How about a magic flute you play to get some reaction such a calming foes or calling deadra or giving you super speech power?
Well, there's the Dancer's Flute at Calixto's house in Windhelm, which is supposed to make people dance uncontrollably. Unfortunately, we can't play instruments, so it's quite useless.

I like Archmage12's idea, as I can't see the bards to be die-hard adventurers. In my eyes, bards are supposed to pry information and rumors from people and use their speech skill to obtain even the biggest secrets. Kind of like journalists really. Because that's what they were in ancient times, bringers of local or sometimes more global news in the shape of a song or a poem. They don't usually create tales of their own adventures either. All they do is travel around in relative safety and entertain local people with important news or juicy gossip.
Of course, Beth could always add a bit more dangerous twist to it, but nothing like being as heroic as the character(s) from your own tales. For instance, a bard could somehow still get his hands on very dangerous and classified information, which he'll of course bring out in the open like a true journalist. Besides, a lot of actual information should be circling around in the Bards' College, and I'd think that'd be like a magnet to spies roaming the lands of Skyrim. I know my thalmor spy will be joining the Bards only to get fast contact with possible important information. So there could be a little quest involving a spy ... But nothing too big like transforming the whole college into a spy network.