Pandora, a music streaming company has acquired Ticketfly, buying ticket seller in the deal that is said to be worth $450 million. The acquisition is considered to be the recent step towards achieving Pandora’s mission to help artists find their audience and for the audience to find music of their choice.
Founded in 2012, Pandora is an online platform and incubator that offers information related to technology, business, communication and many more. This platform provides its users with information related to business, IT, entrepreneurship and communications. It claims around 80 million people use its free service every month to listen to music and comedy on their computers and mobile devices. Different from Pandora, Ticketfly provides ticketing and marketing software for around 1,200 venues and event promoters in North America and help the fans to find and book tickets for many event with ease. Last year alone, the company sold 16 million tickets to more than 90,000 events around USA which has been valued $500 million.
The addition of Ticketfly to its platform, Pandora looks forward to solve the long-standing issue of event discovery by putting together around 80 million active users of Pandora to events they love. The acquisition is expected to allow artists and promoters to sell out more shows and strengthen the bond between artists and their fans. The companies have also planned to bring together their combined data to create new tools for music makers to attract more users and generate more revenue.
Stifel Nicolaus analyst John Egbert said, “We believe this acquisition closes the loop for Pandora by creating a one-stop-shop for artist discovery, marketing and concert ticket sales. Pandora can now share in the upside of the live music industry growth that is undoubtedly being driven in large part of rapid growth in streaming music consumption.” The deal comes at time when fewer people are buying and downloading music and more are streaming it. Also, touring is becoming a bigger and bigger source of income for artists.
Apart from the acquisitions, Pandora has been launching several new initiatives of its own. A year ago, the company launched its own Artist Marketing Platform, which provides acts that have their music on the service with data on who is listening, liking and their demographics. This platform enables the artists to market their work better and plan their tours smartly.