I agree that the analogy isn’t perfect. As you pointed out, people sneaking in are taking space from people who would be willing pay for the service.

If you could somehow sneak into Netflix and take some of their bandwidth or their ability to provide the service to paying customers, then the analogy would work. In reality though, people pirate Netflix shows and movies by torrenting, and that has no impact on Netflix’s bandwidth.

The way I see it, circus and digital videos are a service. You are supposed to pay for both, but you can easily see both of them for free. Comparing these two with stealing just doesn’t work IMO.

You could also compare it with watching a football match from the other side of the fence. Although, in reality, you wouldn’t get a very good view of the game, whereas torrenting movies gives you a great view. Interestingly, the football example doesn’t involve trespassing, but you still get to enjoy a part of the service. All analogies break at some point.