Etienne Handman
C.O.O - Pandora
Interviewed by June
Caldwell
May 12, 2006
I first met Etienne Handman online by emailing some questions
about Pandora. Pandora is the highly customized online radio
experience that allows you to enjoy your ‘personal online DJ’ to
create radio stations full of new music matching your musical
taste with unbelievable intuitive ease! It’s so good…must be
voodoo. I was amazed to get a response back from the COO, and
later read feedback from other Pandora users that the response
from Pandora was equally personal both by the ‘Genome Project’
generated music for each listener, and the folks making it
happen responding to their questions and comments.
I had a chat with Etienne about his role in making the magic
work.
June: Etienne, thank you for sharing some of the ‘behind
the scenes’ insight into the future of radio!
June: What does being part of Pandora mean to you?
Etienne: Well I started out at university studying math,
computer science and music. I wrote a little program to help me
with intro and outros tempos, we made tapes and gave them to
everybody we knew! We just wanted everybody to share all this
great music. At the time we had no idea there would be something
to tie this together as a tool. I was a DJ and I was a
mathematician, but was not very good at either. I realized I
wasn’t going to feed myself doing that. I really wasn’t much
better at computers, but I realized I had to do something like
that to feed myself. What happened is, here I am now 30 years
later at the job I was training myself for all those years and
didn’t even know it! It’s everything I love all in one package!
June: What made you decide to go from being a jazz
trumpeter and dj to the very corporate environment of being the
CIT Officer at E-Loan and the VP of Technology managing the
creation of the first financial E-card, the American Express
Blue…to the art and music start up business culture of Pandora?
What is the commonality between all these environments?
Etienne: Well, Clint Eastwood said ‘a man’s got to know
his limitations’. I knew mine as a DJ, but I loved bringing all
these people together with music, so I found a way to put all
those favorite things together. The common thread is trying to
help make people’s lives better with technology. I get to do
that for millions of people and it’s something that I love.
People have lost touch with what they love about music, and
Pandora helps them get it back.
June: Pandora is such a comfortable environment.
Etienne: What you see is what you get. I hope everybody
who listens to Pandora finds some music they didn’t know they
like or forgot they like.
June: Do you have a goal each day when you come in to
work at Pandora?
Etienne: Well you should know I’m sitting here in a
T-shirt. You can’t have a lot of goals in a t-shirt! I’m
responsible for the quality of what you hear on Pandora. So that
starts with the people who listen to the music that comes to
Pandora. We listen to thousands of songs each week.
June: Pandora seems so ‘human’, so flowing and artistic,
like a DJ doing sets that focus on one quality of the listeners
favorite music, and then another.
Etienne: Yes, that’s what DJ’s do.
June: So your stint as a DJ really helps here!
Etienne: I tell you, it’s just like putting those tapes
together for my friends in college, I just have a few more
friends now! The majority of my day is spent on improving the
music experience.
June: I noticed Pandora is very responsive when people
email comments. Is that going to continue as Pandora grows?
Etienne: Yes. We have a group dedicated to that. But they
are not customer service people, they are music nuts. They are
people that are very passionate about music, about discovering
music.
June: I love feeling like there is a whole team of
experts finding music that I like for reasons I didn’t even know
I like it. I like the privateness at the same time.
Then there is the ‘shared experience’ that people talk about,
and the comparison to ‘Last FM’ and it’s community. I prefer
Pandora, but what about the shared experience that Last FM and
traditional radio have more of than Pandora. How do you address
that?
Etienne: We have features like sharing stations. The
internet is full of great stuff that can be mashed together.
Last FM is great. There is no reason to have either/or. People
can enjoy any number of music sources. I offered our technology
to Last FM to share.
June: Is their feedback to the artists about how many
people are listening to them?
Etienne: That is something we are working on.
June: How much does customer input play in determining
your direction?
Etienne: The Pandora tuner looks for tunes that have
something in common, and putting them together and playing them.
The Pandora community is giving millions of thumbs ups and
thumbs down to guide the tuner as to how often to play things.
So the Genome decides what songs to play. The Pandora community
decides how often to play each song and how to put them
together, then the individual Pandora listener further decides
what they will hear by their thumbs up and thumbs down.
June: How many listeners do you have?
Etienne: At the end of March we had about 1.8 million,
and we have been around for 6 months.
June: Do you advertise?
Etienne: Amazingly no. We started off and invited each
employee to invite as many as we want, then each to invite 10,
then 25 then we just got rid of the limit since there is such an
appetite for it.
Everyone wants to share this. I don’t think it’s about how great
Pandora is, it’s about how great the desire is to discover and
share music and reconnect with it. I’m sure you know people who
used to listen to music everyday, to be excited about new music,
and have lost touch. Pandora helps them get back in touch with
that. Our listeners are telling each other about this.
June: How do you make money?
Etienne: Well first we have paid advertising, with some
pretty big companies. The advertisers are willing to pay a
pretty big price because the listeners while they are on the
site can do something else while they are listening to the
music. Music can fully occupy one part of the brain while the
other part is doing something else.
The 2nd source is when people click through to buy the music, it
doesn’t cost the listener any more, but we get a commission. Our
research shows that people who listen to Pandora buy more music
than they were before.
The last way we make money is people can pay $3 a month for a
commercial free Pandora. We have a large number of subscribers.
Subscribers can have the same experience but without
advertisements. When we first launched our service, we only had
it for paid subscribers. When we found we could make it work
without paid subscribers, we felt offering pretty much the same
experience for free wasn’t fair. So we contacted each subscriber
and offered them their money back. Amazingly, almost not one
wanted the money back. A lot felt like they were investing in
something good.
June: So, what is a typical day like working at Pandora?
Etienne: Working here is more like a music lover’s club
more than a traditional workplace. There are cds from the floor
and covering every wall. There’s a stage here with a drum kit,
guitar system, bass, amps, sometimes people just pick up an
instrument and start playing!
June: What’s your favorite type of music?
Etienne: Well for the last few weeks I’ve been listening
to nothing but Latin music. That’s a new direction we are
working on starting, and we don’t want to start it until it is
good. I had no idea how much of it I like. So this week that is
my favorite type of music. Next week it might be Klesmir music
or something, who knows?
June: Thanks so much for your time
Etienne: It was good talking to you!
-June Caldwell
June Caldwell
lives amidst drawers stuffed with an array of earplugs, clipped
wristbands, and notes scrawled on ticket stubs… splitting her
time between concert reviews, and doing radio airplay promotions
for Indie bands at Bryan Farrish Radio Promotions. She covers
the LA music scene for artrocker.com, the largest bi-weekly new
music publication in the UK, and www.fly.co.uk with her
shutterbug hubby Roger.
June’s always interested in Indie bands
looking for promotion, and can be contacted at:
junejer@gmail.com.
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