The Strategy Puzzle of Subscription-Based Online Dating Sites

The Strategy Puzzle of Subscription-Based Online Dating Sites

Executive Overview

There’s no switching straight straight back from on the web dating: Matchmaking and dating that is online turn into a $2.5 billion buck industry, and about 25% of U.S. partners now meet on the net. While most early dating websites operated as easy platforms where users could freely browse and contact members, more recent web sites are making matchmaking technology a significant value idea. But will be the lovelorn better served for this? In a study that is recent scientists examined the essential conflict of great interest that exists between matchmakers and their consumers: Upon getting an appropriate partner, users typically terminate their site subscription, harming the firm’s revenue and income. It is ambiguous whether profit-maximizing web web web sites would shoot for probably the most matchmaking that is effective, or deprioritize innovation. Leer más