Online Magic, the London-based new media advertising agency, has set up an interactive TV division which will provide consultancy services to its parent Agency.Com’s clients. The division, with an initial staff of 12, will be helping several of Agency.Com’s existing clients to formulate strategies for multiple-digital- channel TV, and to take part in European interactive TV trials. Alex Wright, former creative director at Online Magic, has been appointed head of the interactive TV division. Roger Flynn, head of distribution at Agency.Com client British Airways, says that the airline is working with the interactive TV division to develop strategies for selling holidays and travel through new media channels. Online Magic was bought by New York-based Agency.Com earlier this year.