Popular Streaming Services: What is FAST TV?
Discover FAST TV, a rising star in ad-supported streaming services. Tap into this expanding market and elevate your advertising on CTV and OTT platforms.
FAST TV (Free-Ad-Supported Streaming Television) has risen in popularity as an alternative to subscription streaming services. It offers free, ad-supported TV shows, movies, sports, news, and more.
In an age where the digital world is our primary source of entertainment, the streaming service market has become more competitive and complex than ever. Consumers find themselves navigating and tracking costs, promos, and renewals of a growing selection of platforms and streaming services. Enter one more option that is kind of a hybrid of streaming and linear. FAST TV, or Free Ad-Supported Streaming TV, is CTV streaming that offers content free of charge if you don’t mind the traditional TV ad experience. The price of viewing is a few minutes of ads that pop up throughout. FAST TV is tucked in between the worlds of cable TV and subscription-based streaming services, and it’s a billion-dollar industry.
There are many FAST TV providers, and you are likely aware of a few of them already. These include platforms such as Pluto TV, Xumo, Tubi, The Roku Channel, IMDBTV, Amazon’s Freevee, and Dish Network’s Sling Freestream.
So many choices. How are viewers and advertisers going to decide where to spend their limited time and money and get the best value and content?
The rise of FAST TV
According to a Forbes survey, the average person subscribes to 2.8 streaming services, with nearly 10% paying for more than five at any given time.1
With streaming service prices on the rise and password sharing and simultaneous streaming being limited, consumers are turning to the channels they already have at their fingertips, and further, the ones that are free of charge.
Additionally, while streaming services are playing chess with the licensing of shows and movies, it’s hard to track down new content to watch and to know where to find your favorite show. As the shows move around, so do the subscribers. A study by IGN found that 62% of respondents said they canceled a particular service after finishing a TV series or movie.
- According to a recent TiVo Survey, people use, on average, nearly 10 different streaming apps.2
- Nonpaid services, like FAST TV, accounted for about 32% of the average number of services, which is up from 26% in 2021.
- This is not surprising, as nearly one-third (29%) of US households are canceling streaming video services to save money, according to a new Parks Associates study.3
Who Makes Up the FAST TV Audience?
To understand those who gravitate to the FAST TV platforms, we must acknowledge the structure of the platforms and how they mirror that of the traditional cable TV experience. The most interesting part about these services is the fact that choice, the main driver of all other paid streaming platforms, is taken out of the equation. Users can simply turn on the TV, flip through some channels, and land on something to watch (or not watch). For those in search of TV background noise, this is the free destination! Or if you want to watch a few episodes of a beloved show without having to find *just the right episode* then you may find there is a channel running that show, and all you have to do is let it run.
According to Satista, 57% of TV viewers in the US watched FAST content on platforms such as Pluto TV, Tubi, and the Roku Channel in 2023.4
The generational differences are slight, but they are present. Millennials are in the lead when comparing platforms such as Peacock, The Roku Channel, and Tubi. Pluto TV, however, has a slightly larger population of Gen Xers than any other.
More TV viewers are choosing ad-supported streaming, meaning there’s never been a better time to bring your ads to the platforms. Adding CTV or OTT marketing tactics to your plans can put your message in front of more engaged audiences. Not to mention, with this solution, you get precise targeting, detailed measurements, and increased reach.
How Does FAST TV Advertising Work?
FAST TV channels are supported by video advertisements that typically run from 15-30 seconds and can include shoppable units and clickable links.
FACT: Interactive video ads drive a 47% gain in viewing time spent with a marketing message, as compared to a non-interactive ad, according to a Magna study. And even if those users don’t click on the video itself, the sheer option to interact with the ad makes it 32% more memorable to viewers than non-interactive ads. This kind of memorability drives a 9x higher impact on the purchasing intent of the viewer.
OTT (Over-the-top) advertising is an integral part of the most effective omnichannel marketing strategies, meeting audiences when they are most likely to make a conversion, on the devices they are likely to convert on.
OTT delivery means that FAST TV platforms can be accessed via internet on Smart TVs, streaming devices (like Firesticks), and mobile apps with more advanced ad targeting being possible using digital data on traffic and individual preferences.
FAST TV vs. Linear TV
While the two formats are very similar in structure, there is a key difference that sets linear TV and FAST TV apart. The main difference is how the connection is made to the content. With linear TV, aka traditional cable and satellite TV, the ads are run along with pre-formatted and scheduled content that is planned and, therefore, predictable. When it comes to FAST TV ads, there are far more options that are available, including interactive video ads. The connection to the internet and the differing options of how to watch the content, as in which devices, differentiate FAST TV platforms from linear TV.
FAST vs. AVOD (Advertising Video on Demand)
There has been some debate around the labeling of these platforms, specifically around those labeled as FAST. FAST is a relatively new term, only beginning use in 2019 when linear streaming channels began to take off. AVOD channels, or Advertising Video On Demand, like YouTube, Facebook, Instagram, and even TikTok, allow users to choose which content they want to watch when they want to watch it. The confusion lies in the misunderstanding of the nature of each of these platforms. Most FAST channels also have AVOD content, or content that users can select to watch at their own pace, so much of the data surrounding them gets clouded. Even so, Deloitte also found that 59% of users were happy to watch a few ads per hour in exchange for a cheaper or even free subscription. 5
The Bottom Line
FAST TV has struck a chord with its free, readily available libraries. It brings back linear viewing while making it accessible across all internet-connected devices. This offers marketers a valuable opportunity to engage with audiences of all kinds and meet them on the devices they are using to view this content, especially as consumers are moving to more CTV viewing.
Don't let the chance to stand out in the streaming world slip by. Reach out to Media Now and join us in developing advertising strategies that make an impact and achieve results across CTV and OTT platforms. Connect with Media Now Interactive to fully unleash the power of your digital advertising campaigns.
Blog Post Sources
2. TiVo Survey
4. Statista
5. Deloitte
