THE U.S. DATING
SERVICES MARKET
(April 2006, 4th Edition)
Page
Introduction
- Study Scope, Methodology, Sources Used
1-5
* Highlights
of ALL study chapters: Discussion of industry status as of 2006, 2005
performance, major developments and trends since 2004, discussion of slowing
market growth, customer dissatisfactions, factors affecting demand, how
services operate/avg. receipts, customer demographics, industry $ size/growth,
1991-2008 F, main market segments (1994, 1997, 2002, 2004, 2005-tables),
separate outlooks for online services, off-line chains, matchmakers, personal ads,
radio datelines, speed dating, how services operate, past regulatory
actions/image problems, background checks status, industry structure/latest
Census operating ratios (national).
Nature
of The Business - How Dating Services Operate ($150) 36-50
* Recommended
ethics/precautions consumers should take before signing contracts,
screening procedures, entry of large corporations to the business
(Advanta), why demand
is growing for dating services, singles demographics.
* Discussion of industry
characteristics, evolution of “marriage market intermediaries”,
definition of types of providers (singles/personal ads, video dating
services, singles events,
interactive voicemail systems, traditional matchmakers, computer dating
- how each service
operates, estimated number in U.S., no. of clients, image,
advantages/drawbacks of each).
* Success rates of and problems with
“marriage market intermediaries”, review of
literature and past studies, the future of intermediaries.
* How
dating services operate: typical methods used by Together, Matchmakers
Intl.,
suggested techniques for launching/marketing a new dating service.
* Operating
ratios of franchised dating services (avg. gross revenues for small, mid-
sized, large metro areas, amount spent on advertising, profit margins, $
allocated
for office staff, rent, overhead, etc.)
* Recommended
industry code of ethics: guidelines developed by trade group,
questions consumers should ask of matchmaking, video and computer
services
* Past regulatory actions taken against
Together Dating Service by PA State Attorney General’s
office, Great Expectations vs. the Better Business Bureau, allegations
of deceptive sales
practices used by former sales reps and counselors.
Demographics
& Other Factors Affecting Demand ($150) 51-66
* Summary: Discussion of number of
American singles, findings of survey by It’s Just
Lunch about typical $ amount spent on dates by men/women, avg. no. of
dates, etc.
analysis of male/female make-up of dating services’ clients, singles by
age group
*
AOL/Opinion Research Survey findings: dating websites vs. other methods, AOL dating
index - 10 best/worst cities for dating
singles
(baby boomers - key group of customers).
* Latest Census data: number and % of population representing
single/divorced/widowed
males, females as of year 2000, 2010 projections.
Tables:
-
Marital status of adults: 1970-2010 F, age 18 and older (no. of
adults in U.S.)
-
States with highest number of unmarried men and women
-
State ranking of % of unmarried men & women, 50 states
-
Marital status of U.S. population, by sex and age: 2004 (no. and %
distribution)
-
Living arrangements of persons age 15+, by characteristics: 2004
-
Percent of men age 15+ who were never married, by state: 2004
-
Percent of women age 15+ who were never married, by state: 2004
-
Households by type household: 1990-2004 (married, single, etc.)
-
Households by age of householder and size of household: 1990-2004
-
Unmarried partner households, by sex of partner: 2003
-
Family households with kids under age 18, by type family:
1990-2004
-
Nonfamily households, by sex and age of householder: 2004
-
Persons living alone, by sex and age: 1990-2004
-
Households, families, subfamilies, married couples: 1980-2004
-
Married couples by race: 1980-2004
-
Families by type, race, Hispanic origin: 2004
Market Size and Growth ($200)
67-79
* Estimated number of
dating services in U.S.
* Discussion of lack
of official industry data, past estimates by trade groups/rationale.
* Market status and
summary: historical growth of the industry’s largest franchises &
chains,
peak sales year, comparison of market
conditions in 1994 vs. 1997, $ size
of market (effects
of online dating services, growth of radio
dateline systems, mismanagement, rise of the
personal ads, price resistance by customers,
negative publicity).
* Marketdata’s past
predictions – which came true, which were wrong - discussion.
* 2004-2005 Performance- key trends, deals Marketdata expectations
$ size of market, off-line vs. online
services’ growth
* 2006-2008 Outlook for independent matchmakers
* 2006-2008 Outlook
for off-line dating service chains
* 2006-2008 Outlook for dating websites
* 2006-2008 Outlook for the personal ads and radio
datelines market
* Niche Markets: companies specializing in… seniors,
millionaires, religious groups, etc.
