US consumers subscribing to under three SVOD services by November 2023

Rakuten TV

Research from Omdia has found that FAST is continuing its strong growth globally.

The UK now has 21% of video users watching FAST channels weekly, following in the footsteps of the US (46%), and Brazil (36%). 

Maria Rua Aguete, Omdia senior research director for media and entertainment, said: “The FAST channel market continues to witness strong growth in the UK, Canada, and Brazil, with revenues projected to reach $8bn by 2024. This poses both opportunities and challenges for service providers as they adapt to the changing landscape to keep up with evolving viewer demands.”

Meanwhile, it appears that SVOD is losing out as a result. In the US, the number of subscription services that each household is signed up to dropped below three in November 2023 - down from 3.5 in April 2023 - with consumers less likely to “stack” services.

Aguete said: “After over half a decade of steady growth, we’re observing a shift in how paid video services are consumed. The traditional model of stacking multiple paid services is losing ground. This is partly driven by the increasing popularity of free ad-supported television (FAST) channels, which are becoming a preferred choice for supplementary viewing.”