Opening Pandora's Box - Reflection

        I would still recommend an aggressive approach with Pandora’s technology. The conservative approach of pulling back, reducing headcount and having minimal investments are not a promising future. In my opinion, the pedal to the medal approach and the 3 emerging technologies provides motivation, determination and profitability for Pandora. Pandora must continue to be creative and unique with offering different ways to listen to music. I wouldn’t change the following bullet points below.  

• Continue to offer a free music service with an optional monthly subscription
• Continue to use the word of mouth marketing strategy (no significant marketing expenses)
• Continue to challenge the Copyright Royalty Board (Trying to Triple the licensing fees)
• Aggressive Path (3 New Emerging Technology products)

There must be an investment with the three emerging technologies.  As I mentioned, the three emerging technologies are a Pandora headset, a Pandora watch and the ability to watch free music videos. All three new products offer a new unique way to listen to music. A Pandora headset would be a great way to listen to music as other competitors wouldn’t match the product. The iNanos are heavy and don’t have a good track record with their ear phones. The Pandora headset provides convenience and easy listening with no technical interruptions. There is an opportunity to make $10 million in net profit within one year.

The Pandora watch is a creative way to partner up with Swatch. Pandora would add notoriety to their portfolio and the Pandora Swatch watch would add you as a household name. The ability to listen to music on a watch is unheard of and a great way to be creative. The Pandora watch would increase profitability with a $60 million net profit within one year.     

Pandora has an opportunity to provide free music videos to listeners and viewers. The ability to watch free videos is a similar approach with Pandora’s current model of listening to free music on the Internet. There is a major investment and a great way to significantly increase your net profits. I calculated approximately $292 net profit within one year! Your listeners have an opportunity to listen to free music and watch free videos!  

Pandora’s goal is for listeners and musicians to come together as one. I have identified new and creative ways to bring them together. The three emerging technologies gives you an opportunity to make $332 million net profit within the first year projections ($10 million in the headset, $30 million in the watch and $292 million in watching music videos on Pandora). I would take an aggressive approach and not look back. 

 I have a simple formula that helps identify the big picture.  Emerging Technology + Emerging Market = Significant Profits. I am looking forward to Pandora’s next action step.