Religion

Spark Networks Reports Third Quarter 2014 Financial Results

  • 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."

JDate Launches New iPhone App

  • Sunday, November 23 2014 @ 11:40 am
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JDate, a popular dating website for Jewish singles, has launched a new mobile app for its members.

In the past couple of years mobile apps have taken off among daters, especially with the popularity of free and easy-to-use dating apps like Tinder, so traditional dating sites have had to step up their mobile game. After all, most people have their phones with them at all times and are able to log in anytime, anywhere, as opposed to their desktops.

Desktop dating is almost a thing of the past. Since it’s much easier to access phone apps, mobile dating apps tend to be stickier for users – attracting people to check in when they are waiting in line or for a friend to meet them, or just bored. The more often people are logging in, the more attractive it is to other potential users, which is what online dating companies want.

Enter JDate’s new app, which they describe as “a robust, on-the-go experience.” The features however are pretty standard, compared to what is already available via mobile dating apps. The big difference is their loyal user base – singles looking for relationships with similarly religious people.

Some of the new features include a better snapshot of each potential match. For each profile, you can easily see information such as location, religious preference (orthodox, reform, etc.), how well matched you are (0-100%), and from the same screen, you can choose to look at profile details, chat, email, or flirt with your match.

Photo access has improved, too. From the app, you can scroll through hundreds of photos of your matches (a la Tinder), as well as upload your own either from your phone, Instagram or Facebook.

Subscribers have the ability to chat instantly with other members who are either currently browsing the app or on the site from a desktop, and can hold multiple chats at once. They also have the ability to see who has favorited them or viewed their profile, and to see who is nearby via the “Members of the Tribe” feature.

The app also includes JDate’s popular “Secret Admirer” game, where a member can anonymously show interest in another member.

Reviews on the iTunes store have been mixed. Many users are happy with the results compared to apps of other traditional dating sites like Match and eHarmony because of JDate's easy-to-navigate format, but they are frustrated by the search capabilities as well as how long it took the company to make a well-formatted app.

JDate currently has over 750,000 members worldwide. To find out more about this service you can read our JDate review.

'Mean Girls' Lacey Chabert Stars In 'Christian Mingle' Movie

  • Monday, September 22 2014 @ 06:49 am
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We live in a crazy world. And at the moment, nothing is greater proof of that and the fact that there is a Christian Mingle movie.

Yes, that Christian Mingle. The dating website that promises devout singles it will "find God's match for you." Someone in Hollywood apparently thought that sounded like a rip-roaring good time of a rom-com, and here we are, wondering what led us to this strange and confusing place.

Oh yeah, and did I mention that the lead role is played by Lacey Chabert, most notable for her turn as the ditzy Gretchen Wieners in Mean Girls? It just gets better and better.

Allegedly there is also a plot. It follows Chabert’s character, a 30-something marketing executive named Gwyneth Hayden, whose life is perfect except for one thing: it's missing a man. In a moment of desperation, she joins the Christian Mingle dating site in hopes of changing her fortunes – even though she is not a Christian. Here’s a synopsis of the rest of the film:

Online Dating Company Spark Networks Is For Sale

  • Wednesday, July 16 2014 @ 07:07 am
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Online dating is about to get a major shakeup. And when I say major, I really mean major. Spark Networks, which owns popular dating sites like JDate and Christian Mingle, has put itself up for sale and has at least one prospective suitor.

The big news comes on the heels of the company unexpectedly postponing its annual shareholder meeting in June, two days before it was scheduled. The move allowed Spark Networks to put its focus on the potential deal and to sidestep a board battle with its largest shareholder, Osmium. Things have been tense lately with Osmium, a San Francisco hedge fund that has been pushing for board seats over concerns that Spark has been neglecting to allocate sufficient funds for JDate while over-spending on Christian Mingle.

Spark has spent $120 million in direct marketing on Christian Mingle since 2011, which has helped grow Christian Mingle’s subscribers by almost 700 percent since 2010. Revenue is also up, from $45 million in 2008 to $70 million in 2013, but along with those efforts came dramatically increased costs as a percentage of revenue.

Meanwhile JDate, the most famous and lucrative site in the Spark Networks arsenal, looks to be going through a rough patch. According to Osmium, the Jewish dating site posted revenue of $6.1 million in the first quarter – its lowest level since 2006. Jewish subscribers have also declined to  2006 levels.

All of this is coming at the same time as big-time changes for the Spark Networks board. When the delayed annual shareholder meeting finally took place, four of the company’s six sitting directors were nixed, including Chairman and CEO Greg Liberman. The shareholders instead picked four directors nominated by – surprise! – Osmium. One of the two Spark directors who was re-elected, Thomas Stockham, resigned not long afterwards.

