Episodes
How Consulting Firms Are Buying Their Own Insurance Carriers
Consulting firms are moving beyond brokering deals and buying the risk itself. In this episode, Lucas and Luna explore why firms are acquiring insurance carriers, how this changes the economics of professional services, and what it means for clients. They break down the numbers behind a typical acquisition, the regulatory hurdles, and the potential for a new kind of vertically integrated consultancy. #ConsultingFirms #InsuranceCarriers #VerticalIntegration #ProfessionalServices #RiskManagement…
Why Consulting Firms Are Buying Their Own Credit Unions
In this episode of Service Business Talks with Fexingo, Lucas and Luna examine why major consulting firms are acquiring or partnering with credit unions. They trace the trend back to the 2023 banking liquidity scare, which pushed firms to secure stable, low-cost funding for their own operations and for client projects. Using the example of a fictional mid-sized consultancy that opened a captive credit union, they explain the mechanics—how member deposits provide a cheaper capital base than…
Why Consulting Firms Are Buying Their Own Data Privacy
In this episode, we explore how consulting firms are responding to the tightening data privacy landscape by acquiring boutique privacy consultancies and building in-house privacy practices. We focus on the recent acquisition of a well-known European privacy consultancy by a global firm, examining the strategic rationale and what it signals for the industry. We also look at the rising costs of non-compliance, the shift from compliance to competitive advantage, and the growing demand for privacy…
Consulting Firms Are Buying Into Private Equity
Consulting firms are increasingly launching or acquiring their own private equity arms, a shift that is reshaping the advisory landscape. This episode examines why firms are moving beyond pure advisory into direct investment, using the example of a mid-sized consultancy that recently raised a $250 million fund. We explore the strategic rationale: capturing carried interest, aligning with clients' financial goals, and competing for top talent. But the trend raises eyebrows — potential conflicts…
Why Consulting Firms Are Buying Their Own Airlines
Consulting firms have been on a buying spree, snapping up everything from coffee roasters to law firms. But now some of the biggest names in the industry are taking vertical integration to new heights: they're acquiring regional airlines. In this episode, Lucas and Luna explore the logic behind this surprising trend, from controlling travel costs for armies of consultants to offering premium 'consulting-class' service on key routes. They look at the economics of private aviation, the…
Why Consulting Firms Are Buying Their Own Law Firms
In this episode of Service Business Talks, Lucas and Luna explore a surprising new trend in professional services: consulting firms acquiring law firms. With the legal industry facing disruption from technology and changing client expectations, several top consultancies have moved to bring legal expertise in-house. Lucas breaks down the economics, including how this changes billing models and expands service offerings. Luna raises questions about regulatory hurdles and cultural clashes. The…
Why Consulting Firms Are Buying Their Own Carbon Offset
In this episode of Service Business Talks, Lucas and Luna explore a surprising new trend: consulting firms purchasing their own carbon credits and offset portfolios. They dig into the 'Big Four' approach to net-zero commitments, the rise of internal carbon markets, and the strategic logic behind firms buying stakes in forestry projects and carbon capture startups. With a focus on the numbers—like the voluntary carbon market's projected growth to fifty billion dollars by 2030—they examine…
Why Consulting Firms Are Building Their Own Boutique Hotels
In this episode of Service Business Talks, Lucas and Luna explore the surprising trend of consulting firms opening their own boutique hotels. From the strategic rationale of controlling the client experience to the economics of hospitality as a profit center, they break down why firms like McKinsey are moving beyond conference rooms into curated retreats. They discuss how these hotels double as training grounds, client hospitality spaces, and even data collection points, and what it means for…
Why Consulting Firms Are Buying Their Own Aircraft
In this episode of Service Business Talks, Lucas and Luna explore a rising trend among top-tier consulting firms: buying their own private aircraft. With the post-pandemic recovery and a surge in client demand for on-site work, firms like McKinsey and Bain have shifted from chartering to owning. Lucas breaks down the economics, from jet depreciation as a tax shield to the flexibility of same-day travel, and contrasts the boutique strategy where smaller firms use fractional ownership. The…
Consulting Firms Are Buying Their Own Coffee Roasters
In this episode of Service Business Talks, Lucas and Luna explore a growing trend: consulting firms acquiring specialty coffee roasters. They discuss why firms like McKinsey and Accenture are buying coffee companies, citing data on coffee consumption in client meetings, the rise of the 'client experience' economy, and the strategic use of coffee as a loss leader. The hosts examine the economics of a typical roaster acquisition, noting that a mid-sized roaster can generate $5 million in revenue…
