Tinder has Helped Grow eHarmony’s User Base

eHarmony
  • Monday, December 08 2014 @ 06:12 am
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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.

4 Holiday Dating Myths to Finally Let Go Of

Christmas
  • Saturday, December 06 2014 @ 03:09 pm
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The holiday season creates stress in even the most peaceful and together people among us. Not only do we put pressure on ourselves to find the perfect gifts and cook the perfect meals for friends and family – when we’re single, we also place unrealistic expectations on ourselves for where we should really be in our lives.

Instead of getting down on yourself about not being in a relationship or being a certain age and unattached – remember that the holiday season is actually a time for us to pause and remember what we DO have in our lives, rather than what we are lacking.

Following are 4 holiday dating myths we need to let go of:

I need to make excuses for why I’m single.

Despite Aunt Dora’s attempts to question your life choices or find out why exactly you’re still single, you do have control over the information you share. It’s nobody’s business who you are or aren’t dating unless you tell them. And there’s no shame in being single. Most people who question your status are insecure about being alone themselves, and are projecting their fears on to you. Don’t let them. Embrace the freedom you have, and let them see that you enjoy your life – with or without a partner.

The holidays measure the seriousness of your new relationship.

Have you just started dating? Are you worried about the etiquette of inviting him to your office holiday party, or if he’s going to invite you over for dinner with his family? Stop putting the pressure on yourself and your new relationship, and don’t use this time of year as a barometer to test your relationship. If you don’t feel comfortable meeting family or introducing him to your co-workers, let your date know that you want to take your time. There’s no rush just because it’s the holiday season. Go at your own pace, and allow yourselves time to get to know each other first.

I can’t buy a gift for someone I just started dating.

Gifts aren’t meant to be indications of how serious you are or how much you are willing to spend on your romantic interest – they are gestures. A thoughtful gesture can include a small gift like a cookbook of her favorite food or something you can do together – such as tickets to ice skate or check out a new art gallery. If you feel uncomfortable exchanging gifts, then let her know. Honesty is the best policy, so you don’t feel awkward if she gives you a gift.

The holidays are the worst time to be single.

Sometimes it can be hard when you visit well-meaning friends and relatives who ask about your single status, or when you go to office holiday parties alone. But the holidays are actually a great time to be single. There are so many gatherings where you’ll be meeting new people (no Tinder necessary), and you should accept as many invitations as you can. You never know when a friend could introduce you to someone you may just hit it off with, so it’s really okay to be single and put yourself out there.

Happy holidays!

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

Reviews
  • Friday, December 05 2014 @ 06:30 am
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  • Views: 3,085
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.

Snap Interactive Reports Q3 2014 Financial Results

Are You Interested (AYI)
  • Thursday, December 04 2014 @ 06:45 am
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Q3 2014 financial results are in for Snap Interactive, owner and operator of AYI.com, and things are looking rosy. How rosy? Positive operating cash flow, higher revenues, and reduced net loss rosy.

Snap Interactive reports the following highlights in a press release:

  • Positive operating cash flow of $0.4 million
  • Third quarter revenues increased by 16.5%
  • Bookings increased by 16.7% over the comparable 2013 period (a fourth consecutive quarter of revenue growth)
  • Positive Adjusted EBITDA of approximately $155,000, an improvement of approximately $1.2 million year over year and $93,000 sequentially
  • Net loss of $218,000, an improvement of $1.5 million year over year and $42,000 sequentially
  • Increased active subscriber count by 30% in the first nine months of 2014
  • New subscription transactions increased approximately 34% in the nine month period, compared to the same period in 2013
  • Commenced development of a new mobile-only app for iOS

Snap's Chief Executive Officer, Clifford Lerner, commented, "We are delighted to have successfully achieved the target we announced to the market in January 2014, that Snap would deliver positive cash flow in the quarter ended September 30, 2014. The $377 thousand of cash generated from operations for the quarter ended September 30, 2014 contributed to an increase in cash of approximately 67% during the quarter ended September 30, 2014. The business growth and discipline that got us here has also delivered two consecutive quarters of positive Adjusted EBITDA."

Snap's Chief Operating Officer, Alex Harrington, adds, "Snap also invested significantly in future growth in the most recent quarter. Though the Company expects future gains in AYI subscription revenue, the vision for Snap includes growing from a single application to a portfolio of applications. The Company undertook several initiatives to position itself to scale the business across multiple dimensions."

Those initiatives include launching optional premium add-on features, diversifying the company's marketing sources to expand its reach, increasing the prominence of the company's native mobile apps to consumers, and beginning development on a mobile-only iOS dating app that targets younger users.

