Is there a case to be made for favoring FAST channels (free advertising-supported streaming television) over others -- especially those that offer heavily focused streaming on-demand viewing versus streaming of linear TV channels?
Richard Greenfield, media analyst of LightShed Partners, believes there is. That's because at a time when FAST channels keep rocketing in growth, it may not be because these channels are mimicking legacy TV networks.
Rather, they are copying the “on-demand” streaming world that consumers -- especially younger consumers -- favor.
In that regard, the June reading of Nielsen’s analysis of legacy TV (broadcast and cable), and connected TV (streaming) shows that Tubi and the Roku Channel continue to see strong growth -- largely due to their emphasis on providing on-demand programming content on their services.
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This is especially the case with Fox Corp.’s Tubi (and to a lesser extent, with the Roku Channel).
On the flip side, Paramount Global’s Pluto TV primarily airs streaming of linear channels -- similar to what Paramount does with its cable TV networks.
“Pluto feels more like the TV guide of the past compared to the algorithm-driven feeds consumers are increasingly accustomed to," Greenfield says. "We have to believe the power of Tubi’s algorithm is enabling it to flourish.”
He foresees the possibility that under new Paramount Global ownership -- with Skydance Media -- this will push executives to move more to the on-demand model.
According to the analysis, Tubi’s consumer/user experience is more like a free Netflix because it gives consumers the same kind of cool, streaming feeling they are becoming increasingly accustomed to -- without having to pay for it.
This is especially prevalent among younger streaming TV consumers. Overall streaming platforms got a major boost in June largely due to young viewers looking eager for more entertainment, sports, and unscripted content in the summer.
And with regard to Paramount’s Pluto TV, separate news reports say the company -- even before Skydance Media’s bid for Paramount Global -- has been in talks to sell Pluto back to its co-founder Tom Ryan.
So.... it's not all a perfect world of freely accessible, easily maintained and rapidly growing FAST channels?