OPW Interview - Nate Elliott, Jupiter Research - Online Personals Watch: News on the Online Dating Industry and Business

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Comments

Fernando Ardenghi

Nate Elliot said: "I think there is an opportunity right now for some companies to come in and undercut the leaders."

I strongly agree!!! New quality online dating sites offering more power_calculation and better personality_matching_methods will have a great opportunity to World Wide succeed!


He also said: "It's just a question of defining strategies and growing the paid user base."

Strategies:
Quality Online dating sites need to convince their clients with valid reasons to pay for the service. Clients will subscribe and pay a fee for quality_contacts / compatible_real_persons, they will also pay to avoid loosing precious time with fakes_profiles & low_quality_matches and to avoid being hurt in their feelings by dishonest/unscrupulous persons.


Kindest Regards,

Fernando Ardenghi.
Buenos Aires.
Argentina.
[email protected]

Markus

Nate Elliot said: "I think there is an opportunity right now for some companies to come in and undercut the leaders."

Statements like this show just how much little credability that company has. If he took 5 minutes to look at alexa, ranking.websearch.com, hitwise or even comscore data he would have come to the conclusion that.

1. Plentyoffish is #1 in Canada.
2. Plentyoffish is in the top 4 in the USA.

I guess you just don't exist if you don't buy their research reports.

Fernando Ardenghi

Dear Markus:

Perhaps you are only TRANSFERRING free_users tired of Match.com, tired of Lavalife.com, tired of Date.com, tired of YahooPersonals!.com and tired of other sites TO PlentyofFish.com; from their databases to PlentyofFish's database.


Technically speaking, PlentyofFish.com makes money off the ads upselling to other sites. It has all free users (the daters) and some paying clients (the advertisers)!
Is PlentyofFish.com really within the Online Dating Industry? or only in the Internet Ads Industry?

Revenue source: Ads. Is PlentyofFish.com only a CHEAP CHANNEL for deliver ADS, cheaper than Google.com, yahoo.com, and others; flying in automatic pilot?

Also Nate Elliot did no say even a word about:
* Market Segmentation.
* Future Legislation.

Kindest Regards,

Fernando Ardenghi.
Buenos Aires.
Argentina.
[email protected]

Alexander Shetinin

Oh my G-d!
I've never seen an analyst as incompetent as Nate Elliott with his "creative pricing to undercut the leaders" idea. My respect for Jupiter Research fades away.
First of all, there is no gray area between dating pay sites and free one like PoF. It's either u make users to pull out their cr.cards or u don't. And once u do, u'll have not only to add to the back office but allocate lots of extra expenses for customer service. Once people pay a dime they think they own u. It'll cause an avalanche of call and e-mail. Try to ignore them and u'll face tons of charge backs. And cr.card companies don't care what the charge back is, either it's $2 or $200. A merchant will be charged $20-$25 every time cr.card company opens a file.
On top of legitimate charges, there will be tons of cr.card fraud. Yes, one can fight it ignoring some IP's and doing some extra work, but u can never defeat it.
Therefore, even technically speaking charging a little is a losing game.
Marketingwise, charging a little will cause losses a lot given to the cost of the traffic in such a competitive area and dating. It can be used as an entry maneuver to stuff the database, but the tactics requires tons of $$$ to survive. Nowadays, we are talking hundreds of thousands to a few millions.
Analysts should crunch numbers and draw their conclusions from facts rather than fantasizing about something they have a very remote understanding about and no hand-on experience. That's my opinion.

Alexander.Shetinin
DuetNetwork

Mark Brooks

Let's focus on attacking the issues. ;-)

Mark Brooks
editor, onlinepersonalswatch.com

Andy Arnott

Yes it seems as though "free" sites were left out of this report. Though plentyoffish tends to just "up sale" to other dating sites, they now have a user base that will make them very powerful, if they choose to be.

I believe the gap in the market is a truly competitive free/paid hybrid dating site, one that rivals the quality of sites like Match.com.

Yes the main function of our site is to cross promote users by allowing them access to other dating sites users, but we will also provide a rich dating experience that we hope will make people want to just use one dating site. Ours...

Do people really think a math equation or some words written by Dr. Phil will find them their best match? Maybe, but our goal is to let people interact, and with this, true compatibility will follow.

Andy A.
CTO
Collaboradate.com

Shimrit Elisar

I am not at all sure that what the UK market is lacking right now is cheaper sites to undercut the major players. I think the market is beginning to level out and mature now and the daters are becoming more discerning. It's beginning to no longer be enough to simply have a dating site, no matter how cheap it is. People are slowly but surely beginning to expect more from their service. I think one of the things we are likely to see happening is more segmentation and niching, which has already happened in the US but is only just beginning to seriously happen here.

Shimrit Elisar

Allegran Limited

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