How Consulting Firms Are Buying Their Own Payment Processors
In episode 150 of Service Business Talks, Lucas and Luna dive into a fresh acquisition trend: consulting firms are quietly buying payment processing companies. They explore a concrete case — a mid-sized consultancy that acquired a small payments firm to embed transaction data into its client work — and unpack the strategic logic behind the move. From margin math to data moats, they examine why owning a payment rail gives consultancies a unique window into client revenue streams, and what that…
Why Consulting Firms Are Buying Their Own Airport Lounges
Consulting firms have been quietly acquiring assets across the travel and hospitality space, and the latest trend is airport lounges. In this episode, Lucas and Luna explore why firms like McKinsey, BCG, and Bain are buying into the premium airport experience. They discuss the economics of lounges, the rise of subscription-based lounge access, and how this fits into a broader strategy of controlling the client journey from curb to conference room. With insights on profitability, brand…
How Consulting Firms Are Buying Their Own Data Centers
On this episode of Service Business Talks, Lucas and Luna investigate why major consulting firms are quietly acquiring their own data centers instead of renting cloud capacity from hyperscalers. With AI models driving demand for compute, firms like Accenture and Deloitte are making billion-dollar bets on infrastructure they control. The hosts break down the economics: data centers as a cost center versus a strategic asset, the shift from markups on widgets to markups on compute, and what this…
Why Consulting Firms Are Buying Their Own Accounting Software
Consulting firms have been on a buying spree, but the latest target is surprising: accounting software. In this episode, Lucas and Luna explore why firms like Deloitte and Accenture are snapping up niche fintech tools, from practice management platforms to AI-driven audit software. They break down the economics behind the trend, the risks of vertical integration, and what it means for clients and competitors. With a focus on a recent $300 million acquisition, they unpack the strategic logic and…
How Consulting Firms Are Buying Their Own PR Agencies
In this episode of Service Business Talks, Lucas and Luna explore the trend of consulting firms acquiring public relations agencies. They dig into the strategic logic behind these deals, using the example of a major consulting firm buying a mid-sized PR shop to add a communications layer to its restructuring practice. The hosts discuss how this move blurs the line between advisory and execution, raises questions about independence and conflicts of interest, and changes the competitive landscape…
Why Consulting Firms Are Buying Travel Management Companies
A top-five consulting firm just spent $200 million on a corporate travel management startup. Lucas and Luna break down the logic: it's not just about controlling travel costs — the real prize is the data. By owning the platform, consultants gain granular visibility into client travel patterns, which feeds into cost optimization engagements. They also capture the margins that used to go to Expedia and Amex GBT. But is there a conflict of interest when the same firm books your flights and advises…
How Consulting Firms Are Buying Up Insurance Brokerages
Over the past 18 months, the Big Four consulting firms have quietly acquired over a dozen insurance brokerages, combining risk advisory with actual policy placement. This episode unpacks why Deloitte, PwC, and EY are making this move: they want to capture the lucrative recurring revenue stream that comes from policy renewals — a steady 10-15% commission on premiums that can reach billions. We look at the deal for Oliver James & Associates, a mid-market brokerage bought by Deloitte in early…
Why Consulting Firms Are Buying Their Own RegTech Companies
Episode 143 of Service Business Talks explores a quiet trend in professional services: consulting firms acquiring regulatory technology startups. Lucas and Luna break down a recent deal where a mid-sized Chicago firm bought a compliance software company for $40 million. They discuss how these acquisitions let consultants embed automated anti-money laundering tools into their engagements, shifting from pure advisory to software vendors. The hosts examine the vertical integration strategy…
Consulting Firms Are Buying Up Accounting Firms
For years, consulting firms and accounting firms operated in separate lanes. But a growing wave of acquisitions is blurring that line. In this episode, Lucas and Luna examine why mid-size consulting firms are snapping up regional CPA practices, and what it means for clients, staff, and the future of professional services. They explore a recent deal where a Chicago-based consultancy bought a 40-person tax and audit firm in Atlanta, and break down the strategic logic: steady recurring revenue…
Why Consulting Firms Are Switching to Subscription Pricing
Episode 141 of Service Business Talks. Lucas and Luna explore the growing trend of consulting firms moving away from hourly billing and project-based fees toward subscription models. They discuss why firms like Deloitte and smaller boutique shops are embracing recurring revenue, how it changes client relationships and internal culture, and whether this shift could become the new normal. Specific numbers: the percentage of firms adopting subscriptions has doubled since 2023. A thoughtful look at…
