Industry

Jiayuan now allows users to livestream.

In technology-forward China, single people are looking to new ways of connecting with each other via dating apps beyond the traditional swipe. Now, online dating companies in China are experimenting with livestream, and soon U.S. companies could follow.

Gizmodo reported on the trend of Chinese dating apps integrating livestream features into their platforms. Jiayuan, China’s largest dating app, launched its new livestream feature this past January with an interesting twist. Instead of two users opting to chat with each other over the app in private (like with Facetime), a user can set up a chat topic and see if someone wants to join. Once one person accepts and the two start a chat, it becomes a broadcast where other users can watch and comment.

Match Group announced some changes in key leadership and company structure in light of its new focus on the Asian market.

As U.S. and European markets make up the bulk of revenue for Match Group, the company sees great untapped potential in Asian markets, where young single populations are booming. According to Tech Crunch, there are more than 400 million singles in Southeast Asia and two-thirds have not tried a dating app.

Match Group is focusing on Japan, Taiwan, India, South Korea and Southeast Asia with three new general managers hired to oversee expansion in these areas. One manager is Junya Ishibashi, who will become general manager of Match Group for Japan and Taiwan. Taru Kapoor will be general manager of Match Group India, and Lyla Seo is now GM of Match Group for South Korea and Southeast Asia.

With the launch of Match.com in 1995, the search for a partner was irrevocably changed. Technology, business and society have radically transformed the ways we meet, communicate, date, fall in love, get married and break up. The dating industry has experienced tremendous growth as an increasing number of consumers use the internet to seek love and the social stigma for doing so disappears. There are now around 2,000 dating services in North America and an estimated 8,000 around the world.

According to the market research firm IBISWorld, the dating sector grew by 11.9 percent over a five-year period to reach revenue of $3 billion in 2018. In the same timeframe, the number of businesses has grown by 1.0 percent and the number of employees has grown by 5.6 percent. Mobile dating applications now account for nearly a quarter of industry revenue, and their growth has rapidly outpaced that of other dating services.

Match Group - parent to Match.com, Tinder, OkCupid and others - remains a dominant force in the industry. The company brought in $1.7 billion in revenue in 2018. Tinder contributed nearly half of that ($805 million) thanks to the incredible success of its premium subscriptions. As of January 2018, Statista listed Tinder as the most popular dating service for US singles in the coveted 18-29 age range. Plenty of Fish (also owned by Match Group), Match.com, and OkCupid followed.

The dating industry remains a firm favorite for entrepreneurs who dream of founding the next breakout startup. But for many big-time investors, new dating platforms are risky ventures in a crowded market that may not be worth betting on. In honor of Valentine’s Day, Crunchbase News took a look at the relationship between startups, investors and the pursuit of finding a mate. Their status? It’s complicated.

Online dating has proved it can be an enormously profitable industry, yet despite producing impressive numbers, it often struggles to lure venture funding. “In 2018,” writes Joanna Glasner, “venture investors put $127 million globally into 27 startups categorized by Crunchbase as dating-focused. While that’s not chump change, it’s certainly tiny compared to the more than $300 billion in global venture investment across all sectors last year.”

Global venture investment in dating startups currently leans heavily toward companies based in China. Blued, a China-based dating app for gay men, received nearly 80 percent of dating-related capital in 2018. In 2017, Chinese mobile dating app Tantan received the bulk of dating investment. In 2014, Beijing-based matchmaking site Baihe raised a staggering $250 million.

Users of the popular dating app Coffee Meets Bagel woke up to a surprise on Valentine’s Day. Instead of looking at matches, they were greeted with a notice from the company saying some of their personal data had been hacked.

According to a report from CNN, the data breach occurred a few days before on February 11, but CMB executives were trying to assess the situation and the extent of the damage. In their notice, the company stated that an “unauthorized party gained access to a partial list of user details.”

Their email goes on to say: “The affected information only includes your name and email address prior to May 2018. As a reminder, we never store any financial information or passwords.”

Match Group announced that it has fully acquired dating app Hinge, owning 100 percent of the company along with other high-profile brands like Tinder and OkCupid. This news comes on the heels of Match Group’s announcement that it exceeded revenue expectations in the last quarter of 2018, causing its stock to rise.

Previously, Match Group stock had been downgraded from hold to buy by Deutsch Bank analysts. But with the earnings report, its stock climbed more than 5 percent.

Part of the appeal of Match Group to investors is that it has acquired a host of popular dating apps, including Hinge. The app has been through a rebrand over the last year, focusing on attracting more serious daters.