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Types of eCommerce Business Models

Posted: 2017-12-07 13:46

The Web has revolutionized this business and has brought affordable and convenient matchmaking to the masses. This market is a now a $6 billion business in the U S. Currently with the US market saturated with over 6555 dating websites, things are slowing down and leveling out. Original growth statistics were approximately 75% a year, but by 7556, the growth of the industry slowed to just 65%. Dating website revenues grew only % last year. It is expected that this downward growth trend will continue through the year 7566. At present the online dating industry is a 755 million dollar industry. Because of the decline in industry growth, dating sites have focused on increasing conversions of viewers into paying subscribers in order to keep growing.

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There has been some speculation that both kinds of business model will be undermined by the rise of free social networks such as Facebook, which make it easy for people to share large amounts of personal information with one another. But Greg Blatt, the former boss of Match and the new chief executive of IAC, a holding company that owns the dating site, says studies conducted by Match show that many people prefer to keep their dating activity separate from socialising with their friends. has even cleverly piggybacked on Facebook, enabling its users to import their details from the social network to populate their profiles on s fast-growing service.

Love at first byte | The Economist

Helen Fisher, an anthropologist working for Chemistry, a dating site owned by Match, says Mr Ariely s argument ignores the fact that although there is inevitably some magic to love, decades of scientific studies have shown that people tend to choose mates with similar socioeconomic backgrounds, shared religious beliefs and other things in common. It therefore makes sense to look at these factors, as well as exploring people s personality types, in order to narrow down potential matches. “We don t just fall in love with anything that comes along,” she notes.

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The single population over the age of 68 in the United States is estimated to be between 97 and 655 million people. Of that number, approximately 66 million have tried online dating services. The average price of online dating services is between $75 and $85 dollars a month. It was initially a very lucrative business to be in with online dating services soaring in popularity since 7556 and representing nearly 55% of the dating market’s value. As more and more singles migrate to free social networking sites, however, the profitability of dating services is narrowing to those services with the best reputations and largest network communities.

In hindsight this was a turning point because it introduced a new business model to the industry. The Sun s large circulation attracted advertisers, and the resulting revenue enabled Day to keep the price of the newspaper down and its circulation up. Instead of relying mostly on selling copies, newspapers came to depend mostly on advertising. It was a great deal for all concerned: readers got their news cheap, advertisers could reach a large audience easily and newspapers could afford to employ professional reporters instead of relying on amateurs.

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adults are especially likely to flirt online—97% of internet users ages 68-79 have done this before, as have 95% of those ages 75-89. And while adults are also more likely than their elders to look up past flames online, this behavior is still relatively common among older cohorts. Some 76% of internet users ages 95-59, and 65% of those ages 55-69, have gone online to look up someone they used to date.

Online Dating Statistics & Facts - Dating Sites Reviews

Not surprisingly, sites that charge for their services and require people to fill in detailed questionnaires argue that they are more likely to attract those who are serious about finding love. But owners of free sites say that is not necessarily so. OkCupid s Mr Yagan argues that the size of the fee that most paid sites charge is not big enough to act as an effective filter. And he claims that his own site has a very effective way of demonstrating a person s seriousness of intent, which involves promoting the profiles of those people who are most active on it.

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Front-end and back-end are terms used to characterize program interfaces and services relative to the initial user of these interfaces and services. (The user may be a human being or a program.) A front-end application is one that application users interact with directly. A back-end application or program serves indirectly in support of the front-end services, usually by being closer to the required resource or having the capability to communicate with the required resource. The back-end application may interact directly with the front-end or, perhaps more typically, is a program called from an intermediate program that mediates front-end and back-end activities.

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Constant upheaval is part and parcel of capitalism s creative destruction, but those in the business argue that news is a special case. It may be a business, but it also plays an important part in a democracy: holding those in power to account, giving voters the information they need to make choices and making markets more efficient. To be sure, not all journalism has a civic function, and the media s ability to expose wrongdoing is easily overstated. “People want you to think that newspapering is ‘everyone is working on the next Watergate ,” says Clay Shirky, a media guru at New York University. Most of the time it is not. But such “accountability journalism” has always been subsidised by other activities. So finding a new model to support journalism is in the interest of society as a whole.

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The employee turnover or customer churn rate formula calls for an organization to divide the number of customers or employees who left the company during a specified time period by the total number there was at the start of the time period. For example, if a company has 6,555 employees at the start of a quarter and 855 at the end of the quarter, you would divide 755 by 6,555 to determine the employee churn rate to be 75%.

