NEW ROCHELLE, NY—An increasing number of budget-conscious consumers say they have cut back on subscription-based streaming services in favor of FAST channels, according to a new report from Horowitz Research.
Tubi, Pluto TV, Freevee, YouTube, and Roku were the top-used FAST networks by consumers surveyed in the study. Free ad-supported streaming TV is now being viewed by 66% of viewers in a typical month—data that was reported in Horowitz Research’s latest annual report, State of Media, Entertainment, and Tech: Viewing Behaviors 2024.
The new report, which tracks the evolution of the pay and free TV, streaming, internet, and mobile environment, reveals the impact of the emergence of FAST services on the TV ecosystem. On one hand, more than half (53%) of FAST users say they have cut down on their paid streaming services now that they have adopted FAST. On the other hand, 43% of FAST users say they have subscribed to a pay service to continue watching a show they started watching on a FAST channel.
These data underscore the important opportunity to leverage FAST strategically, with smart windowing and content promotional strategies, the researcher said, adding that its study finds that the lean-back experience of channel surfing was sorely missed by consumers who cut the cord and relied on on-demand streaming options. Over seven in 10 (73%) FAST users agree that TV is more enjoyable now that they can turn on these free services and watch whatever is on. Specifically, among cord-cutters who no longer have a cable or satellite subscription, nearly six in 10 (58%) say free services are like having cable TV again.
“As the FAST space matures, it does feel like a correction of many of the issues that on-demand streaming created for consumers and the industry,” notes Adriana Waterston, EVP and Insights & Strategy Lead for Horowitz Research, a division of M/A/R/C Research. “On the consumer side, FAST is helping to mitigate the challenges of TV viewing in the on-demand space, in which consumers had to work pretty hard to find content to watch every time they sat down in front of the TV—not the most relaxing viewing experience. It is also creating opportunities to generate ad revenue and revenue from syndication, which will help put the business model back into balance.”
The full State of Media, Entertainment & Tech: Viewing Behaviors 2024 study explores viewing behaviors in the complex media landscape. The report examines share of viewing per platform, the devices they’re watching on, the kind of content they’re consuming, and which services they feel do the best job at delivering the content they seek. This year, the study does a deep dive on consumer relationships with FAST services. The survey was conducted in March - April 2024 among 2,008 TV content viewers 18+. Data have been weighted to ensure results are representative of the overall TV universe, Horowitz said.
