Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Dating business model

2,231 views

Published on

  • Can you earn $7000 a month from home? Are you feeling trapped by your life? Stuck in a dead-end job you hate, but too scared to call it quits, because after all, the rent's due on the first of the month, right? Are you ready to change your life for the better? ■■■ http://ishbv.com/ezpayjobs/pdf
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • Get Paid For Your Opinions! Earn $5-$10 cash on your first survey.  http://t.cn/AieX2Loq
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • Real Money Streams ~ Create multiple streams of wealth from your home! ➤➤ https://tinyurl.com/y4urott2
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • Your opinions matter! get paid for them! click here for more info...♣♣♣ https://tinyurl.com/realmoneystreams2019
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • Anyone knows what is exact features and its developing cost to expect while building a dating app? https://goo.gl/k3VvLp
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • Be the first to like this

Dating business model

  1. 1. DATEMATCH
  2. 2. EXEC SUMMARY Hello! We are DateMatch!, the UK’s first online dating site aggregator. With the UK Dating industry prospering, and over 1,500 sites to choose from, DateMatch fuses data from characteristics of each individual dating site, and matches them to the users personality based on answers given from their personal user quiz By calculating the users customer lifetime value to a dating site we are able to implement our commission-based model to gain income from this lucrative market. We hope you enjoy this presentation, The DateMatch team.
  3. 3. CORPORATE TEAM CEO • Jack Davidson Commercial Director • Abigail Billson Financial Director • Tom Carter New Business Director • Jenni Dodd Marketing Director • Mitchell Droppa
  4. 4. THE MARKET
  5. 5. Market Size Online dating industry is worth an estimated £2bn worldwide The UK contributes c. £170m towards the total Over 1,500 dating UK sites 9million UK adults searching for love online Nearly half of UK singletons have dabbled with online dating 1 in 5 relationships now being online
  6. 6. 30% are 25-35 56% male 44% female Our Key Target Audience 28% have a income of £25k-£40k 31% (203) live in an inner city 75% (161) in full time employment 99% (128) go online several times daily 67% ABC1 Age 25-34 and use internet dating sites: 569,000 Source: CCS 2013
  7. 7. They are urbanites who are willing to spend money to save time and love being in the know 30% (179) I spend quite a lot of money on clothes for myself 52% (161) I love to buy new gadgets 44% (148) I am not good at saving money 43% (140) I will spend money if it means saving time 29% (222) I know the latest trends before my friends Source: CCS 2013 Audience: 25-34 year olds who use online dating sites: 569,000
  8. 8. COMPETITIVE ENVIRONMENT
  9. 9. SWOTANALYSIS Strengths • Relatively new to market, no other competitors at present • Take up could be strong as users seek an easier way to form relationships Weaknesses • Tech needs to be able to aggregate data easily between sites, could be a difficult to do • Top dating site in the UK is POF with 1.05m unique a month, hard to commercialise free services • Business model could be to replicate Opportunities • Market is worth c£170m in the UK • Tool would have strong demand as UK users are flooded with different websites • Strong commission potential with the core sites (i.e Match, eHarmony) Threats • Could be copied by general market comparison sites very quickly • Date sites could block the comparison site (i.e Direct Line) • Competition from affiliate networks • High PPC investment from dating sites, business would have to match to gain SOV
  10. 10. Political • We aim to protect our users from frauds. We will warn them of the lack of criminal background checks for our sites users. By providing online checks, which are currently not possible to do, there is scope for false security. • To avoid any unwanted pressure from gay rights campaigners we will have to ensure exposure for same sex searches. • A .co.uk domain. Economic Analwaysonstrategy,thereisneverabadtimetobesearchingforthatspecial someone However,wewillplayonseasonality–wecouldrampupourpresenceatkey timesintheyear,ValentinesDay,leaduptoChristmasetc. WewouldhavetoconsiderusersvisitingthesitefromoutsidetheUKandtheir intentionstosearch,wewouldhavetoincludecurrencyconvertors/options. • An always on strategy, there is never a bad time to be searching for that special someone • However, we will play on seasonality – we could ramp up our presence at key times in the year, Valentines Day, lead up to Christmas etc when being in a couple is a prominent feature. • We would have to consider users visiting the site from outside the UK and their intentions to search, we would have to include currency convertors/options. Social • Online dating is no longer considered a taboo • ABC1, 25-35, 56:44 male:female • Time deficient lifestyles mean its difficult to meet new people out and