Fiona Ramsay, Media Week, 24 June 2008, 1:00pm

SMG changes name to stv Group

LONDON - SMG is to rename itself stv Group to highlight its growing focus on its Scottish ITV business. The move follows the group's disposal of radio and outdoor businesses, as it launches a new digital strategy based around the stv.tv website.

Scottish TV

The proposed name change follows the disposal of Primesight and the completion of the sale of Virgin Radio to Times of India, as well as a refocusing on its core Scottish broadcasting business. Stv encompasses the central and north of Scotland ITV franchises, and SMG's production business.

SMG said the stv brand reach is strong, with four million viewers every week. News programmes Scotland Today and North Tonight have a 26% share, while the business aims to increase its share of the Scottish advertising market.

The stv.tv website will be relaunched with video catch-up and archive content this summer, with UK programming including the same online content rights as ITV.com, as well as local Scottish content. The content will be promoted via the stv TV channel.

Stv aims to convert 5% of its monthly TV reach online by 2010, and has a target of capturing 2% of the Scottish online display market via its new video site.

Stv will make available regionally-produced material across news, sport, entertainment and drama, as well as national material from the ITV network, including shows such as Coronation Street and Emmerdale. Selected material from stv's 50-year-old archive of 200,000 hours of material will also be accessible.

Stv aims to take 3% of the classified market by 2010. In two years, classified and display advertising are estimated to represent 43% of its digital revenues, up from 2% in 2007.

The senior SMG management team is today updating investors and analysts about its plans for the business. Rob Woodward, chief executive, said its plans for regional advertising, content and digital media will "deliver significant growth".