ITV looks beyond advertising
Adam Crozier, the chief executive of ITV speaking at its results announcement, said he would make the commercial broadcaster “fit for purpose” and promised far-reaching changes that would see up to half of its revenues come from outside TV advertising in five years time.
The group’s interim results showed progress in reducing ITV’s net debt from £612 mllion (E765m) to £437 million. Revenues rose £78 million to £987 million as net advertising revenue rose 18 per cent, ahead of the market average. Cost-cutting meant ITV moved from a pre-tax loss of £105 million to a profit of £97 million.
Unveiling a five-year plan to transform the group, Crozier said that ITV had not kept pace with the changes to the media industry such as pay TV and the Internet. “We are under no illusion that ITV needs to change substantially,” he said.
Crozier confirmed ITV is looking to launch an online micropayment system and has admitted that it hopes to charge for some of the content it provides on roject Canvas. A significant part of a three-year £75m investment programme will go online. He said that ITV.com needed to be overhauled before the launch of Project Canvas, due in the second quarter next year, because the broadcaster's own website will "become much more of a destination" from that point.
Crozier also confirmed HD versions of ITV 2,3 and 4 will be available in the Sky platform.