Memberships

eHarmony was on the brink of disaster in 2012, ready to be sold to the highest bidder on the auction block, at least according to a recent article on Online Dating Insider. But the company was determined to turn things around.

According to eHarmony executives, “We took our hard won stash of capital and used $153.2M to buy out all the “Class B” shares, and we began the pursuit of our own company.  We asked five of our former and highly-esteemed board members to step aside and give us a chance to do more of what we needed to do to bring this company back.  We made tough decisions…let some people go, terminated vendor contracts. Moreover, we have cleaned up “our house” by appointing an all-new executive management team that is a more aligned team than we have ever had before.”

For those of us who did not know eHarmony was on the brink of financial ruin, this letter came as a surprise. In the time they were desperately struggling to tread water, Neil Clarke Warren, the company’s founder, came back on board as CEO and reminded the company of the reason they were successful in the first place – their focus on matching for long-term relationships.

While most dating sites and apps have gone in the opposite direction – focusing on quantity instead of quality of matches, and casual meetings instead of long-term relationship potential, eHamorny’s serious focus has paid off.

“Instead of losing 100,000 end of period subscribers each year, suffering...losses of 50% every single year, our EBITDA for 2014 will literally be dramatic and the cash in the bank increasing substantially each month. EBITDA is currently running $9.4M ahead of plan as we work with our forecasts. Our end of period paying subscriber count has hit its all-time high...”

eHarmony was not afraid to get rid of what wasn’t working. Trimming staff by over 30%, they went from about 300 employees to only 190 in all of the U.S., U.K. and Australia. They have also dropped vendors who weren’t contributing to the primary focus of the site – relationships. (That is, focusing on the long-term potential.)

eHarmony’s success rate speaks for itself. It claims to have made more than 600,000 marriages, and has only a 3.86% divorce rate (compared to the over 50% divorce rate of Americans in general).

The company plans to take its technology in other directions besides love. They are planning the launch of Elevated Careers by eHarmony, where they hope to make successful coupling between potential employees and employers by using the same psychologically-based matching system to help people find their dream jobs.

While the company didn’t offer exact figures, they did claim to have hundreds of thousands of users as well as 1.2 million matches. It looks like they have turned things around, though most of us didn’t even realize how much they were struggling.

To find out more about this dating service, you can read our eHarmony review.

SNAP Interactive has made its online dating site Are You Interested (AYI) a priority, and it looks like it’s paying off. The company announced that AYI has become the number one grossing application in US Lifestyle category in the Apple iTunes Store as of August.

The company hit other big milestones, too. In July, its mobile apps contributed to the highest percentage of total logins ever, at 38%. New mobile subscription transactions were up 57% year-to-date compared to the same period in 2013, and total mobile logins were up 33% YTD compared to the same period in 2013.

AYI began as a Facebook-based online dating site, and has since expanded to its service to develop its mobile platform. SNAP said that it has put a huge focus on mobile in the past year, specifically improving the user experience for iPad, iPhone, and Android phones. The goal was to create a seamless cross-platform experience for everyone, no matter what device they were using.

Mobile has become a crucial part of the online dating market, and its numbers are only going up. Traditional online dating sites have been developing and marketing their mobile platforms for this reason – many daters want more ease and accessibility - and don’t want to have to sit in front of their laptops when they can use their phones to connect with potential dates. Popular apps like Tinder, Hinge and Grindr have also created a new market of younger daters who find dating via phone apps to be the most convenient way to meet people.

Snap's Chief Executive Officer Clifford Lerner commented, "Mobile is the primary platform for an increasingly large segment of online dating users, and we were determined to create an excellent experience on all mobile platforms to take a leadership position in the market.  We're excited to be the #1 Top Grossing application in the US Lifestyle category in the Apple iTunes store.  It shows that iPhone users have really embraced the AYI app and user experience we worked so hard on.  We believe mobile is an important engine of growth in the online dating industry, and we're pleased to be one of the leading providers of online dating applications."

Snap's Chief Operating Officer Alex Harrington added, "Mobile is not only strategically important, but also a very lucrative platform for the Company.  In July 2014, approximately 52% of our user acquisitions occurred on mobile platforms, which helped diversify marketing sources and increase marketing efficiency."

