Hook, Line and Sinker

As I have mentioned before, there is a debate raging about the validity of Pandora’s audience stats that has begun to seem like a pretty coordinated effort on the behalf of some large broadcasters. It seems to have begun on stage at RAIN Summit Orlando during David Field’s keynote, when he said Pandora’s claim to have 7% of all radio listening was false. Soon after, Bob Pittman said the same during a speech he made, and most recently another guy from Clear Channel said the same thing in response to more recent announcements from Pandora that their share is now up to 8%.

The thing that I find most ironic about all of this is that these radio broadcasters are using public forums to disparage Pandora By comparing ALL LISTENING TO AM/FM RADIO to Pandora. Which only lends credibility to Pandora! Whether their share of all listening is 4% or 7%, it’s a big number compared to the entire AM/FM listening universe. I cringe every time I hear someone make the comparison, it’s such an ill informed strategy. I’ll bet the folks at Pandora are delighted, in fact they newly announced 8% rose from 7% so quickly that I wondered if Pandora is actually baiting broadcasters to gain more publicity.

The reality is that Pandora wanted to be measured by Arbitron all along, and it was some big broadcasters that insisted that Arbitron create reasons why that couldn’t happen. As far as the advertising community is concerned, the proof is in the pudding, and streaming stations can of course verify delivery of impressions.

Of course, a better strategy for broadcasters is to build out their own platforms, creating innovative ways to distribute their content and forge lasting relationships with their listeners. That’s the stuff that advertisers want to invest in.

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