Independent agency The Variable has acquired Data Crunch, an applied AI and advanced analytics company.

Data Crunch, founded in 2019, will operate under The Variable name. Co-founder Curtis Seare will become The Variable’s VP of emerging technology and Co-founder Ryan Nokes will become VP, data strategy and insights.

The Variable will assume duties for Data Crunch’s client list, which includes brands such as Deloitte, American Express, USAA and Qwoted. Financial terms of the deal were not disclosed. 

With the acquisition, The Variable will immediately launch applied AI and emerging tech consulting offerings using Data Crunch’s custom software engineering, data visualization and web development and optimization abilities for the Winston-Salem, North Carolina-based agency’s clients, which include NAPA Auto Parts, Procter & Gamble, Frigidaire and Char-Broil.

Also read: AI and marketing—news about ChatGPT and more

The goal is to offer more than campaign analytics and measurement, said David Mullen, partner and CEO. He wants The Variable to give clients more clarity and confidence with data and emerging technology. 

“An agency’s only chance at long-term sustainability is to stay ahead of the curve for clients because otherwise, if the clients’ ability to overcome their own complexity outpaces the agency’s, they don’t need you anymore,” Mullen said. “We felt we needed to build out that expanded capability that helps futureproof our agency and help clients futureproof their own business as well.” 

The Variable began working with Raleigh, North Carolina-based Data Crunch in 2022 as an external partner on client projects and a new agency IP offering that can accurately measure audience response to brand marketing and use it to predict future purchase decisions. Mullen was impressed with Data Crunch’s ability to offer technical solutions to business needs and then execute on them.

“We wanted someone who could help us understand the big business problem and help think through creative solutions to use data to uncover an opportunity and tackle that,” said Mullen.

"We’ve played around with [AI] enough and gotten enough results out of it in new ways that I feel like what’s happening now is fundamentally going to change things much like the internet did,” Seare said. “The timing of this merger is good because we want to stay ahead of that innovation.” 

That also means using artificial intelligence as more than a shortcut or a gimmick for creative work, according to Mullen. 

“We see a world where AI is used to add more value upstream to bring clarity and confidence to decision-making for clients,” he said. “We're focused on first integrating it into our processes for business strategy, brand strategy, innovation strategy, ideation and connections planning—the areas that drive more long-term business value and growth potential for clients.”