General News

Zoosk Abandons Plans For IPO Amidst Leadership Shifts

General News
  • Tuesday, December 23 2014 @ 09:44 am
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Back in May, things were looking good for Zoosk. The company had just filed its S-1 registration statement with the SEC and announced plans to raise $100 million in an initial public offering. The website had reached 26 million members across 80 countries, including 650,000 paying subscribers. Revenue was up 63% from 2012 to 2013, rising from $109.1 million to $178.2 million, and net loss had decreased drastically.

These days, the story is a little different for Zoosk. The company just announced major changes in leadership. CFO Kelly Steckelberg will be taking over as CEO. She is replacing co-founder Shayan Zadeh, who will become a member of the board. Zadeh will be joined on the board by co-founder Alex Mehr, who is currently president.

Along with the leadership shuffle, Zoosk is reconsidering its IPO. “Since the time we filed, the market condition around comparables that would be used to help value our company, like Angie’s List and Care.com, have not performed well,” Steckelberg told TechCrunch. “While the overall market might seem receptive to a public offering, subscription businesses have suffered.”

Zadeh agrees, saying that consumer subscription business are not currently fairing well in the market, forcing Zoosk to table it's plans for an IPO until a later date. He, Mehr and Steckelberg are adamant that the leadership changes have no bearing on Zoosk's decision and are merely coincidental.

Still, however, there is plenty riding on them. TechCrunch notes that Steckelberg is a logical replacement for Zadeh, because “She has experience building internet subscription businesses serving as controller and chief accounting officer at WebEx, joining Cisco as part of an acquisition and later serving as divisional CFO in Cisco’s WebEx consumer segment.” She has also held positions of power with Epiphany and PeopleSoft.

At a time when online dating, especially in the ever-evolving mobile sphere, is hotter than ever, Zoosk's changes stand to have a huge impact. Mehr explains that “Since day one of the company, we’ve been making product decisions over long periods of time. It created more of a top-down approach to design, where people were focused on decisions that Shayan and I were making. Kelly’s approach is more collaborative. She wants to listen to many more voices in the company when it comes to product decisions.”

Can that new collaborative approach keep Zoosk alive – and profitable – in the years to come? Steckelberg is confident. “Zoosk will be in a situation when cash-flow and current cash balance are going to be enough to carry this company forward,” she assures.

Hinge ups its Game, Scoring $12 million and Making Time’s Top 10 Apps of 2014

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  • Thursday, December 18 2014 @ 06:23 am
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Tinder who? Dating app Hinge has been on a slow climb uphill, but is gathering a lot of momentum as it goes. The app has broadened its reach beyond the initial major cities, which helped build not only its user base but also its brand as a serious competitor to Tinder.

This month, the app also made Time Magazine’s “Top 10 apps of 2014,” beating out the sensationally popular Kim Kardashian Hollywood despite the fact it made $100 million this year alone. (Tinder did not make the list.) Time took a dig at Tinder, noting: “Hinge sparked a flame in 2014 as it spread to more and more cities around the U.S…[Its] matchmaking connects to your Facebook account to foster friend-of-a-friend connections, a novel concept in a sea of dating apps that prioritize immediate, nearby and mostly anonymous relationships.”

Now Hinge is launching version 3.2, and due to audience demand is starting to change some of its policies, allowing for greater access to matches. Instead of providing potential matches once a day at noon, you can now view them at your convenience throughout the day. (I’m guessing this is to get people to log in more than once a day as opposed to creating a daily traffic jam.)

Hinge is also offering more matches per day. Unlike Tinder which provides an endless array of matches whenever you log in, Hinge is more particular, mostly because it has a more limited network to pull from – namely, your Facebook social circles. In order for Hinge to match you, you have to have a Facebook friend in common. (This probably encourages users to add more Facebook friends to their network, too.)

The app began in Washington D.C. and made its way to major cities including New York, San Francisco and Los Angeles. Hinge has further expanded its territories in recent months – adding St. Paul and Minneapolis, Omaha, Indianapolis, St. Louis, Miami, Tampa, Orlando, Denver, Seattle, Houston and Austin.

According to a recent article in Wired, the company has experienced 500% growth since January. While it isn’t doing Tinder’s numbers in terms of downloads and number of matches per day, the company feels its more measured growth is a better indication of its potential for long-term success.

What is in store for Hinge in 2015? On December 11th, the company announced that it raised an additional $12 million, which will help its expansion into even more cities, including its first launch into international territory in February, when it debuts in London.

Hinge is definitely a dating app to follow. For more details on this dating app you can read our Hinge review.

