luxury sector. The inherent synergies of this collaboration can help drive operational efficiencies and improve overall customer relations, ultimately leading to enhanced profitability.

Furthermore, ODiTY AsM's global footprint and language capabilities provide a competitive edge, allowing it to cater to various markets and client needs worldwide. This positioning not only opens up new revenue streams but also enhances the brand's reputation as a leader in customer experience across multiple sectors.

However, the success of this investment hinges on effective integration and the realization of projected synergies. If managed well, ODiTY AsM is poised to capitalize on emerging market trends and maintain robust growth, marking it as a compelling investment opportunity in the evolving landscape of customer experience services.

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