Accenture and the Big Four accounting firms are shifting focus to smaller companies to drive growth as AI enables lower-cost service delivery. Accenture launched a new unit in June targeting firms with annual revenue between $300 million and $3 billion, while KPMG identified companies under $250 million as a major market opportunity. KPMG's US vice-chair Christian Peo stated private companies are the fastest-growing segment across audit, tax, and advisory services.
Expansion into the middle market creates new employment opportunities despite AI-driven efficiency gains. Accenture has also invested in a digital platform and US-wide advertising to attract private company business. EY and PwC have similarly expanded their middle-market businesses through AI-powered offerings.
EY's Raj Sharma noted the firm can now sell due diligence services at lower costs thanks to technology. New AI specialists and venture-backed models are also entering the space, with Anthropic's IPO highlighting a joint venture with Blackstone to bring capabilities to midsized companies. The US consulting market is projected to grow approximately 8 percent this year, though this lags post-pandemic double-digit growth.
Industry experts note large firms have historically targeted smaller clients during downturns, though skepticism remains regarding service quality for mid-market players.
Source: Financial Times Companies · Summarized by HeadlinesBriefing