Market Overview
The Online Casual Dating and Relationship Category
Introduction
People traditionally relied on friends, bars, and clubs or organizations when seeking romance and companionship. However, beginning in the early/mid 1990’s, the popularization of the Internet changed the dating venues. According to Online Publishers Association, since 2002, the highest revenue generating content category on the internet has been the casual dating and relationship categories, which continue to outpace both the lifestyle/entertainment and financial categories. Once the online casual dating sites flourished, the natural progression arrived; relationship sites. Jupiter Research reported that online casual dating and relationship services that broker relationships have become increasingly mainstream and are used today by more than 50 million people worldwide.
The Online Casual Dating and Relationship Categories
Casual dating sites, such as Match.com and Yahoo! Personals, generally appeal to “frequent daters”. They are 65-75% male dominated, tend to be younger (20’s to early 30’s) and are looking only for a casual relationship.
The evolution of casual dating sites led to the creation of relationship sites such as eHarmony and Perfectmatch. These relationship sites have a more mature audience and are focused on the serious adult looking for a long-term, committed relationship and/or marriage. Relationship sites use tools such as personality and compatibility tests to screen and filter long-term relationship prospects.
Key distinctions between casual dating and relationship categories are:
CASUAL VS.
RELATIONSHIP SITES
|
CASUAL |
RELATIONSHIP |
|
Men / Women |
70% / 30% |
35% / 65% |
|
Demographic (average age) |
27 |
38 |
|
Monthly List Price |
$19.95 |
$49.95 |
|
Conversion: Join to Pay |
5% |
25% |
|
Average Initial Payment |
$20+ |
$85+ |
|
Average Tenure |
2.5 months |
4 months |
How Casual Dating and Relationship Sites are Making Money
The primary revenue generator for online dating sites remains monthly subscriptions, ranging in price from $19.95 to $49.95 per month. Sites generate ancillary income through the pursuit of partnerships that provide revenue streams from the addition of new services and/or advertising on their site.
With more than 212 million U.S. residents having access to the internet at home, a recent Jupiter Research study shows the worldwide personals and relationship services market generated $550 million in revenue in 2004. Jupiter Research estimates the casual dating and relationship categories will grow to $1 billion by 2008.
Relationship sites have been successful in broadening their demographic by introducing millions of 30 – 49 year olds to the art of pursuing love online. Additionally, the 50+ market including seniors has begun to take off. In June 2005, eMarketer estimated there are 33.2 million people online in the US between the ages of 50 and 64, triple the number of 65+ online users. Divorced and widowed seniors are now turning to online relationship sites to find love and companionship.
Summary
The online casual dating and relationship market has experienced tremendous growth over the last few years and there is every indication that it will continue to grow and evolve. With the emergence of the “Relationship” category, more and more people of all walks of life and ages are becoming comfortable with the Internet as a medium for meeting people – conveniently and from the safety of their own home. People’s lives are busier today. Since finding the right people in traditional places falls short, one can expect relationship sites to take an even stronger hold on singles worldwide. The casual dating and relationship markets are growing their sites and attracting over 35% of the Internet population.
Perfectmatch.com is led by the most experienced and savvy senior executive team, with a feature-rich, cutting-edge technology site developed with our members in mind.
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