92% of iTunes Radio listeners still use Pandora, says new report

Posted:
in iPod + iTunes + AppleTV edited April 2014
A survey of more than 800 iOS device owners shows that of those who have tried Apple's new iTunes Radio, the vast majority have either returned to Pandora exclusively or continue to use the streaming service alongside Apple's offering.

iTunes Radio


The report, from investment bank Canaccord Genuity, indicates that while iTunes Radio compares favorably to Pandora's offering in fit and finish, the service lags behind in overall consumer perception thanks to poorer automated song selection.

Approximately 72 percent of consumers surveyed were running iOS 7, and about 40 percent of that group had tried iTunes Radio. Just eight percent ditched Pandora entirely for Cupertino's service, while forty-four percent split their listening time roughly equally.

When asked to quantify the "overall experience" of both services, 66 percent of respondents call their experience with iTunes Radio "positive" or "very positive," while Pandora scores 78 percent on the same metric. Apple wins with tight margins on app usability questions, but loses out to Pandora in perhaps the most important metric, "Plays songs I want to hear," 63 percent to 72 percent. 36% of those surveyed by Canaccord Genuity have never heard of iTunes Rado

Interestingly, despite Apple's aggressive marketing push for iTunes Radio, 36 percent of those who have yet to try the service say they have never even heard of it.

The report notes that the sentiment among investors is that "Pandora and iTunes Radio can peacefully coexist and together take tremendous share from broadcast radio," but that October's listener metrics will be the real test of that hypothesis. Earlier this month, Pandora CFO Mike Herring called iTunes Radio an "existential threat" to Pandora.

Apple's long-awaited entrance into the streaming music field, iTunes Radio was released in September alongside iOS 7. Cupertino revealed last week that in just over a month, more than 20 million users have tried the service and streamed more than 1 billion songs.
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Comments

  • Reply 1 of 73
    Well that is definitely a reason to sell all your Apple stock.

    And get rid of all you iOS devices and replace them with Android ones..
  • Reply 2 of 73
    If iTunes Radio didn't keep playing the same 12 songs, maybe I'd go back to iTunes radio!

    I loved iTunes radio but once you start playing it for over 2 hours, you hear the exact same songs that you started with. Pandora is a new experience ongoing for hours. It's like as soon as you click "play more like this" or "don't play this song" iTunes only chooses from the same small database of songs.

    The settings for how diverse you want your song selection is only available on iTunes on your computer, not your device, and even when you switch off the "top hits" you still get the same experience.

    They should have made it like siri - a long, drawn out Beta
  • Reply 3 of 73
    Pandora is better, thats why
  • Reply 4 of 73
    Hmmm... This smells of a report with an agenda...

    First, if you are going to measure adoption of iTunes Radio vs. Pandora on iOS devices, you would only survey iOS 7 users... Obviously, users of prior versions do not have access to iTunes Radio, so of course they are not going to be using it... That immediately distorts the numbers...

    If you only count those who are running iOS7, then it looks like over 11% of those users have ditched Pandora entirely... That is actually a pretty big number for a service that is a little over five weeks old... And well more than half of iOS7 users are at least 'splitting' their listening hours...

    This is very bad news for Pandora, and quite different from the headline...
  • Reply 5 of 73
    Guess I'm an outlier again. I never used Pandora. Use and like iTunes Radio. Did not go back to Pandora.

    In the 8%. That makes me special.

    Or their 800 sample size is too small to be useful.
  • Reply 6 of 73
    Quote:

    Originally Posted by msimpson View Post



    Well that is definitely a reason to sell all your Apple stock.



    And get rid of all you iOS devices and replace them with Android ones..

    Why can't you accept this evidence at face value without applying sarcastic over-reaction?

  • Reply 7 of 73
    Just wait. iTunes Radio is brand-new. When they start to tune their algorithms for music selection it will only get better. Pandora wasn't that good when it first came out, and I bet iTunes Radio gets better a lot faster than Pandora did.
  • Reply 8 of 73
    19831983 Posts: 1,192member
    Too little too late...still I hope they continue to evolve the service so that it doesn't end up like Ping!
  • Reply 9 of 73
    muadibemuadibe Posts: 133member
    Quote:

    Originally Posted by scott6666 View Post



    Guess I'm an outlier again. I never used Pandora. Use and like iTunes Radio. Did not go back to Pandora.



