A recent study conducted by MoffettNathanson showed that in 2015 Netflix subscribers watched the channel CBS 42% less than non-subscribers. This means that almost half of Netflix subscribers just stopped watching CBS all together. It’s worth noting that CBS has always had an older viewership demographic so, their younger viewers might be abandoning the channel all together. CBS isn’t the only channel losing viewership to Netflix. Netflix watchers are watching Fox 35% less, ABC 32% less and NBC 27%. By 2020 it is predicted that Netflix will account for all 14% of television watching. The only channel that saw a low decrease of 11% was Disney. Since Disney has such a young demographic this could explain why they’re watching both Netflix and the Disney channel.
With Netflix producing such great original content, is it possible that people no longer have a taste for traditional networks. Maybe. But, the takeover of Netflix is clearly attributed to the service being a matter of convenience. More and more households are cord cutting so, they don’t even have the means to watch network channels except through Netflix. Netflix can be played right through your computer or through a smart TV without having to buy extra electronic components like a cable box.
What can cable channels do to remain in front of television viewers? It seems like unless the channels start their own streaming services or put their current shows on streaming services that already exists, there may come a day where cable is obsolete. Considering how high the current cable prices are it is no wonder cable is going out of style. When you can pay just $9 a month for hours and hours of high end entertainment, why would you go back to a $200+ cable bill?
Network television is a long way from being obsolete, but Netflix is making sure that their time is limited.