The market for FAST (Free Ad-Supported TV) channels worldwide is driven by changes in consumer tastes, cost benefits, and a wide range of content.
The global market for FAST (Free Ad-Supported TV) channels was estimated to be worth $6.9 billion in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 15.4% from 2023 to 2032, reaching $28 billion. The free streaming television service FAST channels offers linear channels with pre-planned commercial breaks. Existing on-demand material catalogues can be rearranged to create these channels as programming grids or playlists. Numerous well-known firms have their own platforms for advertising-based content monetization and customer acquisition. Among the most well-known providers offering FAST channels are Samsung TV+, Xumo, Tubi, Peacock, The Roku Channel, IMDbTV, and Pluto TV. CTVs and other internet-connected devices receive conventional linear TV channels from FAST channels. By dynamically inserting advertisements into the potential ad break, FAST channels are able to provide these streaming services to viewers at no cost, in contrast to subscription models. The commercials typically have different durations and can be skipped or not.
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The global market for FAST (Free Ad-Supported TV) channels is driven by a number of factors, including increased technology and distribution, content variety, advertiser appeal, cost advantages, and shifting consumer preferences. However, the market’s expansion is hampered by a lack of available content, difficulties with monetization, and constraints with infrastructure and bandwidth. Conversely, the rise in connected TV devices and the growing demand for streaming content are important drivers that could present market expansion prospects.
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Due to factors like content availability, advertising revenue, user engagement, cost-effectiveness, and changing viewer preferences, the linear channels segment, which accounted for over four-fifths of the global FAST (Free Ad-Supported TV) channels market revenue in 2022, is expected to continue to hold the top spot throughout the forecast period. However, because of things like changing consumer behavior, the diversity and flexibility of content, and the accessibility and convenience provided by FAST media platforms, the video on demand segment is expected to grow at the fastest rate (19.8%) between 2023 and 2032.
These major participants in the global market for FAST (Free Ad-Supported TV) channels are thoroughly examined in the study. To grow their market share and hold onto dominating positions in various locations, these businesses have implemented a variety of tactics, including agreements, joint ventures, expansion, new product releases, and collaborations. The study is useful for showcasing the competitive environment by highlighting market competitors’ strategic moves, product portfolio, operational segments, and business performance.
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The movies segment, which accounted for over one-third of the global FAST (Free Ad-Supported TV) channels market revenue in 2022, had the largest market share based on content type. It is anticipated to continue to hold this position throughout the forecast period because it offers a variety of content, such as independent films, blockbuster releases, classics, and genre-specific films. The expansion of the movie category is fueled by this varied offering. However, because of the popularity of live sporting events, the growing demand for sports-related material, and the special advertising opportunities that come with sports programming, the sports market is expected to exhibit the greatest CAGR of 19.2% between 2023 and 2032.
The web-based channels category gained a significant portion of the distribution platform market in 2022 and is predicted to grow at the quickest rate during the forecast period. This is explained by factors including cost-effectiveness, availability across many platforms, changing watching patterns of consumers, growing internet penetration, and a variety of content offers. Additionally, more and more marketers are realizing how effective web-based platforms can be in connecting with their target market. These platforms offer a data-rich environment that makes it possible to measure ad performance and target audiences precisely. To increase the efficacy of their efforts, advertisers can utilize this data to target particular user segments with ads. The expansion of web-based channels has also been fueled by marketers’ increasing interest.
The consumption of on-demand entertainment and digital streaming has dramatically changed consumer behavior. As more consumers choose the flexibility and convenience of streaming options, traditional TV consumption is declining. In order to satisfy this need, FAST channels offer free, ad-supported streaming options that let users experience a wide variety of content without having to sign up for a membership. Thus, the market for free TV channels with ads has grown as a result of changing customer behavior. Additionally, a wide range of material has greatly aided in the growth of the market for free TV channels with advertisements.
Analysis by Region:
Due to the growing popularity of streaming services, the demand for free streaming content, the proliferation of connected TV devices, and the shift in advertising budgets towards digital platforms, North America accounted for over three-fourths of the global FAST (Free Ad-Supported TV) channels market revenue in 2022, making it the region with the largest revenue share. However, due to increased internet penetration brought on by better connectivity infrastructure and reasonably priced smartphones, the Asia-Pacific region is predicted to experience the fastest CAGR of 23.3% between 2023 and 2032. As a result, the internet audience base has grown, giving FAST channels a solid platform to reach more people.
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