    In the 8%. That makes me special.



    Or their 800 sample size is too small to be useful.

    I'm with you.  Listened to iTunes Radio, bought the first song I listened to, and deleted Pandora.  No need for it anymore - for me.

  • Reply 10 of 73
    tbelltbell Posts: 3,146member
    scott6666 wrote: »
    Guess I'm an outlier again. I never used Pandora. Use and like iTunes Radio. Did not go back to Pandora.

    In the 8%. That makes me special.

    Or their 800 sample size is too small to be useful.

    I have used both, but I prefer iTunes Radio.
  • Reply 11 of 73
    pazuzupazuzu Posts: 1,728member
    I prefer to listen to my own music.
    Commercial free.
  • Reply 12 of 73
    tbelltbell Posts: 3,146member
    Just wait. iTunes Radio is brand-new. When they start to tune their algorithms for music selection it will only get better. Pandora wasn't that good when it first came out, and I bet iTunes Radio gets better a lot faster than Pandora did.

    Apple's algorithm is very good and not new. Apple has had a genius mix music feature for a while.
  • Reply 13 of 73
    quadra 610quadra 610 Posts: 6,744member

    92% of iTunes Radio listeners still use Pandora, says new report

     

    Not for long. 

  • Reply 14 of 73
    d2kgd2kg Posts: 5member
    iTunes radio is clearly much more convenient and well laid out so in theory it will only get better and better with time but as it stands today the music on Pandora is much better
  • Reply 15 of 73
    rob55rob55 Posts: 1,255member
    Quote:

    Originally Posted by muadibe View Post

     

    I'm with you.  Listened to iTunes Radio, bought the first song I listened to, and deleted Pandora.  No need for it anymore - for me.


     

    I've said this before and I'll say it again here. I never liked or agreed with Pandora's algorithms. No matter which way you slice it, and regardless of what their music genome project may insist, a Rolling Stones song from the 60s should not be on the same "channel" as a Tear For Fears song from the 80s (for example). And, no matter how many times I revisit Pandora, it always does the same crap. Count me in the 8% as well.

  • Reply 16 of 73
    sflocalsflocal Posts: 4,701member

    I revert back to Pandora when iTunes Radio stalls, which is not very often.  iTunes Radio does need some time to evolve.  I prefer iTunes over Pandora, especially the interface but I think Pandora being much more ahead in this space has a better selection of music and keeping it fresh.  iTunes Radio tends to repeat a the songs often.



    All in all, Apple will get up there soon.  I have no doubt about it.

  • Reply 17 of 73
    gwmacgwmac Posts: 1,797member

    I have been trying it and here is what I don't like. It will just stop playing for no reason at times and is hard to get the music started again. It is not a cell signal issue either because Pandora will play fine if I try. I also don't like the fact that I cannot train or fine tune my stations. There is no way to give a thumbs up/down or rate from 1 to 10 stars for example. I am also hearing the same songs far too often. Unless they improve the ability to train stations I think I will just stick with Pandora which seems to know what I like far better after all these years. 

  • Reply 18 of 73
    rogifanrogifan Posts: 10,669member
    I love all the anti iTunes posts from people with September and October join dates.

    I'll admit I haven't used it much because I pay for Spotify but I would imagine it will get better over time as one uses it more.
  • Reply 19 of 73

    I still use Pandora. There isn't a way to migrate your stations over, so it takes time to "seed" the iTunes Radio stations and frankly, see how close it sounds to my Pandora ones. However, considering iRadio is $14 less and I get iTunes match, I've paid my last yearly amount to Pandora and will be moving.

  • Reply 20 of 73
    malaxmalax Posts: 1,598member

    I don't believe that figure is even close to being correct.  What percentage of iOS users has every used Pandora and what percentage would consider themselves "Pandora users" (on an on-going basis).  I expect there are millions of people who never tried Pandora and have tried iTunes Radio.  I'm in that camp.

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