Pandora vs. iTunes Radio, who will win?
Tom Dougherty, CEO – Stealing Share
20 November 2013
Predictions of the demise of Pandora were premature
Who do you listen to: iTunes Radio, Pandora or Spotify?
Here’s my guess: You listen to a mix of all of them.
The launch of iTunes Radio more than a month ago produced calls for the demise of Pandora, simply because everything Apple touches is magic and it would have an captive audience that runs its iOS7 software.
“When it comes to consumer-oriented service technology like this, users are usually not wedded to just one. We live in a world in which choice rules the day.”
My feeling all along as been that Pandora (and, to a lesser extent, Spotify) would weather the storm. That’s because those online radio applications are much like the streaming services on your TV. Netflix may be the leader, but I’ll bet many of you also have Hulu Plus and Amazon Instant Video. (Not to mention the TV networks’ own apps, such as HBO GO.)
So far, that theory has been proven to be true. Pandora reported an increase in revenue of 51% with market share increasing from 6.6% to 8.06% in radio.
But, when it comes to consumer-oriented service technology like this, users are usually not wedded to just one. We live in a world in which choice rules the day.
The real competition for Pandora and iTunes Radio is not each other. It’s all the other ways in which we listen to music. Whether it’s downloading a song, listening to a local radio station or even playing a CD (does anyone do that anymore?), the online services have greater inroads to make than simply taking away each other’s customers.
There will be continued shifting, however, that may produce a new market leader. My point is that the predictions of Pandora’s demise are shortsighted. The world is wide open – as long as the brands themselves remain meaningful and relevant. Pandora and Apple are, which means the grab for market share is a long-term affair.
Arya Stark Tom Dougherty, CEO - Stealing Share 24 April 2019 Arya Stark had every right to get naked (Game of Thrones spoiler alert! Especially when it comes to the beloved and now all grownup Arya Stark.)I was as shocked as everyone else this past...
Grey Goose brand Tom Dougherty, CEO - Stealing Share 22 April 2019 Grey Goose brand repositions, with mixed results The Grey Goose brand stands in a current state of confusion. With sales falling (for a variety of reasons), a new campaign seeks to...
Retail closings Tom Dougherty, CEO - Stealing Share 17 April 2019 5,994 and counting, retail closings at record numbers In 2018 alone, 5,864 retail locations closed. So far in 2019, retail closings stand at 5,994 and it is only April. If the pace stays...