The Locomotion purchase has boosted Loveurope’s creative capability in the broadcast and online video space, building on its traditional reversioning and adaption services for both agency and brand clients.

Owens said the firm probably needed to do a similar size digital acquisition to give it equal strength across print, digital and video marketing.

He added that the expansion of the firm’s creative services was the result of its transition from traditional creative production house to an increasingly market services-focussed company.

"As our clients continue to change, we’re being asked to produce an increasingly diverse range of content and we that's led to us stregthening our creative services in some areas," he added.

"Traditionally we had a capability in the TV space that was very stong in reversioning and adaptation; we still do that for certain clients but as we've been working with more independent agencies we've found we need to offer a more creative service."

Owens said that the firm was not looking to "actively compete in the heavy decoupled global production sector" that has become "increasingly overpopulated by holding companies".

"We're working much more in the marketing services space, engaging directly with brands and offering a service that is far more around creating content rather than a heavy production offering," he added.

Owens said that Loveurope's production-focussed businesses were performing well and that the group would continue to invest in them from an organic growth perspective, but added: "The way Loveurope and the sector is going we are increasingly looking to invest in marketing services."

Meanwhile, Loveurope's latest acquisition will continue to operate from its base in Soho under founding partner Danny Coster; Owens said he expected the 10-staff business to increase Loveurope’s revenues by around £1m in 2013.