Types (Niche)

The business of online dating continues to grow, as more apps enter the market and compete for funding from investors ready to cash in on the next Tinder. The latest financial news in the industry involves popular gay dating app Grindr, who just announced that Chinese online gaming titan Beijing Kunlun Tech has taken a “majority investment” in their app.

According to The New York Times, Beijing Kunlun’s stake in the company will be about 60%, with the remainder to be owned by Grindr employees and Joel Simkhai, the company's founder. The valuation of Grindr seems to be about $155 million according to the same article, although the actual amount invested was not disclosed.

Interestingly, Grindr had not raised capital from outside investors prior to their deal with Beijing Kunlun. The company was started and funded by Simkhai himself, who began with only a few thousand dollars. He grew the company and the brand: according to PC Magazine, the average user spends up to 54 minutes a day on the app – a figure that exceeds Facebook’s 42 minutes and Instagram’s 21 minutes.

According to leaked documents back in August, Grindr predicted pulling in about $38 million for 2015.

According to Financial Review, Carter McJunkin, chief operating officer of Grindr said in an interview: "We have users in every country in the world, but in order to get to the next phase of our business and grow faster, we needed a partner," McJunkin added that the relationship made sense for Grindr because of Beijing Kunlun's digital expertise, and because the company agreed to let Grindr's founders continue its operating structure and retain its current team.

Beijing Kulun saw Grindr as a good opportunity to expand beyond its core gaming focus, into more of an overall “lifestyle” brand. 

It’s interesting to note that Beijing Kunlun’s choice to purchase stake in a gay dating app seems incongruous, since homosexuality is still a taboo subject in China, and many gay people face widespread discrimination. It is not clear if Grindr intends to expand its business into the Chinese market, but there would be social stigma to overcome.

Beijing Kulun might see Grindr as a sound investment above all, despite its target market. Or perhaps they are paving the way for other Chinese investors to expand and reach out to invest in more diverse, successful brands outside of China. "We have been very impressed by Grindr's progress to date and are extremely excited about the future of the company," Yahui Zhou, chairman of Kunlun, said in a statement. "We will continue to seek out and invest in high-quality technology companies led by top-tier management across the globe.” For more information on this gay dating app you can check our our Grindr Topic.

Online daters – especially women – often complain about unwanted and lude messages they get from potential matches on dating apps. Some guys are so aggressive with initial contact that they send intimate photos of themselves - the so-called “d*ck pic” - which is offensive to many women, if not even a bit scary. But there is little control dating apps have over messages between two people who swiped right and started communicating, which is why many find it such a frustrating experience.

Dating app The Grade aims to change that. Back in October, they launched the controversial “Peer Review” feature on their dating app, essentially letting other users provide direct feedback for online and offline experiences with other singles on the app.  This move was met with skepticism, with some wondering if angry and jilted matches might lash out and tarnish the reputation of someone else on the site, simply because there was no third party witness. Essentially, users could say whatever they wanted about a date.

The Grade surveyed its users to see how they actually felt about the new feature, and according to the company’s findings, 71% of people believe that Peer Review helps weed out the creeps.

Case in point: the majority of The Grade’s female users believe Peer Review provides a safer and better-informed dating experience. And according to a statement released from the company… it finally eliminates the "d*ck pics." Of the 11% of men who admitted to sending an unsolicited photo of their private parts, 90% reported that they would stop if they knew a match could review them.

Could this lead to better dating behavior – knowing that other people are watching and reviewing you?

It seems likely. The Peer Review feature provides feedback from other singles, mainly to help inform users’ decisions to swipe right or left. In fact, The Grade reports that 78% of singles are more likely to “like” (or swipe right) someone with a good Peer Review grade, while 88% are less likely to “like” someone with a bad Peer Review grade.

Ninety-five percent of The Grade’s users are pro-Peer Review, and 85% of the 15,000 peer reviews submitted so far have been positive. Results show that the most common reason a user would give someone a negative review is if that person was already in an existing relationship or lied about their profile details.

Despite the controversy, The Grade might be on to something – accountability for behavior in online dating. That is something most of us can get behind.

Tired of swiping endlessly? If you’re looking for forward movement in your dating life, then the New Year is a good time to check your habits when it comes to online dating, and see where you can change things up a bit. There’s nothing like ringing in the New Year with a new attitude towards love!

Let’s start with perceptions. Most people think that dating apps are easy tools for hooking up, but not much else. While they are convenient, many people using dating apps are also looking for long-term love, just like you. Don’t make assumptions about why others on using dating apps – it’s important to keep an open mind, otherwise dating is nothing more than an exercise in handling frustration.

Following are some tips for the New Year on how to get a better handle on those dating apps:

Join something new – but do your research first! Most people join Tinder because that’s the app they know, without realizing there are a slew of dating apps out there catering to every type of dater. If you know you want something serious, try eHarmony or even Coffee Meets Bagel (for a little less pressure) instead. If you are looking to find dates with similar religious leanings, try JSwipe for Jewish singles or Collide, which labels itself the “Christian Tinder.” If you are looking for Star Wars fans? Try AYI (Are You Interested?) – which matches up people with similar interests.

Update your photos. Let’s face it – dating is visually-driven, so you have to put your best face forward. Instead of posing in a slew of selfies, have a friend take some more interesting photos – you playing guitar, doing a yoga pose or out hiking, for instance. Then visually you can show potential dates who you are – it is more effective than listing your hobbies in a description.

Get to the date. Instead of the endless messaging back and forth, it’s much more efficient to ask your matches out right away. You can’t tell if there will be chemistry until you meet in person, so why drag things out and get invested in an online fantasy? If you’re a woman, do your share of the asking. It’s 2015 – and he will be fine with it.