SNAP Interactive hasn’t mentioned any future development plans for AYI. For more on this dating service you can read our Are You Interested review.

Dr. Neil Clarke Warren left eHarmony a few years back, only to take control of the company he founded once again in 2012 to implement a turnaround strategy for its drastically sinking subscriber base. As it turns out, this new strategy has been key to eHarmony’s unprecedented recent success. This past week, the company announced that it has the highest number of subscribers in the company’s history, and has grown its base of users 54%.

This is quite an accomplishment, considering the growing popularity of dating apps like Tinder and Hinge. The market is crowded these days, so you have to effectively differentiate yourself in order to compete. Traditional online dating sites have struggled to make their offerings more competitive and accessible.

eHarmony is an especially interesting contender in the online dating industry. Going against the grain of its competitors who offer an easy sign-up process and a high number of matches, eHarmony has a rather lengthy and grueling sign-up process that can take up to 90 minutes to complete before you receive your matches. And you only receive a few matches at a time, ones that are selected by eHarmony, not you. On top of that, there is another “guided communication” process to complete with each match before you can just send them an email to meet for a date.

It seems to be working.

All of these steps are important to eHarmony’s goal: compatibility matching. This was the original intention behind the launch of the site, and founder Dr. Warren has remained firm in this vision, which numbers show is paying off. He brought in a new management team to improve the website and mobile design, the technology, and implement a new marketing program.

As a result, the company has gained subscribers who are also more willing to stay longer and pay more than in years past.

“eHarmony was created as a way for individuals to begin a relationship already a step ahead – with someone who is truly compatible,” said Dr. Warren in a statement. “We are proud of what we have achieved over the past two years, securing the largest subscriber base in our history. We are confident in our ability to continue to grow eHarmony in the future.”

With so many dating sites and apps competing for sheer numbers, it’s interesting that eHarmony’s more serious approach to dating and its focus on the goal - helping people find long-term relationships – is paying off. There is indeed a market, and a need, for people to find and make real-life lasting connections, and the continually growing numbers prove it.

Let’s face it – we all have a “type.” Whether he’s tall, dark-haired, and lanky or blond with ripped muscles, there is a physicality we are attracted to, and chances are, you might subconsciously think your ex resembles the dream guy of your future.

At least, dating website Match.com thinks so. Match has teamed up with Los Angeles-based matchmaking service Three Day Rule, a matchmaking service that uses facial recognition software to find matches for people.

Match.com members will be able to upgrade their current membership in the next few weeks to Three Day Rule’s premium service, which includes sending photos of your ex to show the “type” you find attractive.

But it’s not all about those dark-haired locks or muscles, at least according to Three Day Rule. Attraction is dependent on the shape of your ex’s face – and chances are, you’ve had more than one ex with the same face shape.

“It's not necessarily about height or race or hair color, but a lot of it is about face shape," Talia Goldstein, the founder of Three Day Rule, told Mashable. “I always ask my clients to send me photos of their exes. They say that they don't have a type, but when I see the photos, to me they look very similar. The ex's may be different ethnicities, or have different hair color, but their facial structures are the same."

The service isn’t cheap. In fact, at $5,000 for a six-month membership, it’s more expensive than eHarmony’s new personalized matchmaking service. The new upgrade will be marketed towards affluent singles who are interested in a more personalized touch, so in this respect, they are offering a bit more than just matches with similar bone structure to your ex. Premium members are assigned professional matchmakers, who coach the client, meet with them, get to know their preferences and engage in a “pre-date” with potential mates just to make sure they are what you’re looking for.

Along with the new service, Match.com’s database is growing too – with Three Day Rule clients becoming part of the mix, and even the matchmaker’s personal network.

Will matching members based on characteristics that remind them of their exes work? It seems there’s a reason you broke up with your ex. Would you really want to date him again?

Match.com seems to think so, and it’s a win-win for Three Day Rule who is only expanding their network. The major online dating sites are looking to cater to those who want a personal touch, who can afford more. But does this help or hurt online dating overall? Or do matchmaking services improve the experience for everyone? I guess we’ll have to wait and see.

