Online Dating

Last year’s infamous Ashley Madison hack revealed a statistic that seemed to confirm what many already feared about online dating. The site’s database included over 31 million male users and just 5.5 million female users. Of those profiles, only a small percentage were real and active: around 20 million men and 2,500 women.

You don’t need to be a mathematician to know those numbers are bad.

The vast majority of Ashley Madison’s female users were inactive or, worse, not real to begin with. Since then, singles have become even more skeptical of the veracity of women’s profiles on dating sites. SurveyMonkey Intelligence recently put those suspicions to the test by studying which dating apps have the highest proportion of women.

The bottom of the bunch is no surprise: Grindr, an app geared towards gay and bisexual men. Some of the entries farther up on the list are equally unsurprising. Coffee Meets Bagel and Bumble, both female-friendly apps, scored relatively high. Tinder and PlentyOfFish found themselves in the middle of the pack, despite having more users than any of the other apps tested.

But the number one spot is where things get interesting. Topping the list, with a userbase that’s 58.6% female, is Christian Mingle. Christian Mingle, Coffee Meets Bagel, and eHarmony are the only apps that have a majority of female users. Who would have guessed that a niche, faith-focused dating app would rank so highly?

SurveyMonkey Intelligence also found that men and women use dating apps differently. Looking at what percentage of users engage with an app on a daily basis, the results are almost flipped. Grindr is the clear leader, with 70.3% of users engaged each day. Christian Mingle and eHarmony bring up the rear with 33.7% and 28.7%, respectively.

It could be that men are generally more engaged daters than women or, as SurveyMonkey Intelligence speculates, it could down to Grindr’s demographic. Because the app is geared towards a targeted market, Grindr users may stick to one app while other demographics spread their efforts among multiple services.

SurveyMonkey Intelligence tested a variety of other factors (read the full report here) and closed with a few tips. “Straight men may want to check out Coffee Meets Bagel, while straight women can confidently choose between a number of apps where the gender ratio is favorable,” the report advises.

It’s also important to take your dating style into account. If you’re the spontaneous type who wants dating to be part of your daily life, SurveyMonkey suggests trying your luck with the highly-engaged users of Happn. If, on the other hand, you take a more relaxed approach, the more infrequent users of Coffee Meets Bagel could be more your speed.

According to a recent article in Bloomberg News, Tinder expects its paid subscriber base will double by the end of the year.

The Tinder app is free to use, but about 1 million users are currently paying for its tiered service, which provides special features, such as the ability to “super-like” a profile. Super-like allows you to let the person know you think they are extra special, instead of just swiping right as usual. Other paid features include “Rewind” where users can return to a previous profile they swiped left on, or rejected, for the opportunity to choose differently.

Tinder announced recently that it will launch a new social feature to its app to connect groups of friends who share common interests. There is no news on whether that will be part of its free platform or a new paid feature, too.

Gary Swidler, chief financial officer of Tinder's parent company, Match Group Inc., described efforts to monetize the dating app as being "ahead of schedule."

Subscribers aren’t Tinder’s only source of income. The company originally started drawing revenue from ad sales.

Tinder’s huge database of more than 9 million daily users and its well-known brand, especially among the coveted Millennial age group, makes the app a great advertising vehicle for many companies looking to expand their brand awareness. Users of the service spend roughly 35 minutes per day on the app and swipe left or right 140 times, according to company executives. This means a captive audience, which is also appealing to marketers.

While Tinder will continue to sell advertising over its platform (one of the drawbacks of using the free app), they will also push forward with gaining more subscribers and developing more paid features. Tinder garnered criticism last year for charging more money to users over 30, but the company has not since changed its pricing policy.

Because of the growth in Tinder’s revenue, the management team told Bloomberg they feel confident in adding new features to the service and “taking some swings,” in terms of taking chances with the features. The company admitted it hasn’t made any significant changes to the app since adding the “Super-like” feature last November, though recently they were testing the social feature which links you through your Facebook friends to other friend groups and garnered criticism for its lack of privacy. (Users could see their Facebook friends’ Tinder profiles without their knowledge.)

Tinder is owned by Match Group, which also owns popular dating platforms Match, OkCupid, and Plenty of Fish.