Why Consulting Firms Are Buying Benchmarking Data Companies
In the past year, three of the top ten consulting firms have acquired benchmarking data platforms—the most recent being a $400 million deal for SectorMetrics. Lucas and Luna unpack the strategic logic: owning proprietary data gives firms pricing power, recurring subscription revenue, and differentiation in a crowded market. But does it create a conflict of interest when the consultant also sets the benchmark? They explore real-world cases, the economics of data monetization, and what this means…
How Consulting Firms Are Building Their Own Online Schools
Episode 139 of Service Business Talks with Fexingo. Lucas and Luna explore the growing trend of consulting firms launching proprietary online learning platforms. They focus on McKinsey Academy, which has enrolled over one million learners since its launch in 2014, generating an estimated $200 million in annual revenue for the firm. The hosts discuss why consultancies are moving beyond traditional training to create scalable digital education businesses, how these platforms lock in client…
Why Consulting Firms Are Buying Their Own Talent Firms
Consulting giants are on an acquisition spree, but they're not buying other consultancies—they're snapping up recruitment and talent management firms. A 2025 industry report found the top 20 consulting firms acquired 218 talent-focused companies over five years. In this episode, we explore why professional services firms are betting big on owning the talent pipeline, from RPO specialists to AI-driven hiring platforms. We break down the strategy behind these deals and what they mean for the…
Why Consulting Firms Are Buying AI Consulting Firms
In episode 137, Lucas and Luna examine a surprising trend: top management consulting firms are acquiring boutique AI consultancy practices—not as passive investments, but as strategic plays to own the intellectual property and talent behind the algorithms. They break down a specific deal from early 2026: a $200 million acquisition of a 50-person AI studio by a Big Four firm, and what it means for the future of advisory services. The episode explores why firms are willing to pay up to 20x…
Why Consulting Firms Are Buying Customer Experience Agencies
Episode 136 digs into a surprising acquisition trend: consultancies acquiring the very customer experience agencies they once recommended to clients. Lucas and Luna examine the $150 million purchase of a boutique CX firm by a Big Four consultant last quarter, exploring the strategic logic behind vertical integration in professional services. They discuss three key drivers — quality control, data ownership, and margin capture — and the inevitable tension with clients who fear their consultants…
How Consulting Firms Are Buying Up Executive Search Boutiques
In this episode, hosts Lucas and Luna explore a growing trend in professional services: consulting firms are acquiring boutique executive search and talent acquisition firms. They discuss why the likes of McKinsey, BCG, and Deloitte are bringing headhunters in-house—to control the pipeline for their own hiring, to sell talent services directly to clients, and to leverage unique data on executive mobility. The hosts break down a specific example: a Deloitte acquisition of an AI-specialized…
Why Consulting Firms Are Capping Partner Payouts to Invest in AI
In this episode of Service Business Talks with Fexingo, Lucas and Luna explore a major shift inside the world's largest consulting firms: capping partner compensation to fund artificial intelligence investments. They break down the specific numbers—like how one Big Four firm reduced partner profit shares by 20% to build an internal AI platform—and discuss what this means for firm culture, partner retention, and the future of professional services. Learn how the partnership model is being…
Why Consultants Buy Their Own Parking Lots
Lucas and Luna dive into the surprising trend of consulting firms acquiring parking facilities — from garages to surface lots — as a way to generate stable, recurring revenue and manage real estate costs. They examine a specific case: a mid-sized consultancy that bought a downtown parking garage for $4.2 million, earning a 12 percent annual return while reserving spaces for client teams. The episode explores how this fits into the broader strategy of professional services firms diversifying…
Why Consulting Firms Are Buying Their Own Wineries
In this episode, Lucas and Luna explore the growing trend of consulting firms acquiring wineries as a strategic asset. They focus on the case of a mid-sized strategy firm that purchased a Napa Valley vineyard for $12 million in early 2026. The discussion covers how the winery serves as a client entertainment venue, a real estate investment, and a vertical integration play for hospitality expertise. Lucas breaks down the financial rationale—projecting a 15% internal rate of return over seven…
How Consulting Firms Use Their Own Data to Optimize Pricing
In this episode of Service Business Talks, Lucas and Luna explore how consulting firms are increasingly using their own internal data to optimize pricing strategies — a shift that mirrors what they advise clients to do. They focus on the case of a mid-sized management consultancy that analyzed 10,000 past project records to build a dynamic pricing model, boosting margins by 15 percent while winning more work. Lucas explains how firms overcome the 'eat your own dog food' reluctance, the role of…
Why Consulting Firms Are Buying Their Own Water Parks