To find our more about this dating service you can read our review of Match.com.

Aaron Schildkrout and his friend Brian Schechter founded HowAboutWe four years ago as an alternative to traditional online dating. In a recent article in The New York Observer, he said that the fundamental problem with online dating sites was that they needed to keep subscribers. The sites work best when people are looking for dates, not when they are in relationships and dropping out. Dating sites depend on a huge database of subscribers.

HowAboutWe’s focus is a bit different for an online dating site. For one, they have branched out from their online dating platform to creating a valuable resource for all people interested in dating and relationships.

The primary goal of their dating site is to help people meet offline (and get them there as quickly as possible), so they can move towards forming relationships. Instead of searching through profiles, members can create an idea for a first date, put it out to the network, and see who’s interested. Schildkrout says it’s a way for people to meet more organically.

Because of the site’s focus on date activities, it was a natural progression to create a site for couples who are looking to be inspired. Many couples are bored with the same old dates they do all the time, but don’t have the time to research or a lot of money to do something more unique. This is where HowAboutWe comes in – they curate dates particular to each city they service, and set the whole thing up for a discounted price.

It’s an appealing idea for couples. As Schildkrout says, “We make the booking process and the reservation process extremely easy — you never have to show a voucher, your name’s already on the list. We do all the work for you. We take care of all the details.”

The company is also getting into media content, acquiring sites like The Date Report and Nerve.com and creating two additional new blogs related to dating and relationships. “We built out a world-class editorial team,” says Shildkrout, “and for the last three months, we’ve been working really hard to create a media wing focused on becoming the authoritative voice on all things love, and have grown traffic dramatically in that process.”

Popular apps like Tinder and the bigger or more traditional dating sites like OkCupid don’t seem to bother Shildkrout. He sees Tinder as more of a lightweight hook-up experience and OkCupid as an algorithm-matching experience which might not match you with someone outside your type. He is focused on his product, on connecting people in a real-world way. And he’s looking to build content that gets a conversation started. 

It turns out Oscar Wilde was right when he wrote "Life imitates Art far more than Art imitates Life." At least, he was right about eHarmony, a century before the dating service even existed. Believe it or not, eHarmony's newest matching service, eH+, was inspired by Hollywood.

In 2012, Grant Langston, eHarmony's Vice President of Content and Customer Experience, was given the script to a new film called The Secret Life of Walter Mitty. He'd been given the script because 20th Century Fox had written eHarmony into the story, and wanted the company's cooperation in making its fictionalized service as accurate as possible.

Langston found that the eHarmony portrayed in the movie was nothing like the eHarmony he knew in real life. Once he discovered that Ben Stiller and Kristen Wiig would take on the starring roles, he knew something had to be done. He couldn't let such major movie stars, who were bound to draw a large audience, promote an incorrect version of the website. Instead, he saw the film as an opportunity to launch a premium service within eHarmony and make the real-life dating service match up with the one that moviegoers would see on screen.

So eHarmony set out to build the service that was written in the script. In the film, Ben Stiller's Walter Mitty character speaks on the phone with his "eHarmony counselor," who guides him through the process by helping him to build a great profile and coaching him when he hits stumbling blocks. It didn't take long for Langston to see the value in offering a similar service on the real site.

"I began to understand Walter's attraction to this version of eHarmony," he wrote on the company blog. "You're talking to a human being who cares about your success. That's nice. This person is reaching out to you and listening to your feedback. Who wouldn't love that? Your counselor is helping you avoid the pitfalls that are common problems for many people. It's like having a guardian angel!"

The new service was christened eH+ and ideas quickly began flowing. "What if eH+ users were FREE from having to log onto the computer? FREE!" Langston continued. "What if eH+ users could avoid rejection? WHAT?! That's like fat-free bacon. What if eH+ users had a level of privacy virtually unknown in the online dating world?" They may not be things Walter Mitty needed in the film, but they were certainly things that real-life users would love.

And now, when moviegoers leave the theater after seeing The Secret Life of Walter Mitty this winter, they will be able to sign on to eHarmony and receive the same exclusive service as Ben Stiller himself.