A Dating site that is financially incentivized to create matches
Let's face it. Every dating site sucks. Why do they suck? Because their business model (monthly subscriptions or in-app purchases) creates no incentive to actually find suitable matches for people. Each time they create a successful match...they churn two users from their platform. Ouch. As a result of this, the only innovation you see coming from these companies is improved marketing and user sign-up flows. No investment in the matchmaking experience.
How can we create a business model aligned with positive outcomes for its users? Here's my proposal:
- When you sign up you are charged a $100 dollar deposit
- If you don’t find anyone to start a relationship within a year, you can request to get your money back
- Company is incentivized to get you matched with someone good...so that you don’t request your money back
- In the meantime the company is cashflow positive and can invest the money in the market to generate a return (like a university’s endowment)
Thoughts? Other proposals?
You got to think about the tech and algorithm, instead of how you're thinking about it. Companies are naturally incentivized to try to match people already.
No one will deposit money either.
What's your background?
How are existing dating companies financially incentivized to create successful long term matches?
I'm a former data scientist, now turned PM.
This is one of their KPI's. A better match results in more people using the app. People are on apps where good matches are being created, and they leave the ones that aren't.
You have to think about how to match people based on personality, hobbies, interest, etc.
That would be a good value add/contribution if you create a dating app.
But how will you actually solve the problem finding suitable matches for people?
I think people will care more about how you'll help them find the love of their life as oppose to how you're innovating on the business model of dating companies.
The biggest assumption I see here is: Are women going to really pay $100? You really need to test this.
Good call out. Certainly needs to be a female driven marketplace. I do think there's some benefit in framing it as a deposit rather than a payment...but could learn a lot from talking more to those potential users. Match/ eharmony/ etc charge female users as well...right?
This comment was deleted 4 years ago
This comment was deleted 4 years ago