There has been speculation that Match Group’s star performer in the online dating space – dating app Tinder – would cannibalize its other online dating companies. But so far, contrary to analysts’ reports, this hasn’t happened.

Tinder is by far the dating app industry giant, with over 25 million active users and about 1 million paid subscribers in its tiered program. Some analysts have feared that because of Tinder’s rapid growth and free platform, it would mean users would leave other popular online dating sites in Match Group (like Match, Plenty of Fish and OkCupid) to join Tinder, making them obsolete.

What they found instead was that Match Group’s overall earnings were up in the first quarter of 2016, thanks in part to the POF acquisition and Match Group’s strategy to grow and invest in Tinder’s rivals.

Overall revenue came in at $285 million in its first quarter, $3 million over expected revenues.

Greg Blatt, chairman and CEO of Match Group, said in the first quarter earnings release: "Match Group posted very strong revenue and Adjusted EBITDA growth in the first quarter, driven by exceptional growth at Tinder, solid performance of Meetic and Match, and the PlentyOfFish acquisition."

Bank of America Merrill Lynch explained that "even without Tinder, Match would have grown its core Dating subscribers by 6% (up from about 1% last quarter) and its Dating revenue by significantly more."

The POF acquisition is an important factor in the revenue numbers. The dating website grew tremendously itself over the years with 70 million registered users, and operated for many years on a shoestring budget with one employee, Markus Frind, who created the dating site and sold it to IAC (Match Group’s parent company) for $575 million in 2015.

Over time if Tinder’s popularity continues to grow, and the app itself makes improvements that resonate with its users, then there could be an impact to Match Group’s other businesses. For now, POF, Match, and OkCupid are still going strong.

One solution that has been floated in the media is for Tinder to advertise other Match Group properties on its app. (Tinder’s revenue comes mainly from paid advertising, rather than its tiered service.)

For the most part, online daters are not beholden to one site or app, preferring to join two or more at any given time. Because of Tinder’s growth, it has grown the entire online dating industry in just three short years, and made online dating a more acceptable practice. Numerous dating apps are launching every week, hoping to cash in on Tinder’s market share and success.

It seems to be a win-win for the online dating industry as a whole, even in a saturated market.

To coincide with LGBT Pride Month in the United States, China’s most popular gay social networking app announced last month a major milestone. Blued, founded in 2012, has completed its latest rounds of investor financing and now has a value of $300 million.

Blued claimed more than 27 million registered users globally as a February 2016, with overseas users accounting for more than 20 percent of the total. Not only does that make it China’s biggest gay dating app and bigger than Grindr, it also makes Blued one of the top social networking apps on the App Store.

Geng Le, CEO of Blued, said the company has seen significant revenue growth, particularly in the first half of 2016 when it started to make a profit. The app primarily makes money from advertising and live streaming, where audiences can tune into live-streaming video broadcasts and send virtual gifts to the broadcasters.

"With the funding, we plan to speed up our international expansion, and localize our products overseas,” Geng said. “We will promote the marketing and branding, and set up more offices overseas. We also plan to hire more competitive staff, and we will pay them a considerable salary."

Blued currently operates offices abroad in the United States and Thailand. The app has been translated into nine languages and its users hail from more than 190 countries and regions.

What has made Blued so explosively popular? As one of the earliest Chinese-language, geo-dating apps for gay singles in the region, Blued got an early foothold in the market. And given that China’s population is 1.3 billion - 1.7 million of which are estimated to fall on the LGBT spectrum - that market is potentially enormous.

“The gay business is a piece of virgin territory in China, and we hope to become a leader of this lucrative market,” Geng Le told China Daily this week. “The substantial spending ability of gays and the funding support we got indicate the strong power of the so-called pink economy.”

For comparison, consider Grindr. As the world’s other best-known gay dating app, Grindr was valued at $155 million earlier this year when it sought its most recent investment in China. Grindr has more than two million daily active users, according to a factsheet from June 2015. Blued has over three million.

The numbers bode well for Blued, which is preparing to shift its strategy in light of the good news. Last November, Geng Le said that Blued was aiming for a stock market flotation within five years. China Daily reports that the company now hopes to achieve it within the next one to two years, though the location of the listing is not yet known.

Tinder is looking to be more social – or at least hook you up along with your group of friends to connect with other friend groups out in the real world. The problem? Tinder users are being opted in to this feature by default, so you don't have a choice. Which means Tinder Social automatically displays which of your Facebook friends are also using Tinder.

