MOBILE DATING ONLINE OFFLINE TO Meghan Thomas Lu Meng Zhan Yuan Onyinye Udenze Vasili Dimopoulos INDUSTRY ANALYSIS MGMTCOM 506F GROUP B TEAM 10
Jul 16, 2015
MOBILE DATING
ONLINE OFFLINETO
Meghan Thomas
Lu Meng
Zhan Yuan
Onyinye Udenze
Vasili Dimopoulos
INDUSTRY
ANALYSIS
MGMTCOM
506F
GROUP B
TEAM 10
- Growing industry with huge potential
- Dynamic industry with more specialization and
technology
- Key players and more entrants
- Revenue streams from advertisements and premium
services
- Marketing and Advertising for success in the Mobile
Dating Industry
Executive Summary
INTERNET
Early
90’s
Fast iterative- TOP 500: 30 days
- Top 5000: 35 days
Micro
innovation
Information
I T
C B
DATING
1995
2003
Matchmaking
Familiarizing- upgrading relationships
Geolocation
I T
C B
Online
Mobile
Match.com eHarmony
GOING
MOBILE
Geography information marries online
dating and offline dating
2011
Wherever & Whenever
2012
Mobile dating apps > Desktop
Mobile dating revenue
increased 29% to 213 m
Mobile dating users doubled to
13.7 m from 2011 to 2012
TI
C B
NICHE
MARKETS
Market Segmentation &
Market Target
Undeserved market is big and
demand is different
City Folks Just
Don’t Get ItFarmersOnly
SouthEast
BlackPeopleMeet
DateMyPet
JDate
CynderTinder for Cynthia’s
students
TI
C B
SOCIAL
IMAGE
No longer for just losers
Shift in user attitude:
A good way to meet people
Meeting online is twice as likely to
marry as those who met offline
TI
C B
Hinge
“Seems like the next generation
of mobile dating”
Launched 2011
Users 8M daily
Funding to date 24 M
Cities 15
Retention Rate 75%
Cons Pros
8
12
Users todate
37% more likely to date someone if
you’ve got Facebook friendsC
I T
B
Grouper“You go to a bar, randomly hit on girls? If
you’re lucky, one out of 10 times, if all goes
well, after a lot of hard work and a lot of
painful failure, you end up across the table
from a group of girls sharing casual drinks.
With Grouper, that’s where you start.”
-Michael Waxman, Founder
Launched 2011 mobile 2013
Users “hundreds of thousands of drinks”
Funding to date ??
Cities 20
Retention Rate 93%
Cons Pros
#groupergram
C
I T
B
Marketing
Sponsored advertisement
Providing locations to
meet: HOTSPOT
Staying relevant
Promote on all social
networks
B
I T
C
Upgrades
“Freemium” Business Model- Needs Wide Distribution
- Ie : Skype calls and Pay for Voicemail
LinkedIn 75% Rev Premium, 25% Adverts
- Free = Emotional hot button Free = “nothing to lose”
- Remember: Not Fake Free!
$1 cell phones with a contract, Gillette Razors
“The easiest way to get 1
million people paying is to
get 1 billion people using,”
-Phil Libin,
CEO of Evernote
Most Apps generate revenue from Memberships
B
I T
C
Valuations
"I see the industry breaking off into a
billion different directions,” -Marc Lesnick,
founder of iDate,
an annual trade show for the online dating industry.
Earnings
Evaluations of Each Other
Asset-based Valuation
DCF
B
I T
C
Acquisitions
Watch out for IAC(Match.OkCupid)
- Owns 28% of 2500+ industry of
competitors
Key Performance Metrics:
- Avg daily visitors
- # active accounts
- Conversion rates
- Customer Loyalty rates
- # of matches
Tinder evaluated at $5 Billions by
Barclays
- Scrutiny b/c no monetary value
B
I T
C
Marketing and Advertising
Access to niche markets
Turning to technology
Reputation
Ease of Access
Success
Factors
B
I T
C
- Taking the industry from O2O – Online to Offline
- Continue to grow
- Mobile, Niche, Technology, Making it Cool
- Many Platforms to meet folks
- Areas for Business
Key Takeaways