Vision Critical

Vision Critical

April 08, 2010 08:00 ET

Pandora Online Music Service a Game-Changer for US Radio Listeners

Vision Critical's new three-country radio study finds a vast difference in the way US consumers with a smartphone are listening to radio, compared to their Canadian and British counterparts.

TORONTO, ONTARIO--(Marketwire - April 8, 2010) - Interactive research and technology firm Vision Critical surveyed more than 3,000 adults in the US, UK and Canada and found that while those in Canada and the UK are using applications on their smartphone or iPod Touch to listen to AM/FM radio, US users are more likely to use their apps to listen to web-only radio and music streaming services. Among adults in the US who have listened to online-only radio in the past month, Pandora leads the pack as the favored online music service (42% having listened in the past year), followed by Rhapsody (6%), last.fm (5%) and Yahoo! (5%). The findings come from Vision Critical's "Radio Futures 2010" study, conducted in February and March of this year. Further survey results will be shared at next Monday's RAIN Summit West conference in Las Vegas.

US Consumers who have listened to Pandora in the last year:

TOTAL 42%
Male 39%
Female 47%
Age 18-34 52%
Age 35+ 28%
Base: Engaged online consumers, age 18+, in the US; listened to online-only radio or streaming services in past month

"This speaks to the kind of transformational impact that Pandora is having in the US marketplace," says Jeff Vidler, Senior Vice President and Managing Director of Vision Critical's Radio practice. "It's no coincidence that the one market where we see web-only services trump broadcast radio on smartphone apps is the only jurisdiction where Pandora is legally available – and it speaks to the need for US broadcasters to step up to the plate with their own streaming apps before Pandora owns the distribution channel."

Consumers who used the following applications on their smartphone or iPod Touch in the past week:

  US UK Canada
AM or FM radio stations 19% 31% 14%
Web-only radio / music services 31% 21% 7%
Base: Engaged online consumers, age 18+, in the US, UK and Canada; use a smartphone or iPod Touch

At the time of the survey, nearly one-third (31%) of US smartphone and iPod Touch users said they've listened to Internet radio or a music streaming service on their device in the past week. In contrast, just 19% reported listening to an AM or FM station on the same platform.

In the UK, where Pandora is not legally available but the music streaming service Spotify is, broadcast radio holds a clear edge for listening. A total of 31% of UK smartphone and iPod Touch users said they listened to broadcast radio in the past week using the apps on their device, compared to 21% who reported listening to web-only radio or streaming services.

In Canada, where neither Pandora nor Spotify is legally available, broadcast radio still dominates, with 14% of smartphone and iPod Touch users saying they have listened to AM or FM stations on the platform in the past week, while only half that many (7%) reported listening to web-only radio or streaming services.

Data for this release is based on online fieldwork collected between February 26 and March 8, 2010. Participants include 3,021 engaged online consumers aged 18+ in the US (1,007), UK (1,013) and Canada (1,001), randomly selected from Vision Critical's representative and restricted-access global panels. The Radio Futures 2010 study was developed in association with RAIN (the Radio and Internet Newsletter). Further survey findings will be presented April 12, 2010, at the RAIN Summit West conference in Las Vegas – and the full survey report will be available April 13 from the study's director, Jeff Vidler: jeff.vidler@visioncritical.com

About Vision Critical®

Vision Critical is a strategic interactive research company combining technology, researchers and global panels. We help companies reduce research costs while generating engaging and insightful relationships with consumers. Vision Critical uses a visual approach, panel technology and our own global panels to embrace markets with the click of a mouse. The company has offices across North America, Europe and Australia and a Global Partner Program that provides other research companies and consultants with access to our technology.

Angus Reid Public Opinion is the company's global public affairs practice, specializing in the analysis and understanding of "citizen markets" and the public commons. Its Global Monitor contains over 20,000 published surveys.

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