This can make for some awkward conversation, especially for those who would rather keep their dating practices private.

To make matters more uncomfortable, Tinder Social presents a list of your friends along with their dating app profiles so you can not only see they are using the app, but how they are presenting themselves on Tinder. (Sexy photos, anyone?)

And worse yet, some Tinder users think Tinder Social is a way to meet others for group sex (and considering the whole hook-up reputation, it’s not that far of a stretch).

The new feature is only in the testing stages in certain parts of Australia, so chances are you haven’t encountered the feature just yet. This will give Tinder some time to refine it. The company will need to make some changes to reassure people about their privacy on the app. Over the years, it has stressed to users that their social networks would not be compromised, and that anything they do on the app wouldn’t be seen on Facebook or in their other social networks.

While there’s currently a way to opt out of the friend-finding feature, Tinder users are automatically opted in, so you actively have to disengage. A good fix would be to make it an opt-in feature only, so Tinder doesn’t risk alienating users who didn’t realize their profiles were being put on display among their social media friends.

Finding circles of friends seems to be a new wave in the dating app space, and an untapped market for an already attentive dating app population. CEO of Bumble Whitney Wolfe announced the company would be unveiling a similar group friend-finding feature on their app, and Grouper, a dating app that’s been around for a few years, offers group dates for people who don’t want the pressure of one-on-one dating. There’s also MeetUp, a networking site that has been around for a while to help people find friends in their communities through activities and other interests.

Many other apps are jumping on this new friend-finding bandwagon, hoping to capitalize on the social networking market. We’ll see if Tinder or another app can get people excited about the friend-finding potential of apps.

So you’re ready to take the plunge into the 21st century and try online dating. Before you join Match or download Tinder, you need to prepare yourself for what’s to come.

Online dating is a roller coaster of emotions. When it’s up, it’s amazing. When it’s down, it can be devastating. The best way to ride it successfully is to arm yourself against anything it can throw at you. Here’s what to expect when you sign up for a dating service:

#1 Anxiety.

Dating of any kind comes with its fair share of stress. Dating online when you’ve never done it before ups the anxiety factor significantly. You’ll fret over which pictures make you look good and represent who you are. You’ll agonize over every word in your profile. You’ll rewrite messages until you’ve done more drafts than a college student writing his thesis. Take a deep breath and remind yourself that every online dater has been there.

#2 Rejection.

It’s guaranteed to happen, especially if you’re a guy (sorry gentleman, it’s a hard truth of dating no matter how you do it). Rejection comes in many forms online and no one is immune. Many find it easy to say no to someone who’s just an anonymous profile. On the plus side, many also find it easier to handle rejection when it’s coming through a screen instead of face to face.

#3 Silence.

Your interest won’t always be returned, and not everyone will have the time or courtesy to tell you up-front. The casual approach many singles take to online dating means you will sometimes craft messages that go unanswered. One follow-up is fine if it’s someone you were really into, but anything more than that sends the wrong message.

#4 Flakiness.

Messages aren’t the only thing that might go mysteriously unanswered. Make plans to meet up with a match and when the big day arrives, they may suddenly cancel (or worse, just not show up). You’ll probably never know why they decided to flake, so don’t expect closure. Pick yourself up, dust yourself off, and start all over again.

#5 Ghosting.

The worst of all flaky dating behavior is ghosting. Ghosting is the hip, buzzy term for the silent treatment. When someone you’re dating ends the relationship by cutting off all communication, with no explanation whatsoever, you’ve been ghosted. It’s confusing, and potentially painful, and there’s nothing you can do about it except move on.

#6 Spam Bots & Scammers.

There are a lot of genuine people on online dating sites. Most of them are genuine people. But not all. The reality is that some profiles belong to scammers looking for their next victim or robots trying to take your money. It’s important to date smart and steer clear of cons.

#7 Fibbers.

Even the people who aren’t looking to empty your bank account or steal your identity aren’t always honest. Fortunately, it mainly falls into white lie territory - add an inch or two to the height, take a pound or five off the weight - but sometimes the stories get more elaborate. If the person who shows up for your date looks nothing like the person in the profile, take comfort in the knowledge that you’ll have a killer story for Reddit later.