Around the Net
Pandora Needs Advertisers
- San Francisco Chronicle, Tuesday, October 11, 2011 3:20 PM
Pandora is the most downloaded free music program in the Apple and Google app stores and has more listeners in New York and Los Angeles than the largest radio stations in those cities.
But more than 70% of Pandora usage is on mobile devices, and traditional radio advertisers are wary about buying ads on phones and tablets. In fact, less than 1% of overall U.S. advertising spending is devoted to mobile media. And that is hurting the Oakland, Calif.-based company, which is facing competition from services like Rdio of San Francisco, Last.fm and Spotify. The woes have contributed to a 16% decline in Pandora's stock since its June initial public offering.
