CNET takes a hard look at why Spotify took so long to bring a free mobile music offering to market in this insightful piece from Joan E. Solsman. Spotify’s new offering, which launched this week, allows users to narrow content by artist, album or playlist, as long as the songs are shuffled. The launch demonstrates “the music industry is gravitating away from the protective premise that free subscription listening hurts all-important ‘ownership’ sales,” Solsman writes. And she quotes a Spotify executive who says the  company’s “first task is to get (listeners) on the conveyor belt to paid consumption.”

While I think that’s a wise strategy in general, the business model of turning listeners of free, web-based radio into music buyers has yet to be proven. Pandora, which operates the biggest U.S. online radio service, posted a $1.7 million loss in the third quarter despite a 58 percent increase in mobile traffic. That’s why I think online radio providers need to experiment with more creative business models by giving listeners a chance to become more engaged with — and spend money on — their favorite artists. Streaming music services should provide information on upcoming performances, for instance, and provide links enabling listeners to buy tickets or merchandise with just a few clicks. Those business models will have to be much more complex than a simple relationship between online radio operators and music publishers, of course, but they could pay big dividends in the long term.