Music lovers in New York City and Los Angeles can now get unlimited access to concerts for $25/month through Jukely. In exchange for the monthly price tag, subscribers can get tickets for up to one concert per day. Granted, they won’t be Maroon 5 or Katy Perry tickets, but they allow music fans the opportunity see new acts in participating cities.

Here’s how it works. Tickets are posted to the Jukely website two days before an event, and are available on a first-come, first-served basis. Jukely pays for the tickets ahead of time, sharing subscription revenue with the ticket vendors. The service was initially tested in New York, but L.A. was added this month. Austin, Texas and San Francisco are Jukely’s next targets.

The ticket sellers benefit because they are selling tickets that probably would not have sold anyway. Concert venues are also pleased, because it brings new music fans to their establishments who will likely purchase other products and services (e.g., food, beverage, band merchandise). And Jukely wins because every time a subscriber attends a concert he or she loves, there is a greater likelihood of positive word-of-mouth marketing and increased retention.

In an article in Fortune magazine, Jukely co-founder Bora Celik explained the concept: “The service will be like Netflix. You don’t get the latest movies on Netflix streaming, but you get a lot of stuff. There will be a lot of good stuff here.”

Following the launch of unlimited concerts in L.A., Celik told the L.A. Times, “People end up going to more shows because it’s a low-cost way to see artists you normally wouldn’t.”

Insider Analysis:

In 2012, $3 million tech start-up Jukely originally planned to match people with nearby concerts based on their musical tastes. After running into some obstacles, the company has shifted its focus to better meet the needs of its target audience. It learned that promoters and venues, eager to fill seats, were giving tickets away, while consumers seemed to have little interest in attending concerts for unknown artists. What Jukely found, however, was that its customers wanted access to new acts and to pick and choose what concerts they would attend. By offering the unlimited monthly subscription, Jukely could earn long-term customers who only need to attend one concert a month to get their money’s worth.

This example shows that it pays to be nimble, to gather data about your customers and their music tastes, and to develop strong, mutually beneficial partnerships. We’ll keep an eye on Jukely to see what cities it adds to the mix and how its revenue fares under this new model. Will it be enough to turn a profit and please its investors? That remains to be seen.