diff --git a/openpype/hosts/photoshop/plugins/create/create_image.py b/openpype/hosts/photoshop/plugins/create/create_image.py
index cf41bb4020..344a53f47e 100644
--- a/openpype/hosts/photoshop/plugins/create/create_image.py
+++ b/openpype/hosts/photoshop/plugins/create/create_image.py
@@ -17,9 +17,7 @@ class CreateImage(openpype.api.Creator):
         create_group = False
 
         stub = photoshop.stub()
-        useSelection = False
         if (self.options or {}).get("useSelection"):
-            useSelection = True
             multiple_instances = False
             selection = stub.get_selected_layers()
             self.log.info("selection {}".format(selection))
@@ -64,8 +62,7 @@ class CreateImage(openpype.api.Creator):
                 # No selection creates an empty group.
                 create_group = True
         else:
-            stub.select_layers(stub.get_layers())
-            group = stub.group_selected_layers(self.name)
+            group = stub.create_group(self.name)
             groups.append(group)
 
         if create_group:
@@ -77,16 +74,15 @@ class CreateImage(openpype.api.Creator):
             group = stub.group_selected_layers(layer.name)
             groups.append(group)
 
+        creator_subset_name = self.data["subset"]
         for group in groups:
             long_names = []
             group.name = group.name.replace(stub.PUBLISH_ICON, ''). \
                 replace(stub.LOADED_ICON, '')
 
-            if useSelection:
-                subset_name = self.data["subset"] + group.name
-            else:
-                # use value provided by user from Creator
-                subset_name = self.data["subset"]
+            subset_name = creator_subset_name
+            if len(groups) > 1:
+                subset_name += group.name.title().replace(" ", "")
 
             if group.long_name:
                 for directory in group.long_name[::-1]: