Disapproval has gotten especially rare among now spend more time on dating apps than they do on the sites themselves.And by 2018, more than 80 percent of the population will own a smartphone up from 46 percent in 2012, according to IBISWorld.The company -- which owns Match.com, OKCupid, Tinder and Europe's Meetic -- beat analysts' expectations for the second quarter when on Tuesday it reported second-quarter revenue growth of 23%, partly on the strength of its dating sites. -- the umbrella company that oversees the portfolio of dating sites -- was 4 million, 9% above the same period last year, and ahead of analysts' expectations of 3 million.IAC expects that percentage growth to accelerate into the low double-digits during the second half of the year, it said."We think (Tinder) has reached unmatched global scale in terms of its user base," Barclays analyst Chris Merwin said, roughly estimating potential quarterly revenue of million to million from the app.Revenue from IAC's dating websites rose 2 percent in the first quarter as the number of paid subscribers surged 16 percent.
Target marketing, changing demographics, and decreasing stigma about online dating are continually bringing new users to fore.
However, revenue from IAC's search and applications business, which includes Dictionary.com, and Ask.com, fell 3.8 percent.
The business accounts for about half of IAC's total revenue.
That’s right – happy people in relationships don’t need your app any more. LTV (Lifetime Value) in dating sites is a struggle. And when you look at the cash venture capitalists are putting in (8.8 million into the dating industry since early 2010, according to Dow Jones Venture Source), it’s not a lot.
Today we have all kinds of interesting options like Happn, Coffee Meets Bagel and even a Tinder clone from one of the ousted cofounders called Bumble. In July 2015 one of the old school dating sites – Plenty of Fish – finally gave in to IAC and sold for 5 million. Even major players are under pressure: Online-dating platform Zoosk Inc.
In case you didn’t know, one of my earlier businesses was a dating website called Woo