“The new board is eager to work alongside Spark employees with a renewed sense of urgency, accountability and focus, in order to drive increased shareholder value,” said Osmium’s founder and new Spark director John Lewis to the New York Post.

As for what’s happening with the sale of Spark Networks, everyone involved is remaining tight-lipped for now. The name of the prospective buyer has yet to be revealed, but the New York Post notes that “the world of online dating companies is small and currently dominated by Barry Diller’s IAC, which owns popular dating sites Match.com, OKCupid and Tinder.”

JDate’s CEO On What Makes The Site A Success And What The Future Has In Store

  • Wednesday, March 12 2014 @ 07:03 am
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If anyone knows how to crack the code of online dating it’s Greg Liberman. Liberman has been president and CEO of Spark Networks since 2004, giving him more insight into the industry than almost anyone else in the biz. He spoke with The Forward in early February about the tremendous success of JDate, the Internet’s most popular Jewish dating service.

Liberman chalks the company’s success up to one simple thing: “this company was built out of a need.” And not just any need – one specific person's need. One of the founders had recently been divorced and was looking to expand his social circle of single Jewish women. Out of that quest, JDate grew organically.

Once the site had gotten its start, it set itself apart from the competition by creating a strong culturally focused community. “Religion is obviously at the core,” says Liberman, “but the majority of the members are Conservative and Reform and interested in a more culturally based identity.” The site provided a meeting place for Jewish singles who wanted to continue the traditions they were raised with, but weren't interested in a heavy emphasis on faith.

When asked how things have changed over the course of JDate’s history, Liberman nominates mobile dating as the decade’s biggest innovation. Mobile is becoming an increasingly important part of our lives, and that includes our love lives. “We saw in 2013 a 114% increase in log-ins via mobile,” Liberman says of JDate. “People are connected all the time, and for us it’s really important. I mean, it’s a huge opportunity for us to continue to drive our mission.”

Mobile isn’t the only change in store for JDate. The site announced the launch of a new marketing campaign on Valentine’s Day 2014 that further stresses the “J” half of its name. The rebranding initiative – JDate’s first – is called “Get Chosen.” Liberman hopes that it will help strengthen the Jewish community and ensure that Jewish traditions are passed on for generations to come. He calls it a “fun, living, breathing campaign” designed to “remind Jewish singles of the cultural ties, not just the religious ones, that make dating, and ultimately marrying, someone else who is Jewish so special.”

The multi-platform campaign will begin immediately across various channels, including print, digital and social. In addition to adding the tagline “Get Chosen” to the logo, JDate revealed a new homepage design for the website. The company also plans to run digital billboards in New York’s Times Square and a street sign campaign throughout Chicago. Other creative elements, including television and web videos to support the “Get Chosen” theme, will roll out later this year.

Could a Religious Dating Site be for You?

  • Tuesday, February 04 2014 @ 09:02 pm
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There are so many options when it comes to dating and meeting new people. There are hundreds of online dating sites, and even more mobile apps launching every month. Some traditional sites like Match.com and OkCupid cater to a wide range of relationship-seekers, and some are geared mostly towards hook-ups like Tinder. Niche dating sites are also on the rise, and the ones gaining the biggest followings are religious sites.

JDate and Christian Mingle are two of the most popular sites for those looking to meet singles outside of their own networks. JDate provides a way for Jewish people to meet others who share the same beliefs, customs and culture, and depending on preferences, potential dates can be "not observant" to "conservative" or "orthodox." Christian Mingle is likewise for those singles who identify as Christians, with many levels of observance.

While some daters might shy away from meeting people on a larger website like Match.com, or are afraid that online daters won't share the same values that they have, religious sites provide a great alternative. While it's true that many people joining online dating sites aren't looking for long-term relationships, those who join religious sites are generally more interested in marriage and commitment than the average online dater. It's a good opportunity for those who are serious about their search.

But how do you know if a religious site is for you, especially if you don't regularly attend church or temple? And how do you go about explaining your religious beliefs to someone who might not be on the same page as you?

As religious sites become more popular (about five million people have joined Christian Mingle in only the last five years), there are varying degrees of religious practices and beliefs. Many singles get something from religious dating sites that they can't get from other online dating sites - like deeply-held values when it comes to dating and forming relationships. Some singles who sign up for JDate might not be practicing Jews, but they do want to form a relationship with someone who shares the same cultural background and who want to raise kids in the same way. Similarly, Christian Mingle has members who might not attend church on a regular basis but consider their relationship with God an important part of their lives and want to meet those who feel the same.

Religious beliefs vary from person to person - it's unlikely you'll find someone who feels the same way you do on every issue. But if religion and spirituality are an important part of your life it's good to pursue others who feel the same way. When you join a religious dating site, you're meeting other people who share your values, which is a very important part of forming a strong, lasting relationship.

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