Lerner concluded, "We are excited to hit our financial objectives and deliver on our promises to the market. We have an exciting roadmap ahead of us for AYI, with the goal of improving retention and revenue generation. And with the prospect of new application releases, the future is bright for Snap."

Clover App Offers Dating on Demand Feature

Clover
  • Wednesday, December 03 2014 @ 06:29 am
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Clover Dating App

Every new dating app on the market is trying to compete with Tinder’s soaring popularity. The only problem is, not many differentiate themselves enough to do it effectively. Most of the new apps have the same basic concept – swiping through photos of people nearby, seeing who you might want to message. Clover wants to do things a bit differently in the latest version of its dating app.

Clover launched back in April 2014 with little fanfare, but recently they have debuted a new feature to try and distinguish themselves from the Tinder-like apps. While many people enjoy “Tinder-ing, ” there is still a gap between what people expect from an online dating site or app and what they actually get – leading to much disappointment. Fortunately, this problem might persuade daters to try new apps – hoping to find the right formula for dating success.

Part of the problem Clover execs noticed with Tinder is that people weren’t actually meeting up in real life – they were just scrolling and messaging. So they decided to make Clover focused on getting to the actual date - but with simplicity and ease like Tinder, rather than complicated matching algorithms and a long communication process like traditional dating sites.

Instead of encouraging people to just scroll through photos, Clover’s newest version includes an “on-demand” feature that allows you to meet matches IRL (in real life) more quickly. It works like this: you pick a date and time in the calendar and where you want to meet (your favorite bar, restaurant, etc.), and the app suggests a potential prospect to join you. You then decide if you’d like to spend your time with him/her. If you do, the date is confirmed and all you have to do is show up on time.

“Our new on-demand service will find people that actually want to meet you and you’ll be able to find a date as easy as it is to order a pizza or a cab,” says Clover CEO Isaac Raichyk.

Raichyk argues that it is difficult to actually go on a date using other apps or even dating sites like OkCupid. Just because people are matched doesn’t mean that they will make the effort to meet. So why not do it more organically by confirming a date and time to see if there’s chemistry between you in person rather than waste more time texting back and forth for nothing.

While this sounds really good in theory, the app will have to prove itself in practice. The premium service is free for users to download and test for a week, but after that, it will cost you $9.99 per month - a hefty fee compared to most apps, but cheaper than online dating subscriptions and personal matchmakers. There are also certain pay-to-play features like a $.99 charge to change your name/ handle. The new on-demand feature however will be included in the free version.

Spark Networks Reports Third Quarter 2014 Financial Results

Finances
  • Tuesday, December 02 2014 @ 06:25 am
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Spark Networks, owner of many special-interest online personals sites including ChristianMingle.com, JDate.com, and BlackSingles.com, has reported financial results for the third quarter ending on September 30, 2014.

It was a time of major transitions for the company. The majority of the Board was removed in July. The new Board was primarily focused on right-sizing the corporate cost structure and improving marketing efficiency, two goals which were, according to Executive Chairman Michael McConnell, largely accomplished. “Improved marketing efficiency at ChristianMingle drove subscriber acquisition costs ('SAC') in September that were less than subscriber lifetime value ('LTV') for the first time since January 2012,” he reports.

On the numbers front, Spark Networks presents the following highlights:

  • Contribution of $9.0 million, highest since Q1 2009
  • Adjusted EBITDA of $2.5 million, highest since Q1 2010
  • Average paying subscribers of 257,679, a sequential decline of 6%
  • Revenue of $15.0 million, a decrease of 14% compared to the year-ago period and a 5% decrease compared to the prior quarter

As you can see, it's a mixed bag. The drop in revenue was primarily driven by a 14% decrease in average paying subscribers, reflecting a year-over-year 15% and 9% decline in average paying subscribers for the Christian and Jewish Networks segments, respectively.

On the up side, direct marketing expenses in the third quarter of 2014 were down 52% compared to the year-ago period and 24% compared to the prior quarter. Contribution in the third quarter of 2014 was $9.0 million, an increase of 90% compared to the year-ago period and a 14% increase compared to the prior quarter. In both cases, Christian Networks was the primary driver (improved marketing efficiency and a better mix within the paying subscriber base, to be more specific).

Looking forward, McConnell says the company's primary objective is to improve product functions and features across all platforms. A JDate iPhone app was recently approved and a ChristianMingle app should be on its way soon. Spark Networks is also looking to leverage its presence in Israel and outsource some other development activities in order to speed up product development.

"In summary,” says McConnell, “much has been accomplished in the last several months, but much work remains. The team has embraced our future with a sense of urgency and focus. We look forward to driving changes that create a terrific experience for our customers and support the core communities we serve."

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