TV in the “FAST” Lane. Free Ad-Supported Streaming TV Services Bust Open the OTT Ecosystem.
BIA tracks the OTT space closely, including producing an OTT ad-spending forecast for every local TV market. BIA expects local OTT ad spending to reach a total of about $1 billion in 2020. In a new report out by TV[R]EV’s Alan Wolk and team, they analyze a new class of participants in the OTT ecosystem in their new premium report TV in the FAST Lane. BIA readers may use the discount code BIA-FAST for 25 percent off.
OTT has evolved into a complicated ecosystem of devices, distribution, platforms and options for connecting video content via the Internet to consumer screens in various free and paid models. The OTT ecosystem is sorting itself into SVOD “flixes” relying on the Netflix Video-On-Demand subscription model and the “FASTs” (Free Ad-Supported Streaming TV). As we see in the graphic below, over half (54.8 percent) of industry observers conclude the future of TV will be Flixes and FASTs.
FASTs include offerings by smart TV OEMs, Broadcast and Cable Networks, and Platforms including Roku, and Amazon with its Fire devices. The brands, may be less familiar. Examples include Crackle, IMDbTV, Roku Channel, Samsung TV Plus, Peacock, Xumo, WatchFree, Pluto TV, LG Channels Plus. There are hundreds of these services at this point.
Netflix remains by far the biggest OTT player with its SVOD (Subscription Video On-Demand) model. AVOD players offer free or freemium video services supported by advertising from a library of owned and third-party content. The new FAST players go one better than the AVOD model by also adding live and library-based line channels allowing viewers to either pick specific programs on-demand or tune to the familiar experience of niche-oriented channels. As an aside, not knowing what else to call this new class of OTT players, Wolk coined the term FAST.
For industry executives trying to sort out what’s happening in the OTT space, TV in the FAST Lane does a thorough and helpful analysis of the players, business models and opportunities the lie ahead for FAST as more entrants come into the space. A survey of industry observers and executive interviews add perspective and validation to the analysis. When purchasing, remember to use discount code BIA-FAST for 25 percent off.
Upcoming OTT Webinar: Tuesday, Oct 27
BIA will host a webinar on OTT on October 27 at 2pm eastern. You can get more information and registher here: OTT Ecosystem Players Discuss Market Directions.