GBM marketing manager Anna Livingstone said: "A lot of advertising agencies, which make up 70% of our customers, were pulling services in-house, and the market was fragmenting."

GBM decided that adding design was a "natural side-step", and that it would target its packaging design and repro directly at companies such as Tesco, Co-op, Superdrug and Boots.

However, Livingstone was adamant that GBM was not trying to compete against creative design agencies.

"We wont be offering account management, media buying or strategic planning. But by adding design, customers will feel the price benefits, as they will effectively be getting project management from the artwork and production stages through to print management," said Livingstone.

Breakaway Designs former owner, Terry Stanton, will now become GBM creative director. The acquisition is predicted to increase GBMs turnover from 2.4m to 3m in the next 12 months.

Story by Rachel Barnes