NEM: CEE FAST revenues to reach US$42m by 2028

FAST revenues in the Central and Eastern European (CEE) market is on track to reach $42m by 2028, according to DTVE’s sister research outfit Omdia. 

The latest findings from the research firm were shared in a presentation today at the New Europe Market in Dubrovnik, Croatia by Omdia’s senior director, Maria Rua Aguete who revealed FAST revenues in the CEE market will double from $23.5m in 2022 to $41.9m in the next six years.

The region joins a booming market currently dominated by the US, with rapid expansion from the UK, Canada, and Australia expected over the next four years.

Despite Rakuten and Plex being the only FAST platforms, in addition to a small pool of local FAST operators such as Poland’s Kabaret TV, the FAST market is steadily growing in CEE.

Rua Aguete said: “Though CEE is present in the FAST race,  growth will be limited compared to other regions. Traditional linear TV and social video have typically driven video advertising revenues in CEE, which have generated $5.6bn and $1.1bn respectively. Pay TV is still growing in this market alongside a strong traditional free-to-air viewing model. This region’s online advertising market is a lot less developed compared to their Western Europe counterparts and there is currently no ecosystem or marketplace that can provide premium ad-supported advertising video on demand (AVOD) and FAST services. A combination of these factors has resulted in reduced consumer interest in FAST.”

Omdia highlighted due to CEE’s current smaller market size, the international FAST channel operators have not launched their channels in the region. ITV Studios cited cost of dubbing as the reason for not yet launching FAST in Italy or Spain meaning CEE markets with multiple languages will lag even further behind.

“Several of these dynamics underline the low cost and minimal investment required for FAST to succeed across the CEE market. Artificial intelligence is a technology channel operator DAZN is looking into as a means to provide cost-effective dubbing. This is definitely a market to watch over the coming years,” Rua Aguete added.