You might have known Pandora only as an online radio service but the company is now going to be more aggressive in the game of selling concert tickets, but instead of building a setup entirely from scratch Pandora has acquired an established ticket selling service called Ticketfly. The acquisition was announced today with Ticketfly saying that this will bring about the creation of the “most powerful fan analytics platform in the world for venues, promoters, and artists.”
Even though Pandora has over 80 million monthly active users the company has had a hard time turning a profit, it’s yet to do so, which is why it makes sense for Pandora to look for opportunities in the ticket selling business. The margins there will be higher than simply serving advertisements to users, which means the company has a real shot at eventually generating profits.
For users this means that Pandora will now starting selling a greater number of tickets directly, it recently tried its hand out at this, selling 55,000 tickets for a Rolling Stones tour in just 24 hours, and also 25,000 tickets for ODESZA.
The official terms of this acquisition were not revealed but according to reports Pandora may have paid as much as $450 million to acquire Ticketfly. Clearly Pandora sees some sort of value in this deal to dig so deep in its pockets.
Filed in . Read more about Pandora. Source: start.ticketfly