New app TrueView goes head-to-head with Tinder

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  • Monday, December 15 2014 @ 06:22 am
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  • Views: 2,760

Tinder only launched in 2012, but already new apps are trying to make its popular “hot-or-not” visually-based format a thing of the past. TrueView, a new location-based dating app wants its users to take dating a little more seriously.

TrueView is based out of London, and its founders advocate a switch from Tinder to improve not only your dating experience, but your odds of matching with someone at all. As many people as there are logging on to Tinder regularly, TrueView points out there are 998 million rejections daily.

The app works more like a social media platform than a traditional dating app. Similar to an app like Zoosk, TrueView logs a person’s actual behavior while using the app so users have a better, “truer” view of who they really are. Users are encouraged to share things they love to do (while they are doing it), discovering people who have similar interests. The app has a “stuff to do” section which lists events, clubs, restaurants, sports and concerts in your local city. The “news” section keeps you up to date on the things most important to you, and prompts more discussions.

The idea behind TrueView is that you can have a more organic conversation online first to see if you’re interested in someone before you meet him/her – as opposed to just swiping through photos.

True View was inspired by Andrew Ibbotson, one of the founders whose real-life online dating experience left him frustrated. He was tired of the hook-up scene and a lot of matches that led to nothing, spending more time and money for very little return. He wanted to create a better experience for himself, so he teamed up with friends Matt Verity and Damian Mitchell. They came up with the idea of a service that uses what they call "real-time micro-blogging" to make two people meeting feel more organic – and True View was born.

Tinder is still the app to beat, despite all the recent apps who are trying to outdo it, like TrueView. But it seems there is room for a new player, since even the celebrities who made it popular are now starting to turn against it. As actor Sam Smith said: "No offence to people who go on Tinder, but I just feel like it's ruining romance...why would I swipe people who are 'unattractive' when I could potentially fall in love with them?" 

TrueView is betting the people who become disillusioned with Tinder will look to the app for a new experience. While this may be true, it has hit some bumps along the way. According to a dozen reviews in the Google Play store, people are encountering some bugs with the technology, but they have had a few thousand installs so far.

TrueView is available on both iTunes and Google Play. Currently, the app isn’t available yet in the U.S.

Map Shows Your State’s Favorite Word To Use In Online Dating

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  • Friday, December 12 2014 @ 06:21 am
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United States Map

How much do people in Indiana love auto racing? So much that NASCAR is the most frequently used word in online dating profiles from the state.

Mashable recently teamed up with Match.com to analyze thousands of US-based online dating profiles and discover how daters differ from state to state. Anyone who ventures into the untamed wilds of online dating quickly discovers the same words and phrases appear over and over again. Surprise: it turns out that pretty much everyone likes all music except country. Yawn.

Tired of feeling like all online dating profiles are the same, Mashable and Match broke down which words are used with relative frequency in certain states, compared to relative frequency in the rest of the country. If you're in the mood for making the most cliché online dating profile possible, find your location on this map and see what daters in your state are most obsessed with.

Here are a few highlights:

  • California: desert
  • New York: museum
  • Texas: oil
  • Florida: Disney
  • Alaska: cabin
  • Georgia: grilling
  • Hawaii: surf
  • Nevada: casino (duh)

Match and Mashable aren't the only ones who recently delved into state-by-state dating. The dating app Lulu (think Yelp, but for ranking and reviewing men) did some research to find out who the most popular man in each state is. Female Lulu users can anonymously rate men they know on everything from looks, to ambition, to relationships. to, yes, sex. Lulu also recently introduced anonymous messages and questions called "Truth Bombs.”

As you can probably imagine, the app was controversial when it first launched, but Lulu has since cleaned up its image and allowed men to sign up for the service. They can’t rate women, but they can promote their profiles.

The men in this experiment (all Lulu users themselves) were rated on a scale of 1-10 by women who know them. Business Insider reports: “While there are no perfect scores in the US, a man in Texas and a man in Illinois men both received a 9.7 score. Their friends used the following hashtags to describe them: ‘#DoesDishes,’ ‘#RemembersBirthdays,’ and ‘#OneOfTheGoodOnes.’”

All descriptions in Lulu are hashtags, because longer free-form answers could earn the writer an accusation of libel. Some of the top hashtags include #OpensDoors, #CaptainFun, #MakesMeLaugh, #RespectsWomen, #AlwaysHappy, #CanTalkToMyDad, #NerdyButILikeIt, and the simple but effective #NotADick.

For a full list of the winning men, see the original post on Business Insider. For more on one of the dating services that conducted the study please read our review of Match.com.

