Opening Pandora's Box For Internet Brands

Feels like it was just a few months ago that Pandora wasn't doing so well.  They weren't seeing the ad revenue they'd been shooting for and rumors were swirling wildly, but now the rumors are faded and real (good) news is taking its place! 

Pandora was everywhere the week of CES, with a number of companies -- including Pioneer, Ford and of course Apple  -- talking about Pandora as a valued partner.  The Pandora iPhone app is a leader, and both Pioneer and Ford are bringing Pandora into the car.  It seems as though Pandora is making the jump, rather successfully, from Internet wunder-company to true cross-media brand that could signal a significant revolution in radio.

Many of you may ask if I'm writing this because of a relationship with Pandora, but I have to be honest in saying that I know no one over there.  I have no relationship with them at all, I'm just an average, "ordinary Joe" consumer who listens to a lot of music. In the last few weeks I've been reacquainted with the brand because of all this latest wave of press and the various distribution deals that have surfaced - and my experience has been overwhelmingly positive!



I played with Pandora a number of years ago, when it first launched. While I thought it was great, it never had any consumer resonance for me.  The fact that it was tied to my computer was the single biggest challenge I saw.  Of course that was coupled with the fact that I didn't listen to radio, only to my iPod.  More recently, I find myself re-expanding my horizons and finding other ways to access music through the Web.  All these partnerships are finding ways to insert Pandora into my daily life and very little are a result of advertising.  Even my Samsung Blu-Ray player has Pandora, and I love it!

The take-away of this observation is that Internet brands can succeed offline when the right partnerships are struck, and the Internet is expanded beyond the keypad of your computer.  The last few years have seen a "virtual" explosion, as more and more devices are connected to the Internet. 

Back in 1998 I made a presentation to some clients about the future of the Internet and how it would power your television, your car, your refrigerator, and even the security system to your house.  That future is upon us. The mobile revolution, led by the development of the mobile app store as a means of distributing focused applications, is primarily responsible.  Apps were first applied to the Web, then to your phone, and now to all sorts of devices.  TiVo was the first to open the door, and Sling and Vudu cracked it wide open, but Amazon, eBay and upstart brands like Pandora are there to make sure that they get an invitation to the party. 

Internet brands are branching out because the Internet is no longer confined to the keyboard.  And of course, Apple will soon roll out its Tablet to add fuel to the fire that Kindle and the Nook have stoked. Convergence will be a thing of the past as we find fewer and fewer "holistic" devices, and more fragmented access to Internet content strewn across the landscape of our day.  Pandora's box has been opened; consumers are more than willing to have multiple devices accessing different applications if those devices add value to the daily experience.

Pandora is doing things well right now, and my hat is off to them.  They are strategically creating relationships that will offer an option for their users to be unbound from their computers.  More Internet brands will be following suit in 2010, so keep an eye out and see what you can learn!

Who else is doing a great job of breaking away from the borders of the Internet brand space?  Let us know by visiting the Spin Board and sharing it with us!


1 comment about "Opening Pandora's Box For Internet Brands".
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  1. Mike Patterson from WIP, Inc., January 27, 2010 at 2:13 p.m.

    Great stuff Cory and so, so true. I think we have seen the future of the "Internet everywhere" (and especially outside the confines of the computer) for along time and it's now starting to happen with the mass adoption of the smartphone, other devices and even what I call "in-home" consoles (Apple TV, XBox, etc.)

    I think Netflix is doing a great job too, bringing its service to any device that can pipe in a strong connection. Thanks for this, great commentary!

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