Summary:

Research firm Parks Associates finds that nearly one-fifth of premium cable subscribers would consider switching their entertainment dollars to Netflix. And 16 percent of cable/satellite subscribers would consider subscription video-on-demand over their pay TV provider’s VOD service.

Netflix

About 17 percent of those who subscribe to premium cable networks like HBO and Showtime would consider using Netflix instead.

So said a report released Tuesday by Dallas-based research firm Parks Associates. Certainly, it’s a potentially consequential data point if premium cable channels that are experiencing stagnent subscriber growth suddenly face the prospect of having about a fifth of their subscriber bases up for grabs.

But there’s more.

The report also indicated that 16 percent of broadband subscribers would consider using online subscription video-on-demand services like Netflix and Hulu Plus rather than pay for VOD movies on their cable and satellite service.

“Consumers can pay for a month of Netflix for about the same amount as for two pay-TV VOD movies,” Parks Associates director of research Brett Sappington said in a statement. “Parks Associates research shows consumers know the quality of the [over-the-top] service is not comparable to pay-TV quality, but the cost-benefit comparison is enough to affect their purchase decisions.”

Updated: Parks and Associates’ online survey targeted 2,500 broadband households.

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