The companies Marketing Monitor, which is compiled by surveying consultancies, shows that average gross income per head in the branding and design sector has risen to £94 378.
The average operating profit margin in the sector has risen to 8.1 per cent, up from 6.7 per cent six months ago.
Kingston Smith W1 says this is the biggest increase in any sector surveyed – this includes advertising, PR, media buying, direct marketing and digital.
The group says, ‘Design businesses reacted swiftly to the economic downturn, cutting costs and reassessing their staffing requirements. As a result, and coupled with continued control over overheads, they are now starting to see the benefits of this painful process through improved productivity, which in turn has directly improved profits.’
It adds, ‘The challenge ahead for designers is to achieve top-line growth, using the same cost base, in order to push up bottom-line profits. This is no easy task… so new ways of demonstrating the value of design work may be needed in order to achieve profit growth.’