City marketing agency 60 Watt was asked by businesses to come up with a strategy that will keep the area vibrant in difficult trading conditions.

It has now dubbed the area between Queensferry Street and Manor Place the West End Village and is trying to promote the community feel it shares with other parts of the city such as Stockbridge and Bruntsfield.

Banners are to be put up along the side of fencing around tram work on and around Shandwick Place promoting the "village", with slogans including "Don't forget the village, people" and "The West End: Edinburgh's best end".

Plans are being considered to erect bunting and flags, while a 36-page brochure is being produced promoting West End businesses and advertising special offers and discounts.

The first West End Village Market will be held on June 4, featuring 18 stalls including tweed handbags and accessories, handmade silk scarves and ties, contemporary pottery, arts and crafts.

Mark Gorman, "head of thinking" at 60 Watt, whose clients have included ScottishPower and Edinburgh Leisure, said: "There is already a good community there but this gives it more of a public face.

"You've got the likes of Stockbridge and Bruntsfield that have their own area and this should be the same but it kind of falls into no man's land."

The agency was hired after being funded by both members of the West End Association and money from the Open For Business group, which was set up by Tie and the city council to encourage people to use the city centre during tram work.

Graham Birse, chairman of the Open for Business group, said: "If you are a retailer you could take the view that tram construction is happening, it will take three years and it will significantly impact my business but what can I do?

"But it is vital that we avoid the temptation to lean towards defeatism and instead get the collective will to overcome it by offering something fresh and new."

Traders in the West End have complained of suffering reductions in revenue of up to 60 per cent as a result of the closure of Shandwick Place for tram construction.

But Michael Apter, owner of Paper Tiger and chairman of the West End Association, which has 40 members, said: "Nobody would deny for one minute that there will be an impact on trade. Bus routes have changed, pedestrians have changed where they walk and people are just going shopping elsewhere or getting a sandwich elsewhere.

"But this is an opportunity to remind people that we are here and we have good businesses here.

"The tram work is a problem visibly but people are still able to walk around, access the area on foot and enjoy shopping here."