24 OCT 2023

2023, a year of global growth for the FAST business

Amagi launched its ninth Quarterly Global FAST Report, which confirms that 2023 has been a successful year for the FAST sector. By 2027, OMDIA projects will grow to $12 billion in revenue, and Statista expects it will reach 1.1 billion users.

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Amagi launched its ninth Quarterly Global FAST Report, which provides a comprehensive analysis of the FAST industry in conjunction with Amagi's consumer survey and real-time data from the Amagi Analytics platform. Comparing global and region-specific data from APAC, LATAM, EMEA, and North America between Q2 2022 to Q2 2023, the ninth edition of this report undeniably confirms that 2023 has been a successful year for the FAST sector, which by 2027, OMDIA projects will grow to $12 billion in revenue and Statista expects will reach 1.1 billion users. Toward the end of this report, content owners, platforms, and advertisers will find a roadmap outlining how they can take advantage of and promote innovation in the emerging FAST 2.0 ecosystem.

The report examines viewer data across 50-plus FAST platforms and a sample of 1,500 channel deliveries that use Amagi Thunderstorm, the company's proprietary server-side ad insertion (SSAI) platform. It also provides insights into audience preferences and viewing habits based on the 2023 Amagi Consumer Survey of over 500 US households, representing participants of diverse socioeconomic backgrounds. "As we delve into the insights and data presented in this report's latest edition, it's clear that FAST has not just arrived; it's thriving, expanding, and reshaping how viewers consume content," said Srinivasan KA, Co-Founder and Chief Revenue Officer of Amagi. "The remarkable growth of FAST on a global scale is both an opportunity and a testament to the evolving preferences of the modern viewer. With FAST 2.0 on the horizon, we're entering an era where personalization, interactivity, and innovative ad formats will be key to creating a truly dynamic and engaging linear television experience. We invite broadcasters, content owners, and advertisers to join us in this exciting journey, where we're redefining the future of television."

Among other key highlights from the report, other regions surpass North America in FAST channel growth. While the US is projected to remain the largest FAST market, the region witnessed relatively moderate growth, with an increase of 20% in ad impressions and 12% in hours of viewing (HOV). APAC takes a significant lead with 290% growth in ad impressions and 181% in HOV, with LATAM in second place and EMEA in third, underscoring the importance of expanding FAST offerings globally. Moreover, news ranks highest in global, APAC, and US FAST viewership. Unlike other genres, news content contributed the most to global ad impressions (40%) and HOV (37%). These numbers are roughly on par with APAC (47% in ad impressions, 36% in HOV) and the US (44% in ad impressions, 46% in HOV), demonstrating a general preference for FAST viewers to stay connected to current events.

FAST Thrives in EMEA and Latam, especially with movies. From Q2 2022 to Q2 2023, LATAM saw a 174% growth in ad impressions and a 20% growth in HOV, while EMEA experienced a 64% increase in ad impressions and a 58% hike in HOV. Interestingly, movies contributed the most in ad impressions and HOV for both regions, indicating a clear preference for this genre. Another finding highlights that content recommendations present challenges and opportunities. Approximately 70% of Amagi's Consumer Survey respondents reported experiencing confusion about what to watch next on CTV platforms. However, only half of respondents who received recommendations from their CTVs said suggestions were helpful, suggesting that more needs to be done to improve content discovery in FAST and CTV.

Finally, personalized advertising is a dire need. Only about 19% of respondents found ads pertinent to their interests, 24% reported they prefer interactive ads, and 22% purchased from an ad with an interactive or shoppable feature. These statistics demonstrate that improved personalization, interactivity, and sophistication in CTV advertising should be a top priority in the industry.

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