Vision Critical Finds Online Radio Is 'Not A Competitor' For AM/FM Radio

Pandora Listeners Checked Out 50% More AM/FM Than Non-Pandora Listeners

A VISION CRITICAL survey has found that despite the rapid growth of PANDORA, that gain is not coming at the expense of AM/FM radio. In fact, the results of this study showed that PANDORA listeners report spending 50% more time listening to AM/FM radio than non-PANDORA listeners.

"PANDORA users are musical omnivores who want all the music that they can get, however they can get it. They not only listen to more broadcast radio, they listen to more music on their iPOD, on CDs and satellite radio," said SVP/Media and Entertainment Research JEFF VIDLER. "It's additive. Rather than displacing other ways of listening to music, PANDORA is just another way for music fans to indulge their passion for music."

Some other key insights from this study include:

* PANDORA listeners were slightly more likely to say that they are listening to more vs. less broadcast radio than they were two years ago -- with 24% reporting that they are now listening to more radio while just 22% said they are listening less.

* Just over a quarter (26%) of online Americans said that they listen to PANDORA on a weekly basis while 15% said that they listen on a daily basis.

* PANDORA users are also more likely than other Americans to listen to AM/FM radio online and on a mobile device. More than three-in-ten PANDORA users (31%) say that they have streamed a radio station using a desktop/laptop in the past month (vs. 12% of non-PANDORA users). Meanwhile, 16% of PANDORA users said that they have streamed an AM/FM radio station on a mobile phone over the past month (vs. 3% of non-PANDORA users).

VIDLER sees a future where there's room for both broadcast and online radio. "The results show that PANDORA and radio can coexist," noted VIDLER. "PANDORA delivers music fans a unique music experience. But, as we dig deeper into the survey data, we also see that PANDORA listeners value AM and FM radio for a personal connection that PANDORA doesn’t deliver."

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