Pandora is adding new advertising options to its free ad-sponsored model.
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The Pandora One press release confirmed that the company indeed plans to introduce an on-demand service to rival Spotify and Apple Music soon.
Pandora One, the longstanding premium tier from the online radio service, allowed users to get rid of ads, access higher quality streams, and increased the daily skip limit on songs.
The news comes on the heels of Pandora’s announcement earlier this week that the streaming service signed direct licensing deals with several major music labels, including Merlin Network, Sony Music and Universal Music Group.
The “predictive offline mode” notices when internet connection is cut and automatically caches three of the stations a user listens to the most. In exchange for watching a 15-second ad, users will be able to listen to a song again or skip more of those they don’t like. Spotify this year outstripped Pandora in total listeners.
While Pandora Plus is launching today, the new service will hit Android and iOS phones “in the coming months”. Listeners in Australia and New Zealand will see the changes next year, it said.
Pandora has looked to gain market share as competitors like Apple Music and Spotify launch enhanced streaming services, according to Reuters. Instead, listeners choose artists or songs they like and Pandora puts together a playlist. Pandora Plus improves on almost all of that, with unlimited skips and replays, and a new offline mode that will keep the music playing when your connection drops. If you’re already a subscriber, you’ll be moved over to the new Plus plans in the next few months with no change to your bill.
Shares of Oakland, California-based Pandora Media Inc. slipped 14 cents to $13.17 on morning trading Thursday.
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