AVOD and FAST advertising revenues reached €255 million in the EU5 (France, Germany, Italy, Spain, and the United Kingdom) last year, NPA Conseil and Médiamétrie estimate. To date, the United Kingdom and Germany account for 80%, but the rise in Spain, France and, to a lesser extent, Italy should begin to rebalance the market by 2023. In France, for example, AVOD and FAST still account for only 8% of the CTV market, two points less than the average for the five EU5 countries and ten points less than in the United States.
NPA Conseil and Médiamétrie’s report notes that it was in the United States that AVOD and FASTs began to develop, with the creation of Pluto TV, back in 2014. In 2022, the 20 platforms counted by NPA Conseil and Médiamétrie in this country and the 1.600 channels they distribute cumulated more than 2% of the total video audience there, and about US$4 billion in advertising revenue, which represents nearly 20% of the total CTV market. Moreover, the investigation remarked there are over 2200 FAST channels in the EU5.
“While the quantitative expansion of the offer seems likely to slow down, the premiumization strategy asserted by the platforms and the growing involvement of leading producers and distributors (Banijay, ITV Studios, Fremantle, Newen, Warner Bros, Discovery, etc.) will contribute to its qualitative reinforcement and to the dynamics of use,” the report says.
According to the study, the multiplication of agreements with historical operators such as Deutsche Telekom, Orange España, Talk Talk with Netgem, or Vodafone, among others, or with virtual distributors like Molotov TV, Waipu or Zattoo, will also stimulate the latter, and will allow to improve their monetization.
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