“Pandora Media Inc. (NYSE:P) saw its shares trade higher on Tuesday after releasing its media metrics for the month of October 2013. There is just one small problem with this on a subscriber basis and metric of free music online,” Jon C. Ogg reports for 24/7 Wall Street.
“Pandora’s listener hours are ticking up and its total share of radio is ticking up. Both of those metrics are good, but we see a possible problem developing in that the number of active listeners posted a fairly large decline from the prior month, and this has not been seen before,” Ogg reports. “Wall Street thinks it is good news that the hours are trending up and market share is trending up, but what does it say if Pandora’s active monthly listeners continues to decline? If you just use logic, then the simplest answer is that Pandora is getting more out of each active user.”
“Perhaps this active user concern is more of an issue from Apple Inc. (AAPL)’s unveiling a competing iTunes Radio. Apple signaled that some 11 million users tried iTunes Radio in the first days after its mid-September launch,” Ogg reports. “Listener hours for Pandora October 2013 were 1.47 billion. For September 2013 they were 1.36 billion. Active listeners were 70.9 million at the end of October 2013. They were 72.7 million at the end of September 2013… Count on us looking closely here for the metrics in November. If the same trend is seen, Wall Street may not deem it good enough that Pandora is milking more share and more hours from a shrinking group of loyalists.”
Read more in the full article here.
Pandora founder: Impact of Apple’s iTunes Radio ‘will be modest on Pandora’ – September 24, 2013
At this pace, iTunes Radio beats Pandora in less than a month – September 24, 2013
Pandora drops as much as 12% on Apple’s iTunes Radio competition – September 23, 2013
Apple releases iTunes 11.1 with iTunes Radio – September 18, 2013
Pandora: iTunes Radio roadkill – September 17, 2013
Apple’s iTunes Radio is going to put Pandora into a world of hurt – September 14, 2013
Anticipating customer surprise, Apple begins training support staff on iOS 7 and iTunes Radio – August 29, 2013
Pandora would be wise not to write-off Apple’s potent iTunes Radio – August 26, 2013
Apple’s iTunes Radio to debut in September with McDonald’s, Nissan, P&G, Pepsi sponsorships – August 21, 2013
Apple’s new iTunes Radio is designed to be the largest streaming radio service – July 13, 2013
Apple announces iTunes Radio – launches this fall – June 10, 2013