Comments for eHarmony's Revenue and Ad Spending

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eHarmony's Revenue and Ad Spending

Authored by: fxtrading82@yahoo.com (Anonymous User) on Wednesday, December 29 2010 @ 07:39 am

You'd be surprised. I work for another internet company. We are not in the e-dating industry, but are very similar in the sense that we provide an intangible product/service, with mostly fixed costs involved. I can tell you that on some channels, we spend more on advertising than we get in revenue, sometimes even three times more. In some other channels, our advertising budget can go up to 90% of the revenue.

My company, like e-harmony, is relatively new (less than 7 years). I would say most of the relatively new online companies whose business model revolves around intangibles with marginal variable cost are currently operating on a similar way.

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