DESIGN and marketing company Calm Asylum has launched a digital media division.
Calm Digital will compete with agencies in the branded marketing and digital design and development markets.
Mark Easby, director of Calm Digital, in Middlesbrough, said: "We've looked at what deters small and medium-sized businesses from investing in digital media.
"We found that the key issue was the lack of guarantees from service providers set against the very high cost of buying bespoke content management systems and customer relationship management solutions.
"At the same time, the high street is suffering its biggest drop in sales year-on-year and shows no sign of changing, so companies are understandably concerned about remaining competitive and making informed decisions on how to move forward in the digital marketplace.
"In response, we have developed solutions and a pricing model specifically to overcome these problems - which include specific service guarantees and digital functionality offered at no extra cost to the client."
Calm Digital's team is a mix of graphic designers, marketers, business development managers, digital designers and developers. It also has a research and development division.
Mr Easby said: "We don't think that businesses should have to accept expensive technologies that are highly generic, poorly supported and unoriginal in terms of design and application.
"Our research and development division is here to ensure that businesses get the ideal solution - not something that will merely 'do the job'."
Calm Asylum and Calm Digital are members of Codeworks Connect, the trade association for the North-East's digital industries.
Herb Kim, chief executive of Codeworks, said: "Calm Asylum has become one of the fastest-growing agencies in the North-East through showing true creativity and innovation, so it is no surprise to see them branching out and doing so in a way that's very different from what is already out there."
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