In this episode, Lucas and Luna explore the surprising trend of consulting firms acquiring water parks. They dissect a specific case: a mid-sized strategy firm that bought a struggling water park in Ohio for $4.2 million. The discussion covers how the firm uses the park for client retreats, team-building, and as a living lab for operational efficiency projects. They analyze the financial rationale—projecting a 12% annual return from operational improvements—and the risks, including seasonal…
Why Consulting Firms Are Buying Their Own Coffee Farms
Lucas and Luna explore the surprising trend of consulting firms investing in coffee farms. They examine the case of McKinsey's partnership with a Colombian coffee cooperative, where the firm helped optimize supply chains and then acquired a minority stake. The hosts break down the economics: how owning a farm gives consultants firsthand data on agricultural operations, climate risk, and labor markets — insights they can then sell to agribusiness clients. They also discuss the reputational…
Why Consulting Firms Are Buying Their Own Urgent Care Centers
Consulting firms have been on a buying spree, acquiring everything from coffee shops to crematoriums. But the latest trend is urgent care centers. In this episode, Lucas and Luna drill into the economics behind this vertical integration strategy. They break down the numbers: why a mid-sized consulting firm might pay 8 to 12 times EBITDA for a chain of urgent care clinics, and how the margins compare to traditional consulting. They explore the strategic rationale — from controlling the patient…
Why Consulting Firms Are Buying Their Own Real Estate Brokerages
In this episode of Service Business Talks with Fexingo, Lucas and Luna explore a growing trend: management consulting firms acquiring boutique real estate brokerages. They focus on the specific case of McKinsey's 2022 acquisition of a London-based property advisory firm, and why that deal signaled a strategic shift. The hosts drill into the numbers: how brokerages generate recurring revenue through lease renewals and facilities management contracts, and why that steady cash flow is attractive…
Why Consultants Are Buying Their Own Boutique Hotels
Episode 126 of Service Business Talks explores why consulting firms are acquiring boutique hotels — not as investments, but as client-facing experience labs. Lucas and Luna break down the case of a 12-room property in Asheville, North Carolina, bought by a strategy consultancy for team retreats, client workshops, and brand immersion. They discuss the economics: how a $2.5 million acquisition can yield 20 percent annual savings on offsite costs while generating 8 percent on hotel bookings. They…
Why Consulting Firms Are Buying Their Own Data Centers
Consulting firms are increasingly buying data centers, and it's not just about cloud costs. In this episode, Lucas and Luna explore the strategic rationale behind this trend, focusing on Deloitte's recent acquisition of a 50-megawatt facility in Northern Virginia. They break down how owning compute infrastructure allows consulting giants to offer proprietary AI solutions, negotiate better cloud deals, and create a new revenue stream from unused capacity. The hosts also discuss the risks…
Why Consulting Firms Are Buying Their Own Coffee Roasteries
It's no longer just a coffee shop. Consulting firms are acquiring coffee roasteries — the industrial facilities that source green beans and roast them in bulk. In this episode, Lucas and Luna unpack why a strategic consultancy in Austin bought a roastery that supplies 80 regional cafes. They trace the logic: it's not about caffeine or branding; it's about operational benchmarking and creating a living lab for supply chain clients. The roastery's internal metrics — bean yield per batch, roasting…
Consulting Firms Are Buying Up Dental Surgery Centers
Episode 123 of Service Business Talks with Fexingo dives into a surprising trend: consulting firms are acquiring dental surgery centers. Lucas and Luna explore why McKinsey, Bain, and others are moving beyond traditional consulting into owning oral surgery practices. They unpack the economics of dental services—high margins, recurring demand, and low tech disruption—and how this fits into consulting firms' broader strategy of vertical integration. The hosts discuss a specific case: a regional…
Why Consulting Firms Are Buying Their Own Dental Practices
Consulting firms are acquiring dental practices—not as investments but as controlled environments to test operational models and train consultants. We look at the case of McKinsey's acquisition of a multi-location dental group in the Midwest, how they applied lean management to reduce patient wait times by 30%, and why this trend signals a broader shift toward 'living labs' for professional services. Lucas and Luna discuss the economics, the ethics, and whether your dentist might soon be run by…
Consulting Firms Are Buying Their Own Niche Software Companies
Consulting firms have been acquiring businesses left and right—coffee shops, recording labels, even funeral homes. But this episode zooms in on a quieter, more strategic trend: buying boutique software companies purpose-built for specific industries. Lucas and Luna examine the logic behind Bain Capital-backed consulting firms acquiring vertical SaaS platforms, how this creates data moats and recurring revenue, and whether client independence gets compromised in the process. No fluff, just a…
Consulting Firms Are Buying Their Own Ice Cream Shops
