Toronto-based ad tech company Cluep, which specializes in providing AI-powered consumer intelligence for digital advertisers, has been acquired by U.S.-based sales and marketing agency Impact Group.

Impact Group’s acquisition was largely driven by its high number of grocery and CPG customers. Cluep will provide its consumer engagement intelligence to Impact Group in order to further its marketing reach. Karan Walia, co-founder of Cluep, explained to MiC that the group was eager to get its hands on his company’s tech and tools.

“Typically, in the past, their clients didn’t really have access to conversational-based advertising and image-based advertising, which is what we offer to support their business,” he said. “This will really help them continue to offer a complete program to increase retail distribution, which is the main goal of most of their clients.”

Financial terms of the deal were not disclosed.

Cluep will remain a separate division from Impact Group and will continue to operate in its own Toronto offices, serving existing clients and agencies, as well as developing mobile advertising campaigns.

For Cluep, the acquisition allows the company to access Impact’s overall marketing services, including what Walia described as “a breadth of consumer insight and commerce.” He said these capabilities will be especially crucial for its clients in CPG and retail segments. “They’ll be able to tap into a larger team of retail distribution experts.”

Walia said Cluep has executed more than 1,500 campaigns for 700 brands. Impact Group currently has 700 clients, mainly in the CPG, retail and grocery verticals. Past clients include Smuckers, Siggi’s, Kind and Organic Valley.