IDHL launches AI incubator backed by GBP £1.5 million

Digital agency group IDHL has launched a new group-wide incubator, IDHL Labs, supported by a £1.5 million investment in artificial intelligence and innovation.

The initiative formalises the group's efforts around applied AI and machine learning. It brings together specialists from across the business under a single structure.

IDHL Labs sits at the centre of the group's technology strategy. It will test and validate AI tools, then scale the ones that demonstrate measurable value for client work and internal operations.

Group Technology Director Jonathan Healey leads the programme alongside divisional directors Wes Maynard and Josh Duggan. It follows a period of expansion for IDHL after the acquisitions of The MTM Agency and eCommerce consultancy Vervaunt earlier this year.

Three focus areas

IDHL Labs will focus on three main strands of development. The first is AI-driven automation that streamlines repeatable tasks in planning, activation, reporting and quality assurance. The second is AI-enhanced servicing and strategy that advances proprietary tools for reporting and analytics. The third is next-generation tooling that creates new products and agents for use across functions such as merchandising, finance, creative and digital production.

The group plans to reduce administrative workloads through automation. It expects teams to spend more time on diagnosis, strategy and delivery for clients once AI systems handle routine processes.

It is also enhancing internal reporting and decision-support tools. The work includes AI-driven analysis, real-time activity feedback, and predictive analytics for forecasting and modelling across the digital ecosystem.

The next-generation tooling workstream will design AI-based products that span multiple operational teams. These tools will address gaps in current workflows and may provide new services to clients.

IDHL said the Labs framework focuses on human challenges and practical use cases. It is positioning AI as an operational layer that supports existing teams rather than a stand-alone offering.

Early tools in use

IDHL Labs has begun rolling out tools within the group. An SEO automation product that was developed for one of the business's largest teams is already in production use.

The group said the SEO tool is saving around 180 hours a month. That equates to about 30 minutes per day per client for the team involved.

Other early tools include a tone-of-voice platform that provides instant feedback against brand guidelines. A separate competitor analysis product uses connected AI agents to map rival activity, content and market positioning.

"IDHL Labs gives us a clear path from idea to impact. We frame the challenge, test options and scale the solutions that can prove their value. In a market that rewards speed but punishes missteps, that discipline matters. Clients want the benefit of faster delivery, smarter optimisation and clearer ROI without having to rewire everything at once, and without additional risk. Labs lets us do that on their behalf, so by the time something reaches a client team, it has been tried, measured and optimised. It keeps our innovation grounded in outcomes, not experiments for their own sake," said Jonathan Healey, Group Technology Director, IDHL.

Applied intelligence strategy

The launch of IDHL Labs follows the group's recent move to broaden its service mix and international footprint. IDHL now has more than 500 staff across offices in London, Leeds, Manchester, Southampton and New York.

The group positions itself as a full-service digital technology partner focused on performance marketing, web and eCommerce solutions and data intelligence. It works with brands seeking growth across digital channels and has partnerships with platforms including Google, BigCommerce, Shopify, and Umbraco.

IDHL said the Labs structure will underpin its strategy around applied intelligence and measurable outcomes. It will embed AI in service delivery across its agencies rather than in a single central function.

Maynard said the unit is already changing daily workflows inside the business. "Labs is already helping us remove day-to-day bottlenecks and manual processes, but the real opportunity is to be ever more creative; to explore new ideas, and bring the best of them into the work our clients actually see. In a world where everyone is talking about AI, we're focused on experiments and ideas that solve real challenges and enable us to deliver genuinely effective outcomes. Our clients rely on us to constantly bring fresh approaches, new tools and innovative strategies to the table, and Labs ensures we all retain our position at the forefront of what's possible."

Vervaunt's integration into the group brings additional experience in building in-house products. The eCommerce agency has developed its own Shopify application and internal optimisation tools.

Duggan said the new structure gives Vervaunt a platform for further development within a larger group setting. "Proprietary technology has been a huge part of Vervaunt's strategy from day one. Our Shopify app is used by hundreds of stores, our dynamic content tool Visualise powers around 30% of our social impressions, and our internal tool Abacus drives optimisation efforts every day. Joining IDHL gives us the opportunity to bring that experience into a group already investing heavily in applied AI, and I'm excited to collaborate on accelerating the shared roadmap and building the next generation of tools for our teams and clients."

IDHL plans further product launches from the Labs pipeline as experimentation work moves into production and into its client-facing teams.