We are on track to hit our diversification target of 50% from non-broadcast earnings by 2023
Our strategic vision is to transform STV into a digital streaming and IP-led media company, maximising the value of our linear Broadcast channel while growing our Digital and Studios divisions to take advantage of the accelerating market in global video and online content. Our business model sees us combine our strategic assets across three interconnected business divisions to create sustainable, long-term value for all our stakeholders.
We are on track to hit our diversification target of 50% from non-broadcast earnings by 2023. This was 38% in 2022.
Our people – people are at the heart of everything we do at STV. Their creativity, commitment, skills, passion and diversity are key to our success.
Our brand - STV is a trusted brand continuing to play an important role in creating value for its stakeholders: as a trusted news and current affairs partner with a high quality source of affordable entertainment; supporting its communities through the STV Children’s Appeal; and helping to grow Scotland’s creative sector.
Our platforms – we operate the leading marketing platform in Scotland (STV, channel 3) and broadcaster Video on Demand platform, STV Player. These combine to give us unique scale and reach across all demographics, enabling us to offer bespoke competitive commercial deals to advertisers and agencies.
Our location – we run Scotland’s largest production company with bases across Scotland as well as a presence in Northern Ireland and London and are uniquely well placed to take advantage of broadcasters’ increased commitments to Nations and Regions production in the UK.
Our intellectual property – we own, or have access to, the rights of a diverse portfolio of programmes that are popular across the UK.
Our relationships – we have strong relationships with our viewers, advertisers, commissioners and communities to deliver value and boost the economy.
Financial capital – we have a strong balance sheet and financial discipline, which provide us with the capital to invest in medium to long-term growth initiatives.
We operate an increasingly diverse business, generating value from a number of different revenue streams:
Advertising revenue – we offer bespoke spot advertising and sponsorship solutions on our linear television channel, STV, and addressable and programmatic Video on Demand advertising on our VOD service, STV Player.
Commercial partnerships – we work with TV platforms under a series of long-term partnerships, as well as with advertisers to provide a ‘one stop shop’ for advertising services, extending beyond the sale of advertising to creative design, post campaign analysis and related activities.
Programme production and distribution – we produce original content for broadcasters and platform owners in the UK and internationally from our production bases across the UK. We own the rights to a library of programmes that we sell and license to broadcasters and platform owners internationally.
Direct to consumer – we directly monetise audiences through on-air competitions and a paid-for VOD service, STV Player+, which provides the option to stream our content without adverts.
Audiences – through our high-quality TV schedule providing the largest peak time audience in Scotland for the fourth year running.
Advertisers – through our unique scale and reach, boosted by the £30m STV Growth Fund.
Our people – by developing a supportive, open, creative and collaborative culture; prioritising the safety, mental health and wellbeing of our people.
Communities – by providing trusted news, facts and information through the most comprehensive local news and current affairs service in Scotland; improving on and off screen diversity to reflect the true face of modern Scotland; raising much needed funds for families and young people in poverty in Scotland through the STV Children’s Appeal; supporting Scottish business to recover from Covid-19 through the STV Growth Fund; and championing climate action through STV Zero.
Investors – continuing to deliver on a growth strategy that generated the highest adjusted operating profit on record in 2022 together with a progressive dividend for shareholders.
Platforms and partners – through a range of successful, long-term relationships with platforms, fellow broadcasters, distributors and suppliers, through which they share in our success.
Government and regulators – STV delivers on its public service obligations and is working with stakeholders to create a sustainable future model for public service media.