|“Pandora” by ‘blackeri|
My subscription to Pandora One expired. Normally it would automatically renew at the very reasonable fee of $36 annually, however I changed my credit card a couple of times last year and so the one they had on file was no longer valid. I considered resubmitting my credit card information and renewing the subscription, but then gave the matter a little thought.
1. I didn’t find the improvement in music quality particularly noticable.
2. I honestly didn’t take advantage of the fact that I had access to Pandora–paid subscription or not. I usually listened to podcasts.
3. I do enjoy the service; it’s more of a “set it and forget it” affair than competitors such as Spotify or Last.fm which require more cultivation of music recommendations. I’m just not willing to put in the effort. It’s especially good for sampling new artists I’m unfamiliar with.
Then I remembered that Pandora is a publicly traded company. Looking at their financial statements it turned out that subscriptions make up only 13% of their revenue with the majority coming from advertising. In fact, since there’s no advertising with a paid customer they stand to make more off of “free” customers than subscribers. So I would actually be helping them by not renewing the subscription (although they probably benefit most from somebody with a subscription who rarely uses it, sparing them the bandwidth.)