* Speed dating: discussion of concept, major competitors identified
(Cupid.com/Pre-dating) ,
fees, income, list of speed dating
websites, etc.
Tables:
- Historical &
forecasted market size in $ (1991-2008 F)
- Major market
segments: 1994, 1997, 2002, 2003, 2004, 2005, 2008 F, estimated revenues
of: independent matchmakers,
franchises/chains, personal ads mkt., dating
websites
- Value of industry
market segments: 2002, 2003, 2004, 2005, 2008 F
- The major off-line
chains (no. of offices, 2001, 2003, 2005: Great Expectations, Together,
Matchmakers Intl., It’s Just Lunch)
Online
Dating Services ($595) 80-132
*
Status report, results of recent user polls, customer dissatisfaction with
accuracy of online
profiles, discussion of where future
growth will come from (sponsoring events, Europe, niche
sites), member retention, cost of entry to
the market rising.
*
Spark networks management interview: industry outlook
*
Evolution and past strong growth of online dating, advantages & disadvantages to
the user, reasons for growth, estimates of
number of Americans using online dating
(ComScore, Nielson), who the leading
competitors are, types of dating sites
* Market size & growth: online paid content
spending on dating/personals by ComScore, for
2003-2005,
Marketdata estimates for 2006 to 2010,
findings of phone interviews with top
competitors and industry experts
* Limitations of online dating -
discussion
*
Need for a trade association? - discussion, profiles of existing groups
(Internet Dating
Executive Alliance/IdeaOasis,
International Assn. of Dating Websites)
*
Lack of uniform industry metrics/yardsticks - analysis (registered users,
unique visitors,
members, paid subscribers)
* European Market for Online Dating: findings of Cross
Asset report about Meetic (mkt.
leader), why Europe is growing faster than
U.S. ranking of top dating sites’ market share,
growth projections
* Niche dating websites, type found, by
religion, profile of Shaadi.com (Indian site)
* Adult sites – discussion of
faster growth.
Tables:
-
Rankings of top 15 U.S. dating sites, by: Hitwise, Nielson
Netratings, ComScore Mediametrix
-
Ranking of top European dating sites
Competitor Profiles (headquarters,
website, how the service works, cost, no. of
paid subscribers vs. registered users, profile of its customers, related
services, recent mergers/acquisitions, recent company developments, estd. or
actual company revenues to 2005, projections, mgmt. opinions, etc.). In-depth
profiles for following companies…
-
Match.com
-
Yahoo! Personals
-
Lavalife
-
Spark Network
-
eHarmony
-
Meetic
List/Directory: Names/sample directory of 390 online dating
service websites.
BacKground Checks:
Status Report ($100)
133-141
* Limitations of
dating websites, why customers are not happy with accuracy of profiles
* Extent of usage of
dating websites by Americans
* Status of
legislation re mandatory background/criminal checks in various states: IL, FL,
TX, VA
* Role of True.com as
catalyst for move to background checks—unique selling proposition or
Publicity
seeker?
* IMBRA – passage of International Marriage Broker
Regulation Act of 2005
* How the major dating
websites have reacted/what they’re doing to address the issue
* Name/address of
background checking firms serving the dating services industry.
Dating Service Chains
(off-line services) ($350) 142-160
* Summary &
definition of “off-line” or “traditional” bricks & mortar dating services
with
physical offices, the franchises and major
chains. History of these competitors, operating model
used, competition vs. dating websites,
troubles of Great Expectations and Together Dating
Service, comments/observations of former
owners/employees, other experts.
* Costs per
acquisition, marketing methods, profit margins, avg. receipts per office.
interview with
GE & Matchmakers International
management/owners.
* Market $ size &
status report: 1997-2005, Marketdata 2005 growth estimate, 2008 forecasts
* Have companies
changed their sales practices? – discussion, recent actions.