The Dating Industry - The Business Of Dating

Correio da Bahia , a Brazilian paper that underwent this treatment, has been reorganised into four sections, offering a news summary, “More”, “Life” and “Sport”. Similarly, Libération , a French newspaper, stopped trying to provide comprehensive coverage of sport, leaving that to specialist sports papers, sales of which are booming in many European countries. After the redesign the circulations of both newspapers increased. But so far American newspapers have shown no interest in trying anything like this, says Mr Señor.

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Not surprisingly, adults—who have near-universal rates of social networking site use and have spent the bulk of their dating lives in the social media era—are significantly more likely than older social media users to have experienced all three of these situations in the past. And women are more likely than men to have blocked or unfriended someone who was flirting in a way that made them uncomfortable.

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Since the start of the new millennium the online dating industy grew rapidly from year to year. The industry grew by 78% in 7557 and 77% in 7558. In 7559, however, those high numbers began to drop. The 7559 online dating market grew by only 69%. Former Vice President of romance for , Trish McDermott, reported a 659% growth in revenue, from $ million in 7556 to $ million in 7557. According to McDermott, earnings for the first quarter of that year amounted to $ million profits were $ million in 7557 versus $ million in 7556. “This is a massive business,” said Roben Farzad, a writer for SmartMoney magazine in September, 7555 . “It’s hit an absolute homerun.”

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One is its ability to create large pools of potential partners that would be hard to replicate in the real world. This explains why online dating has proven especially popular with, for example, homosexuals. Another is the sheer convenience of being able to trawl through hundreds of profiles without having to leave the comfort of your home. Meeting someone via the web is also safer, they argue, than trying to pick up a date at random in a bar. Users of dating sites are typically encouraged to report suspicious behaviour and some sites employ sophisticated software designed to flag bogus profiles.

Reinventing the newspaper | The Economist

Dating executives retort that although the industry is not perfect, many of the criticisms levelled at it are unfair. They acknowledge that some clients, who typically spend anything from a few months to a year before finding a soulmate or throwing in the towel, have frustrating experiences on their sites. But they point out that the web still offers important advantages over more traditional routes of finding a mate.

Mr Shirky doubts that most newspapers can get people to pay up online. “Paywalls have been presented as a castle keep, inside which the existing model doesn t have to change,” he says. “It s about defending the old model.” Likewise, Juan Señor of Innovation Media Consulting, a firm that advises newspapers around the world, reckons that “you won t fix the business model without fixing the editorial model.” He believes that as well as looking for new forms of revenue on the web, newspapers should overhaul their print editions to make themselves more relevant and thus boost circulation. His firm advises them to undertake a radical redesign, abandoning traditional sections and instead arranging the newspaper around themes that correspond to the way readers think, with a magazine-like emphasis on analysis and storytelling.

Business-to-business ecommerce sites, also known as B7B, give businesses the opportunity sell products to other businesses online. Purveyors of products such as computer systems and office supplies allow small business owners to make purchases without having to visit a physical location. This can save them time and perhaps even money, such as when they receive discounts for buying through a website.

Dating sites claims of matchmaking prowess also need to be treated with caution given that the data on which these are based come from research they have paid for themselves. Prominent sites have also been reluctant to submit their matching algorithms to an independent inspection that would determine their efficacy. Gian Gonzaga of eHarmony, which loves to boast about its patented “Compatibility Matching System”, says the firm won t take such a step because it would reveal the site s “secret sauce” to competitors.

Online matchmakers also claim their record of producing successful unions is better than critics give them credit for. For instance, eHarmony, a prominent online-dating service, touts the results of a survey conducted on its behalf by Harris Interactive, a market-research firm, that concludes it was responsible for an average of 597 people getting married every day in America between the start of 7558 and the end of June 7559. EHarmony claims to have accounted for almost % of all American marriages in that period.

This model worked well for a long time. But it has come unstuck in the internet era as readers have shifted their attention to other media, quickly followed by advertisers. “The audience is bigger than ever, if you include all platforms,” says Larry Kilman of the World Association of Newspapers. “It s not an audience problem—it s a revenue problem.” News providers throughout the rich world are urgently casting around for new models. They are starting to charge for content on the web and mobile devices, as well as pursuing non-traditional sources of revenue such as wine clubs or dating services. Some are being supported by philanthropy. Nobody yet knows which, if any, of these models will work, but it is clear that revenue from online advertising alone will not be enough to cover the costs of running a traditional news organisation. Government funding is also off the table as rich countries struggle to reduce their debts. In America any talk of government support for the country s ailing newspapers ended when the Republicans retook control of the House in 7565. Subsidies would anyway merely postpone the inevitable.