How FAST will Bring the Best of TV to Audiences and Advertisers this Upfronts
Today, U.S. households are spending nearly $70 a month across multiple streaming platforms, with the majority also paying for a traditional TV service. With economic concerns looming, many viewers are increasingly turning to free ad-supported streaming TV (FAST) services that offer a free and easy way to access live and on-demand content.
By Ying Wang, GM, Xumo Advertising
This article first appeared in AdAge earlier this month.
Today, U.S. households are spending nearly $70 a month across multiple streaming platforms, with the majority also paying for a traditional TV service. With economic concerns looming, many viewers are increasingly turning to free ad-supported streaming TV (FAST) services that offer a free and easy way to access live and on-demand content. As the ubiquity of channels increases—through their integration directly into TV operating systems, direct-to-consumer apps and multichannel video programming distributor (MVPD) guides—FAST gives advertisers an extremely valuable channel to reach their desired audiences across in-demand content with the buying efficiencies of streaming at a price point that both consumers and advertisers love.
As the 2025 TV upfronts approach, advertisers would be remiss not to lean into the value that FAST offers, like enabling opportunities to connect with engaged viewers in high-impact environments and ensuring the delivery of engaging ad experiences.
Here is why FAST is cementing its place as an ideal channel for audiences and advertisers, and why buyers should make sure it is part of their upfronts planning.
FAST attracts engaged viewers that might otherwise be missed
Nearly 70% of viewers report using at least one FAST service, and the average FAST viewer spends a similar amount of time watching FAST channels as they do other streaming services. FAST viewers also tend to be younger, are more likely to have kids in their household and consume more streaming content overall than audiences who don’t watch FAST.
For advertisers, FAST offers not only a powerful tool for reaching valuable audiences but also an efficient solution to reach viewers that traditional or subscription-based streaming TV might miss. Research has found that FAST impressions are two times more likely to reach light-TV or no-TV households compared to other streaming sectors. On top of that, it has been proven to drive incremental reach among target audiences; an analysis found that FAST is 96% incremental to traditional TV households, making it an essential tool to maximize reach and impact.[1]
Additionally, with more original equipment manufacturers (OEMs) and platforms like Google TV natively integrating FAST channels into their user experience, and paid TV companies adding them into their channel guides, FAST channels are no longer only accessed in-app. Now, they are often the first thing viewers see when turning on the TV, meaning there is a greater likelihood that viewers will be tuning in and thereby increasing chances to reach them with brand messaging.
FAST delivers content in a premium environment, especially for live programming
FAST has gotten a “glow-up” in the past few years. It is now a must-have distribution channel for many of the most premium content owners and programmers and a destination for in-demand entertainment experiences. While FAST started as a new distribution channel primarily for news and entertainment content, nearly 14% of the FAST channels available today are for sports—content that is proven to attract engaged viewers and drive results for advertisers.
Coupled with the fact that FAST mirrors the live, lean-back environment that consumers seek, the majority of FAST viewers reported positive sentiments, saying that free streaming channels offer high quality content and keeps them entertained.
Many publishers are also leaning into FAST channels to maintain audience engagement and build brand loyalty outside of peak moments. For example, entertainment networks like Bravo can run marathons to promote an upcoming season, or sports leagues like the NBA can deliver content on their channel to keep people engaged in the post-season, highlighting FAST’s ability to create lasting touchpoints for audiences.
Recent reports also suggest consumers tend to be more tolerant of ads on FAST channels compared to on-demand: 66% of viewers feel that ad breaks on free linear channels, especially during live events, are more tolerable, and as a result many say they pay more attention to those ads.
FAST publishers offer buying efficiency, flexibility and optionality
Today, many advertisers are getting FAST inventory through bundled streaming packages. While this is an efficient way to access FAST audiences, especially since many of these are transacted programmatically, getting FAST through an aggregated marketplace can mean that buyers aren’t getting the same level of transparency on the inventory that they would otherwise get working directly with a FAST publisher that manages the content partnership.
By working directly with FAST publishers, advertisers can rest assured that they are receiving a high level of transparency. Additionally, because many FAST publishers have unique inventory outside of traditional video—for example, access to high-impact units across TV home screens that can only be purchased directly and not programmatically—buyers may miss out on valuable opportunities to have more immersive brand experiences on the home screen that can then be amplified through the scale of FAST.
With more streaming options than ever, buyers will be looking for partners that deliver the greatest scale for the best value during upfronts season. Given the wide distribution of FAST channels across apps, streaming platforms and even traditional TV channel guides, advertisers can efficiently find a variety of quality audiences with a single buy at an attractive price point.
Because FAST is breaking down the walls between traditional TV and streaming, it’s bringing the best of TV experiences to advertisers and audiences alike. This upfronts, advertisers who value both scale and efficiency should make FAST a foundation of their multiscreen marketing plans.
Sources:
[1] Comcast Aggregated Viewership Data combined with Ad Exposure Data (23,500+ campaigns including both linear TV & Xumo; Local Market Advertisers; Jan-Dec 2024).
About Xumo
Xumo, a joint venture between Comcast and Charter Communications, was formed to develop and offer a next-generation streaming platform for the entire entertainment industry. The company consists of three primary lines of business: Xumo devices, Xumo Play and Xumo Enterprise.
Powered by Comcast’s global entertainment platform, Xumo devices feature a world-class user interface with universal voice search capabilities, making it easy for consumers to find and enjoy their favorite streaming content. Xumo Play is a free ad-supported streaming TV (FAST) service offering hundreds of linear channels and on-demand options. Xumo Enterprise provides tools and services for content creators, distributors and advertisers to make FAST content more accessible.
Ying Wang
Ying Wang is general manager for Xumo Advertising, a joint venture with Comcast and Charter formed to develop and offer a next-generation streaming platform for the entire entertainment industry. In this role, Ying is responsible for maximizing ad revenue across Xumo’s growing inventory, including supply within Xumo Play, on the channels it syndicates to other platforms via its Xumo Enterprise business, and from content partners on Xumo TV and Xumo Stream Box. Her oversight includes critical functions such as ad sales, ad operations, sales marketing support, pricing and packaging, and reporting and attribution.