Move over Pandora and Last.fm. Here comes Rdio. Pronounced r-dee-o and dubbed a “new social music service,” Rdio comes from founders Janus Friis and Niklas Zennstrom, the people behind Skype and Kazaa. The digital technology entity aims to further enhance and integrate music discovery, access and delivery system while providing users with a greater ability to share favorites with others and collaborate on playlists. Think iTunes and Genius on steroids with Facebook and Twitter thrown into the mix. Subscription fees vary from $4.99-$9.99 per month.

From our perspective, Rdio presents both a wakeup reminder as well as an opportunity for traditional radio programmers and managers. Regarding the former, if there was every any doubt in anyone’s mind that online music systems were a fad that would, in due time, run their course, then think again. Technological advancements, including music delivery systems and social media are here to stay with more on the way. As for the latter, the Rdio announcement and “buzz” represents an opportunity to refocus, further examine and then hone, if necessary, station programming goals and priorities—including what makes radio (and your particular station) different, relevant and, better.

Since the advent of satellite radio, iPods and streaming music in general, there has been much debate over music selection and variety. Is traditional radio too limiting in its playlists and rotations? Do today’s listeners want more songs to choose from? Has consolidation driven listeners to new technologies and other listening options? While there is no denying that years of industry consolidation and narrowed playlists drove many to drink from the Kool-Aid of competitors, the fact of the matter is, most new music is still discovered via terrestrial radio stations.

Moreover, as mass media consumers, we crave public consensus and community endorsement when deciding exactly what to consume. My friend’s restaurant receives a positive review in The Boston Globe and people drive literally more than an hour outside of Boston to eat at his bistro. A cool jeans ad on TV can spur us to purchase a new wardrobe component. Similarly, airplay of a new song with “props” from a popular air personality and notice that the song is “most requested” by other listeners lends third-party credibility and influence on a wide scale. Radio is, at the same time, “one-on-one intimate” and the ultimate social medium. Nothing else yet compares.

When it comes to musical variety it is also important to consider the “infinite dial” and how it relates to the SSR “music pyramid” theories. It doesn’t matter how many songs someone has programmed into their iPod, they always go back to a few select songs most often. We see this over and over again in the music testing that we do for our client radio stations. People may say one thing (“we want larger playlists”), but, in practice, they actually gravitate to a more finite number of songs that they enjoy and want to hear most.

In research, it is important to not only listen to what the listener SAYS, but UNDERSTAND what the listener MEANS.

What is perhaps most important, as new technology and competitors come and go, is how WE are reacting. Are we, as radio station programmers, doing all we can to offer the right mix of variety and interesting content across multiple platforms? On what are we basing what we play? Are we designing our music tests to drive the station strategy?

How is our on-air talent engaging and interacting with listeners, including informing them more about the music and artists we air? How are we utilizing online and social media to fertilize and strengthen our connections with listeners?Stressing, underscoring and celebrating all key differentiators, then, is the key to remaining vibrant, relevant, better. And all without a monthly subscription fee.

So, what’s your take on this new upstart competitor, Rdio? And how is new technology competition affecting the way you think about delivering music to consumers?