During the recent edition of NEM Dubrovnik 2023, the CEE market, Maria Rua Aguete, Senior Director of OMDIA, said that by 2028, the region is on its way to reach US$42 million in revenue by FAST concepts, according to a new research from the consultancy.
This market was described as ‘incipient’ on the European scene, joining markets dominated by the United States, even, OMDIA stressed that it expects a ‘rapid expansion from the United Kingdom, Canada and Australia over the next four years’.
During the first day of NEM, the executive and delegate from OMDIA described the CEE region as ‘being present in the global FAST race’, however, its growth will be ‘limited’ compared to other regions.
Traditional linear television and social video are the factors that are driving the entry of these countries into the AVOD segment and have generated US$5.6 billion and US$1.1 billion, respectively. ‘Pay TV continues to grow in this market along with the traditional broadcast TV viewing model. Meanwhile, the online advertising market in this region is much less developed compared to its Western European counterparts, and there is currently no ecosystem or market that can provide AVOD or FAST services. A combination of these factors has resulted in less consumer interest in the FAST model’, stated Rua Aguete.
Which AVOD players are present in the region? OMDIA mentioned the Europeans Rakuten and Plex as the only FAST platforms available in the CEE, and although she mentioned that there are some local providers associated with public broadcasters, such as Kabaret TV in Poland, but in general, the FAST market is a newcomer in Europe.
Reason for the short presence? The consultancy believes that this is due to the smaller size of the current CEE market, where international FAST channel operators have not launched their channels in the region. ‘ITV Studios cited the cost of dubbing as the reason for not launching FAST yet in Italy or Spain, which means CEE markets with multiple languages will lag even further behind’ the executive said.
‘Several of these dynamics underscore the low cost and minimal investment required for FAST to succeed in the CEE market. Artificial intelligence is a technology that channel operator DAZN is considering as a means to provide cost-effective dubbing. This is definitely a market to keep an eye on in the coming years’, she concluded.
