Horowitz Research Tracks FAST Impact on SVOD & MVPD Subs

Increased FAST usage is causing some consumers to diminish SVOD and MVPD spending, a new Horowitz Research report has found, while also aiding in the ecosystem’s discoverability challenges.

According to Horowitz Research’s latest annual report, State of Media, Entertainment, and Tech: Viewing Behaviors 2024, 66 percent of U.S. content viewers are using FAST platforms in a typical month. The leading services include Tubi, Pluto TV, Freevee, YouTube and Roku.

Per the study, 53 percent of FAST users have diminished spending on subscription streaming services now that they have adopted FAST. However, 43 percent subscribed to a pay service to continue watching something they discovered on FAST. Further, consumers have missed the lean-back experience of channel surfing amid the rush to on-demand; 73 percent of FAST users agree that TV is more enjoyable now that they can turn on these free services and watch whatever is on. Among cord-cutters, 58 percent 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, executive VP and insights and strategy lead for Horowitz 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 Horowitz survey was conducted from March to April of this year, tracking usage trends among 2,008 TV content viewers 18-plus.