Pandora Will Sell Day Passes for Ad-Free Music

Pandora is looking for ways to increase revenue, and it’s come up with a way to get users to pay for music, without actually forcing them to commit to a full-on subscription to the premium servi...
Pandora Will Sell Day Passes for Ad-Free Music
Written by Josh Wolford
  • Pandora is looking for ways to increase revenue, and it’s come up with a way to get users to pay for music, without actually forcing them to commit to a full-on subscription to the premium service.

    Pandora confirmed to GigaOm that it will soon unveil a “day pass” option, which will allow users to buy a small period of ad-free listening. Why would you want to do this? Well, if you don’t want to pay $5 per month for constant ad-free music and let’s say you’re having a party tonight. The option to buy a chunk of ad-free time sounds pretty attractive in that scenario.

    Early thoughts are that the day pass could be offered at $0.99 for 24 hours, or maybe a bit more for a three-day pass. Pandora says it’s currently exploring its pricing options.

    Here’s the statement from Pandora:

    Pandora is committed to delivering an effortless, personalized experience and we recognize some consumers may want an ad-free experience but don’t necessarily want to commit to a subscription. This offering will allow consumers to choose and explore what is right for them or suits a particular event or experience. Pricing and exact timing are yet to be determined but we expect it to be available later this year.

    It’s an interesting way to generate additional revenue for a company that’s had to increase prices in the past to keep up with rising costs. About a year ago, Pandora hiked the price of its premium offering, Pandora One, from $3.99 to $4.99. The company cited rising royalty rates as one of the reasons.

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