Tubi And Pluto TV Are Beating Disney+ And Other Premium Streaming Services
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It appears there’s one not-so-secret weapon that makes it possible to win the streaming wars – free content. The concept is called free, ad-supported streaming television, which the industry has shortened to FAST. Collecting advertising revenues instead of subscription fees are helping the Roku Channel, Pluto TV, and Tubi draw more viewers than several subscription-based premium counterparts.
Free Streamers Outpacing Premium
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Tubi, the Roku Channel, and Pluto TV accounted for a combined 4.3 percent share of television audiences in June, which exceeds the combined total of 3.7 percent for Paramount, Max, and Peacock, according to Nielsen’s monthly streaming TV report The Gauge. It’s the second straight month the three FAST streaming providers outpaced their premium streaming counterparts. The FAST services also don’t have the same production costs as their subscription counterparts but do have lengthy libraries of films and television shows.
Disney Pushes Premium A Notch Higher
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Only the addition of Disney+ can boost the cumulative viewership percentages of the subscription services beyond that of Pluto TV, Roku, and Tubi, but not by much. Adding the 1 percent audience share for Disney+ to the other three premium streamers pushes the cumulative total to 4.7 percent for those streaming services. The average audience size for the three FAST stations still wins with an average of 1.43 percent versus an average of 1.18 percent for the four premium streaming channels.
Many premium streaming channels have walled off their content, making them less available to industry leaders like Netflix. The demand for content focused solely on titles produced by a particular studio, like MGM, HBO, or Netflix, isn’t as strong as the premium subscription-based services initially anticipated, while FAST streamers like Tubi, Pluto TV, and the Roku Channel are picking up the slack, though.
Tubi Is On Top
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Tubi led the three FAST channels with a 2 percent share of the TV market in June. That’s 14.7 percent higher than in May. The three FAST channels provide quality programming at a truly unbeatable price for viewers, who only have to invest their time. The commercial breaks are relatively short and often include information on how many commercials will air during a break and the duration of the commercial break in total seconds.
The Advantage Of FAST
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The FAST channels don’t invest as much in marketing and original productions as the subscription streamers, but they do have quality libraries with films that are original and unedited theatrical releases. The only change is they have commercial breaks, which some subscription streaming services also use to enable some low-cost subscription options. Premium streaming channels typically provide access to the latest theatrical releases and more original programming, which the FAST channels, such as those from Tubi, can’t match at this point.
The Appeal Of FAST
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The world of film and television continues to grow, so lacking immediate access to the latest theatrical releases or producing big-budget films and programs isn’t necessary for profitable streaming services. They can tap into the many available resources for high-quality and award-winning film productions and add niche channels that will draw particular viewers. The combination of quality live TV and an extensive on-demand library makes the FAST channels of Tubi especially enticing for regular viewers.
Source: Deadline