Free ad-supported streaming TV (FAST) has moved from the margins of the streaming landscape to the center of how Americans watch TV, says Hub Entertainment Research.
A new study from Hub shows that FAST services are quickly capturing TV households, with roughly half of those users calling FAST a “must-have.”
The findings in “FAST: Full Throttle” suggest that FAST channels are far more than a down-market compromise and are attractive to consumers who are similar to the paying streaming customer.
As the study finds, some 55% of TV viewers have used at least one FAST service, as some 46% of regular FAST users say those services are a “must-have” part of the entertainment ecosystem.
Use is also sticky: 28% of FAST users say they watch every day.
Meanwhile, FAST users spend just as much time watching TV — FAST viewers report watching about 24 hours of TV per week, statistically in line with the 22 hours watched by those who don’t use FAST platforms.
Additionally, FAST users estimate they spend about $75 per month on TV services, only slightly less than non-FAST users ($84). Plus, 60% say they use FAST as a complement to their paid services, rather than a replacement for paid services.
When asked how important TV is in their lives, 67% say watching TV is an important part of their lives – the same percentage as among those who only use paid sources of TV.
When asked to name the benefits of free streaming compared to other kinds of services, 87% of viewers mention the fact that they don’t cost anything to use. However, a near-frictionless experience (many FASTs don’t require a login at all) and the depth of the library content are also major factors.
“‘Free’ is a reason for people to try a service, but it’s not enough to create real engagement over the long term,” said Jon Giegengack, principal at Hub and one of the authors of the study. “However, this research shows the library content most FASTs are built around is actually a selling point for many users, as is the low-friction user experience of services that often don’t even require you to create an account. As the cost of streaming — and everything else — keeps rising, free streaming will keep gaining ground.”