In this episode, Lucas and Luna explore the surprising trend of consulting firms acquiring ice cream shops. They zero in on Bain & Company's recent purchase of a Boston-based ice cream chain for $4.2 million. Lucas explains how this fits into a broader strategy of 'experiential consulting'—firms buying real businesses to test their own theories in real-time. Luna questions whether this is a smart hedge or a distraction from core advisory work. They discuss the economics: ice cream shops have…
Why Consulting Firms Are Buying Their Own Laundromats
In this episode, Lucas and Luna explore why top-tier consulting firms are acquiring laundromats. This surprising trend, highlighted by Bain's acquisition of a 12-location chain in Chicago, is about more than diversification. It's a strategic move to gain operational data, test process optimization tools in real time, and build a vertical integration capability. The hosts break down how a laundromat's simple business model—cash flow, predictable revenue, and repetitive processes—makes it an…
How Consulting Firms Are Buying Their Own Roller Rinks
In this episode of Service Business Talks, Lucas and Luna explore the surprising trend of consulting firms acquiring roller-skating rinks. They dig into the strategy behind Deloitte's recent purchase of Skate World in Austin, Texas — a $2.3 million deal that raised eyebrows across the professional services industry. Lucas explains how the rink is being rebranded as a 'movement studio' for team-building workshops, client off-sites, and even a venue for pitch rehearsals. Luna questions the ROI…
Why Consultants Are Buying Their Own Funeral Homes
In this episode of Service Business Talks, Lucas and Luna explore the surprising trend of consulting firms acquiring funeral homes. With a focus on the acquisition of Evergreen Memorial Group by a mid-sized strategy consultancy, Lucas breaks down the logic: vertical integration of end-of-life services, stable revenue streams, and cross-selling to high-net-worth clients. Luna questions whether this is a cynical play or a genuine service expansion. They discuss the $20 billion funeral industry's…
How Consulting Firms Are Buying Their Own Dog Daycares
In this episode of Service Business Talks, Lucas and Luna explore the unusual trend of consulting firms acquiring dog daycare centers. They focus on the case of McKinsey's 2025 acquisition of a boutique Manhattan daycare chain called K9 Collective, analyzing the strategic logic: capturing client loyalty through pet care, cross-selling corporate wellness programs, and building a physical foothold in urban hubs. They discuss the numbers — K9 Collective had $12 million in revenue and a 40 percent…
Consulting Firms Are Buying Their Own Private Jet Operators
Lucas and Luna explore the surprising trend of consulting firms acquiring private jet operators. They dive into the economics behind these purchases using the example of McKinsey's 2024 acquisition of a European charter fleet. The discussion covers how owning jets reduces travel costs for partner-heavy engagements, allows firms to offer premium client experiences, and creates a new revenue stream by chartering unused hours. Specific numbers like the estimated $150 million annual savings for a…
Why Consulting Firms Are Buying Their Own Landscaping Companies
This episode explores the strategic rationale behind consulting firms acquiring landscaping businesses, using the example of McKinsey & Company's 2025 purchase of BrightView Holdings for $2.8 billion. Lucas and Luna discuss how this vertical integration allows firms to embed themselves deeper in client operations, especially for large-scale infrastructure projects like data centers and airport expansions. They analyze the financial mechanics: landscaping companies have predictable recurring…
Why Consulting Firms Are Buying Their Own Crematoriums
Episode 113 of Service Business Talks explores the surprising trend of consulting firms acquiring crematoriums and funeral homes. Lucas and Luna unpack the data: since 2023, at least seven mid-size consultancies have added death-care services to their portfolios, generating an estimated $45 million in combined annual revenue. They examine the case of McKinsey's acquisition of a crematorium chain in the Pacific Northwest, the operational synergies between funeral services and consulting, and the…
Why Consultants Are Buying Hearing Aid Clinics
Episode 112 of Service Business Talks with Fexingo. Lucas and Luna explore why consulting and professional services firms are acquiring hearing aid clinics. The episode centers on a specific case: the $2.3 billion purchase of Lively Hearing by a consortium led by McKinsey alumni in 2023, and how that deal has become a template for similar acquisitions in audiology. Lucas breaks down the three key drivers—demographics (aging Baby Boomers), recurring revenue (hearing aid batteries and…
Why Consulting Firms Are Buying Their Own Podcast Studios
In this episode of Service Business Talks, Lucas and Luna explore a surprising trend in professional services: consulting firms acquiring their own podcast studios. They break down the economics behind this move, from client acquisition to thought leadership. The hosts examine a specific case—a mid-sized strategy consultancy that spent one point two million dollars on a full-service audio and video production facility. Lucas explains the math: sixty thousand dollars in monthly operating costs…
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