Tinder has Helped Grow eHarmony’s User Base

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  • Monday, December 08 2014 @ 06:12 am
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  • Views: 2,258

Dating apps like Tinder have taken the dating world by storm – and some argue have rendered traditional online dating a thing of the past. While sites like Match.com and eHarmony offer matches based on preferences and compatibility, Tinder offers the ability to look at a photo and instantly decide whether or not you’re interested.

In a recent article in Business Insider, eHarmony’s Vice President of Brand Marketing Grant Langston looked at Tinder’s success as a boost to his business. For instance, he’s seen a surge of new subscriptions since Tinder launched in Australia – 2.5 million members, up from 2 million the same time last year.

“The press [Tinder is] receiving is bringing lots of people to the online dating world, including people that find Tinder isn’t the right choice for them,” Langston told Business Insider. “Globally, this trend has helped us tap into new markets and led to an increase in our membership numbers.”

But why are more people choosing eHarmony when Tinder seems to be taking off? For one thing, Langston argues that people who would have never joined an online dating site before find it a little easier to start when they use a dating app. It’s made online dating in general lose its stigma.

Langston also attributes the surge in subscriptions to the high quality matchmaking that is eHarmony’s business model, compared to Tinder’s superficial match-making process. With Tinder, choosing a match is entirely dependent on photos and a couple of sentences, which aren’t much better odds for finding love than meeting someone at a bar. There isn’t necessarily any kind of compatibility – aside from that initial physical attraction.

People who are matched on eHarmony however, are compatible in specific ways. Matches aren’t made via liking the same music or TV shows or someone’s photo, but based on similar dispositions and compatible personalities – which is a bit more complex and relational. Langston says that eHarmony’s matching creates a foundation for a relationship to start, where Tinder is more fleeting, intended for a hook-up. So when people are disappointed with the matches they are meeting through Tinder, they look to other more serious online dating options, which is when they gravitate to eHarmony.

Langston also noted that eHarmony’s growth in the past year has been due to young professionals ages 23-33 flocking to the site, looking for people who are more compatible whether or not they are looking to marry.

According to Langston, eHarmony owes much of its recent success to the fact that Tinder isn’t producing many serious relationships. Then again, it seems that despite the appeal of Tinder, people are looking for something deeper.

Former Tinder Co-Founder Launches Bumble, a 'Women-Friendly Tinder' App

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  • Friday, December 05 2014 @ 06:30 am
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  • Views: 3,117
Bumble Dating App

Earlier this year, Tinder co-founder Whitney Wolfe left the company after raising a lawsuit against her colleagues over allegations of sexual harassment and discrimination. In case you need a refresher, Wolfe alleged that she was sent inappropriate messages by one of Tinder's male co-founders, who pursued a romantic relationship with Wolfe and then publicly shamed her. She also says she was stripped of her co-founder title over fears that her age and gender would damage the company's perceived valuation.

Heavy stuff, but it looks like Wolfe might soon get her revenge. TechCrunch reported that she's teamed up with Tinder alumni Chris Gulczynski and Sarah Mick to create a similarly swipe-based dating app they've dubbed Bumble. According to its Facebook page, Bumble is “an exciting, new place to meet people” and “everything you've always wanted from a social discovery app with none of the things you don't.”

Ok, sounds good so far. So how does it actually work?

According to TechCrunch, the app looks (unsurprisingly) much like Tinder. The famous swipe interface is in play, as is the basic large photo/snippet of personal info structure. A key difference is that Bumble appears to use more detailed information than Tinder – including job position, company, college, and graduation year – supporting the idea that it is intended for more serous daters.

Bumble explains its process like this:

  • Two people like each other and it's a connection
  • The girl has to make the first move by starting a chat within 24 hours
  • If she doesn't chat, the connection disappears forever
  • But... guys can extend ONE match per day for an extra 24 hours

A 24-hour rule seems a little harsh, but otherwise the idea is interesting. Will flipping the traditional dating dynamic on its head actually work, or will Bumble end up being a service where almost everyone is silent?

Bumble's behind-the-scenes structure also raises some interesting points. Competing with Tinder is no easy feat, but if anyone stands a chance, isn't it a Tinder founder and former employees? They have experience and insider knowledge that no one else has, plus enough public visibility to spread awareness quickly.

Really quickly, as it turns out. A source told TechCrunch that Bumble has already raised millions of dollars from a number of different sources, including social dating service Badoo and a multi-millionaire heir to an oil fortune. Bumble claims the app will be launching any day now, so we should find out soon enough whether that's enough to take on Tinder.

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