Be mindful and courteous. Just because someone is on a dating site doesn’t mean they are DTF. Don’t send messages suggesting otherwise. Ask someone out to a public place, not your apartment to “Netflix and chill.” Treat others respectfully, and they will return the favor.

Say “yes” more often, ladies. Some guys accept all matches in the hopes of bettering their chances to meet someone. Women are the opposite: the accept very few, sometimes to their detriment. Remember, keep an open mind. Just because he isn’t exactly what you want on paper – you might have chemistry together IRL. Give everyone a fair shot.

Happy dating in the New Year!

PlentyOfFish has been in the game for years, but to keep up with upstarts like Tinder, continuous reinvention is a must. This year has seen plenty of change for POF, from being acquired by IAC/InterActive's Match Group to going public as part of the Match Group's IPO. Now the mobile app is getting a makeover.

A new update, launched December 15, 2015, has added several new features to the apps for iOS and Android. Bugs have also been fixed for a more stable user experience.

The first new feature will appeal to safety-minded singles. With free Voice Calling, you can place a secure, private call to someone without giving out your contact details. To call, open a message in your inbox. If the recipient is accepting Voice Calls, tap the phone icon to dial. Take note: calls are made through the app, so connect to wi-fi first if you're concerned about exceeding your monthly data limit.

Lone Star Introductions, a matchmaking service operating in the state of Texas to help singles find love, was forced to cease operations and pay restitution to its former customers. According to Texas Attorney General Ken Paxton’s office, the judgment came from a lawsuit against the Massachusetts based company ‘for violating the Texas Deceptive Trade Practices Act and Texas Internet Dating Safety Act.’

A state district court issued an injunction that calls on the dating service and affiliated dating sites, including eLove Matchmaking, International Dating Ventures and International Introductions, to cease operations in the state. Lone Star Introductions was using multiple company names to pursue its aggressive tactics, and was informed by the state of Texas two years ago that they were being investigated.

The attorney general says the company uses lead generating companies to mine online dating services for customer contacts, then uses the information to make cold calls in Texas, without registering as a telemarketer. They would pressure prospective clients to meet in the Lone Star Introductions offices to sign expensive contracts for dating services which they would then not provide.

According to website Courthouse News, Lone Star Introductions was particularly ruthless when it came to getting money from vulnerable clients. According to court documents, once Lone Star would get a phone number, they "use high pressure and coercive tactics" to try to get targets to sign up, including "incessant phone calls," coercion and manipulation. "Defendants charge consumers between $7,995 and $12,995 for prospective dating introductions," the state says.

Lone Star calls its telemarketers "counselors,” but according to Paxton’s office were little more than aggressive telemarketers.

Courthouse News goes on to note the following from the lawsuit: "Consumers who complained to defendants and requested to cancel their contracts are harassed and threatened by defendants with financial ruin and criminal prosecution. One consumer alleges that an eLove representative 'yelled four-letter curse words at [him], threatened to destroy [his] credit, prosecute [him] for a felony, and report [him] to the Texas Attorney General's Office' when the consumer attempted to cancel his contract."

According to Paxton’s office this type of harassment and threat to consumers violates debt collection regulations. Also, the “Counselors” at Lone Star Introductions failed to comply with the Texas Internet Dating Safety Act, which includes advising customers of safe dating practices.

The final judgment ordered the defendant to pay $500,000 in civil penalties and pay $20,000 in restitution to customers.

Usually makeovers come with the New Year and the soon-to-be-forgotten resolutions, but Spark Networks is starting early. The company has given its two most recognized brands, JDate and ChristianMingle, a head-to-toe refresh for the end of 2015.

Both brands have been redesigned inside and out. In addition to sleek new appearances, the sites have been updated with improved back-end platforms, new mobile-optimized features and easier-to-use functionality.

This is all part of Spark Networks' year-long strategic vision for boosting profits and subscriber engagement. Despite its strong legacy in the online dating business, Spark Networks had stalled while the rest of the industry modernized. With the relaunch of its two core brands, the company hopes to reposition itself once again as a leader in the niche dating world.

JDate is the first of the two legacy brands to debut the results of its makeover. Some of the updates and new product offerings include:

• A cleaner, more streamlined user experience that simplifies interactions
• A new “daily matches” feature that presents a curated collection of matches tailored to each member
• An improved user experience for iPad/tablet users
• An expanded mobile presence and improved mobile capabilities
• A redesigned inbox to make interactions between users even easier

ChristianMingle has not yet debuted its renovation, but look for it in the coming weeks. Not only will it incorporate many of the features from the new JDate platform, it will also reposition the site as a more open, contemporary and diverse community based on the Christian faith and values.

After a year of ups and downs, this could be the breakthrough Spark Networks has been looking for. The company revealed a drop in year-on-year revenue and a net income loss of $822,000 for the quarter when it shared its Q3 2015 financial results. On the plus side, subscriber growth was on the uptick for the first time since Q1 2013 and Spark's mobile presence has expanded significantly this year.

“At the beginning of this year we set an aggressive plan to rebuild our two key brands – JDate and ChristianMingle – to become relevant again to our customers and drive fundamental change in business performance,” said Michael Egan, Chief Executive Officer of Spark Networks.

“It has been an exciting and successful year with tremendous growth and development momentum. The changes and upgrades we are debuting today are the first step to strengthening our portfolio to become more nimble and innovative, as we build valuable products and services for our members.”

For more information on these 2 dating services you can read our reviews of JDate and Christian Mingle.