Table: The 4 major chains,
by no. of offices and revenues, 2003 & 2005
Competitor Profiles (headquarters,
website, how the service works, no. of offices, fees charged, no. of customers, profile of its customers,
franchising, avg. gross sales potential per office, typical profit margins,
expenses, marketing methods, recent mergers/acquisitions, recent company
developments, estd. or actual company revenues, mgmt. opinions, etc). In-depth
profiles for following companies…
-
Great
Expectations
-
Together Dating
Service /The Right One
-
Matchmakers
International
-
It’s Just Lunch
-
Other off-line companies
The Matchmakers Market ($395)
161-191
* How matchmakers operate: summary & discussion, why
they’re doing well today.
* Market size
& status report: estimated number of matchmakers in the U.S., 2005
estimate,
2008 forecast,
average revenues per matchmaker
* The Matchmaking
Institute: entry of new matchmakers into the profession
* Industry trade
association: discussion of past efforts to form The National Association of
Ethical And
Professional Matchmakers, other efforts.
* Major market trends: ease of entry, use of
websites, impact of recessions, ancillary services
being offered.
Profiles of Some of the Top U.S. Independent
Matchmakers
(For matchmakers profiled below… an in-depth
discussion and description of how they operate, typical fees, clients served,
specializations, address or phone and website. Findings of Marketdata phone
interviews, opinions on status of the market.)
* Orly Hadeda (Orly
the Matchmaker)
* Leora Hoffman Associates
* Kailen Rosenberg
(Global Love Mergers)
* Janis Spindel
* Zelda Fischer
(Gentle People Ltd,)
* Barbie Adler
(Selective Search Inc.)
* Irene Valenti (Valenti
International)
* Lisa Ronis Personal Matchmaking
* Jill Kelleher
(Kelleher & Associates)
* Dianne Bennett.
The Personal Ads &
Radio Datelines Market ($200) 192-209
* Print personals - discussion of market characteristics,
status report & relationship between
newspapers
running the ads, the automated voicemail system providers they use, and long
distance phone
companies, avg. cost per 900 number call, cost to responders to ad vs. those
placing them,
why personals are popular vs. other methods.
* $ Size of the Personal Ads Market: discussion/analysis
of decline of the market, past media
estimates,
personal ads’ share of total 900/976 number call volume,
Marketdata
estimates & forecasts of personals mkt. size, 1997, 2001, 2003-2005 growth
outlook, based
on phone interviews, inherent problems/limitations of personal ads.
* Singles publications market: discussion of reasons for decline, how
they operate/make
money, avg. subscription price, cost to run
personal ads, avg. cost of automated personals, etc.
* Singles
publications: name/address list of the major U.S. singles publications, by
state
* Radio Station
Datelines: status report & discussion/analysis of popularity of radio
automated
“datelines”, Status
Report: The leading providers of Interactive Voicemail Systems
today, effect
of online dating
services as main contributor to decline in this market, comments by
management regarding withdrawal from market by
competitors, profiles of two companies left:
Spark Network Services and Telepublishing International.
* Summary & analysis of 2002 Census
survey (latest available): the dating services industry
NAICS code, no. of establishments & companies in the U.S., national
receipts, payroll costs,
key ratios (avg. receipts per establishment, avg. receipts per company,
avg. receipts/payroll per
employee).
* Analysis of legal form of organization of dating services (% of establishments
& receipts by:
corporations, partnerships, sole proprietorships – 2002 vs. 1997
* Analysis by industry concentration levels: top 4, 8, 20, 50 firms – 2002 vs.
1997
* Analysis by single & multi-unit operations – 2002 vs. 1997
* Analysis & ratios, by receipts size of companies – 2002
vs. 1997
* Analysis & ratios, by receipts size of establishments –
2002 vs. 1997
Tables:
- Number of dating
services, state’s total receipts, avg. receipts per service, by state: 2002
- Ratios, by legal
form of organization – 2002, 1997
(no. of estabs., firms, payroll as % receipts,
receipts by type)
- Ratios, by industry
concentration levels (market share): top 4, 8, 20, 50 firms – 2002, 1997
- Ratios, by single
& multi-unit operations (ratios
as above) – 2002, 1997
- Ratios, by receipts
size of companies (as above, 11 classes-under $100K-$100 mill. – 2002,
1997)
- Ratios, by receipts
size of establishments (as above, 11 classes-under $100K-$100 mill.) –
2002, 1997.
Reference
Directory of Industry Trade Associations &
Information
Sources 228-232
* List of dating service industry trade
associations, conferences, consultants and experts,
research papers, analyst reports, etc. -- address & phones.