about, let alone having to trawl through various dating websites, DateMatch takes this stress away from the user. • Widely accepted and often praised within the media, there is the occasional negative story we have to be mindful of. • Something that is well known to be done amongst friends in instances where confidence is low. • We could potentially look to expand via the hosting of events brought to you by DateMatch Technological • The increased usage of smartphones and tablets indicates we need to be optimised for these devices and various operating systems. • Must not neglect desktop users, as online dating is not something that users will rush and PCs/laptops still have that sense of reliability and trust • There could be scope to increase activity in the form of a mobile/tablet app
  11. 11. BUSINESS MODEL
  12. 12. BUSINESS MODEL User acquisition Intercept Recommendations Advertising revenue -SEO -Database acquisition - Online targeting -EOI (Expression of interest) - Demographic recommendations Based on test: -Demographic - Personality - Likes/Dislikes - Affinity Fee based on: -EOI - Sign up to dating site User signs - referral fee We make money from referrals and advertising on site.
  13. 13. LIFETIME CUSTOMER VALUE To charge the correct fees we must assess our commission based on the lifetime customer value that the dating site attributes to a new “user” Value (Cost of site per month) Membership (Period of time initial user signs up) Loyalty (Proposed period of time the customer will stay) LCVX X = 1. Allowable acquisition cost: This is the amount you’re willing to spend per customer per campaign -- as long as the cost is less than the profit you make on your first sale. 2. Investment acquisition cost: This is the cost you’re willing to spend per customer knowing that you’ll take a loss on an initial or even subsequent purchase. But you have the cash flow and other resources to absorb your initial marketing investment with this longer-term strategy.
  14. 14. EXAMPLE OF COSTINGS Value (Cost of site per month) Membership (Period of time initial user signs up) Loyalty (Proposed period of time the customer will stay LCVX X = £20 p/m 3 months 1 year £240X X = LCV % commission < £10 65% £11 - £50 50% £51 - £100 35% £100 + 20% Based on this model, our commission model would look roughly as so
  15. 15. POTENTIAL REFERRAL INCOME Target Audience 25-34 (569,000) 1.871m use dating sites Acquisition rate of 7% - 39,830 Value of average user to us - £26.25 Potential Referral income £1,045,537.5£25 x 39,830 Based on 3 month membership at £25 p/m Commission rate of 35% 7% is estimated
  16. 16. ADVERTISING REVENUE MODEL The site will be heavily promoted to invite page impressions and due to the detail of questions, will allow us to have a detailed picture of the customer - Targeted newsletters - ROS Display - Targeted display (an expansion point) £20 cpm £4 cpm £8 cpm Offline events - dating nights Potential expansion areas: Partnerships - with brands that target these users Research Panels - incentive based users Mobile based function
  17. 17. POTENTIALADVERTISING INCOME 39,830 Uniques, with an average of 8 page views per visit Opt-in rate of 20% for newsletter - 7,966 subscribers Targeted display - This would be an expansion point once the site has grown £20 cpm Assume an opt in rate of 40% - 15,932 subscribers 318,640 Page Views £1,274 Per format £637.28 Per Placement £8 cpm TBC Advertising would very much be an aside for the site. There are interesting opportunities to possible re-target users once they have left the site
  18. 18. MARKETINGAND SALES STRATEGY
  19. 19. BoughtOwnedEarned Tease SustainLaunch Marketing Strategy
  20. 20. PPC Strategy • We will target keywords that users will type to find dating sites to intercept their journey • We will adopt an aggressive strategy and ensure our site links are strong so that our quality score for word matches is strong enough to allow us to have as low a Cost per click rate as possible SEO • We need to ensure that we receive as many organic searches as possible however the history of other Paid Social • We will look to target users based on their key words on Twitter to invite them to visit DateMatch • By appearing in relevant areas to our Target Audience we can communicate with them in a cost efficient way on a cost-per-engagement model.
  21. 21. PAID SOCIAL Segment/Interest Format Weighting Engagement Rate Dating Promoted Tweets timeline 25% 1.50% TV Interests Promoted Tweets timeline 20% 1.50% TV Keywords Keyword targeting Timeline 40% 1.00% Dating Keywords Keyword targeting Timeline 15% 1.50% Using Twitter to jump on the back of social conversations will allow us to target our consumers in a relevant and timely manner. Not only does this make us extremely target but the cost model is efficient as it is based on a cost per engagement rate. Being around relevant TV shows such as Take Me Out, Girlfriends, First Dates etc will make us contextually relevant
  22. 22. WHY IS THISAGOOD INVESTMENT?
  23. 23. 3 REASONS • Low start up cost • Low competition • Expanding and lucrative market

×