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Snack, where TikTok meets dating, gets $3.5 million in funding

After online dating’s tremendous 2020 growth that culminated in last week’s epic Bumble IPO, a new entrant has tossed its hat into the dating app ring.

Snack, founded by Kimberly Kaplan, looks to merge the popularity and format of TikTok with the dating world. Kaplan hails from Plenty of Fish, where she was one of the earliest employees at the dating site. She led product, marketing and revenue and was on the executive team that eventually sold PoF to Match Group for $575 million in 2015.

Kaplan said that she noticed a specific user behavior among folks using dating apps, particularly the coveted Gen Z demographic. Essentially, folks would match on Bumble or Tinder and immediately move the connection over to apps like Snap and Instagram, where they would watch each others’ stories and more casually flirt, rather than carrying on in a more high-pressure DM conversation on the dating apps.

Around the same time, TikTok surged in popularity, showing a shift in the average consumer’s attitude toward creating short-form video on the web.

Snack is a video-first dating app that asks users to create a video and post it to a feed. Other users can scroll through a feed (à la Instagram) rather than swipe right or left on individual profiles, and when someone likes a video, it opens up the ability to comment. Once two users have liked each others’ videos, DMs are open.

The app is still in its early days, so there is no location filtering yet to ensure that everyone who joins the app has a full feed of videos to browse through. Kaplan said that Snack is also working on video editing features similar to that of TikTok to let people get super creative with their profiles.

Thus far, Snack has received $3.5 million in funding, led by Kindred Ventures and Coelius Capital, with participation by Golden Ventures, Garage Capital, Panache Ventures and N49P.

Though we’re still a ways away from monetization, Kaplan says her experience in the dating space should be beneficial when looking to generate revenue at Snack, and that the startup will likely follow the same playbook as other dating apps, employing premium subscriptions and potentially ads.

There are 10 people on the Snack team, and Kaplan says that the team is 60% diverse with 40% of employees being visible minorities.

“The biggest challenge is going up against big players that have a lot of capital,” said Kaplan. “Starting out is hard and getting that initial foothold is hard. I fundamentally believe in our product and I see this open opportunity in the market. I very much believe someone will come in and usurp Tinder, and it’s going to be around video.”

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Jigsaw scores $3.7M to slow down your dating swipes

Chalk one up for Jigsaw, an “anti-superficial” dating app that has scored £2.7 million ($3.7 million) in seed funding to put toward U.S. expansion. The round is led by a lead generation company for online dating companies, called The Relationship Corp., with backing from angel investors in the U.S. and U.K. “primarily” in the tech sector.

As the startup’s name suggests, Jigsaw adds a little cryptic fun to the transactional business of swiping photos of other singles in search of dating chemistry in a bid to offer a less superficial experience.

Albeit their (patented) anti-superficial twist looks a tad gimmicky at first blush: They literally superimpose a digital jigsaw over the faces of users, with pieces removed gradually the more you interact — and the full face only revealed after a pre-set amount of in-app engagement.

Digital filters are also banned, per the app’s FAQ; they only want “real” selfies. So no cute cat ears, etc. 

They’ve got a few more tricks up their sleeve but don’t want to offer a public reveal of the planned features we guessed were coming just yet (but, well, a quick glance at the app and it’s basically a half finished jigsaw puzzle of their product roadmap).

The U.K. startup — which was founded back in 2016 by a couple of friends, Alex Durrant (co-founder and CEO) and Max Adamski (co-founder and CPO), when they were at university (and finding the dating app scene frustratingly superficial, as they tell it, going on to quit their jobs and go all in on the project in 2018) — launched its puzzle-faced dating experience in London in 2019; and opened up to the U.S. in November last year.

Jigsaw has some 150,000+ registered users across those two markets at this point, with 50,000 in the U.S. — and an appetite to step things up over the pond now that they’re flush with new funds.

Durrant says the team is hoping to hit half a million U.S. users in the next six months. They reckon there’s a trend toward less superficial swiping in the American dating app scene that Jigsaw is well-positioned to tap into.

“We’re not insane and think people look better with puzzles over their faces, I promise, the puzzle is our middle finger to the superficial dating industry,” he says. “It exists as you say to encourage more meaningful/sustained interactions and to help users look beyond the looks.”

Currently, Jigsaw’s face-shielding mechanism involves a puzzle made up of 16 pieces. All photos start with one piece removed “so you get a sneak peek”. Another then comes off when a user likes (matches with) the person so at the start of chatting there are two pieces revealed.

More pieces are removed as the pair mutually exchange messages until there’s no more puzzle bits left. Hopefully you also won’t run out of conversation at that point.

“Over six messages each (12 in total) is what we believe is the minimum needed for a meaningful conversation,” says Durrant. “That’s why the jigsaw puzzle currently unveils fully after seven messages are exchanged (14 pieces revealed in total), revealing the face underneath. This number has been tested and this is the current sweet spot for our users.”

Jigsaw isn’t unique in the concept of shielding facial visuals to encourage dating app users to do more chatting and less mindless swiping. There are a whole bunch of “slower reveal” style twists aimed at reducing “dating app fatigue” — as another app, INYN, which also limits the velocity of the profile reveal, puts it.

Another app which blurs users’ photos until they do some chatting is Taffy. There’s also Muslim matchmaking app Veil — which offers a “digital veil” feature (aka an opaque filter) that it applies to all profile photos, male and female, until a mutual match is made.

Other “anti-superficial” dating apps, like Willow, try a Q&A style approach — getting users to answer questions to see more photos. The list goes on.

Still, Jigsaw has come up with perhaps the most visually obvious (and gamified) twist on this slow-reveal format. And being so immediately, well, obvious, it might make its “slow reveal” twist stick for longer than the average “love is blind” alternative dating app.

Its seed investment is not about buying users, either. We made sure to check.

The Relationship Corp. does offer user acquisition/traffic generation services to dating apps — including those it invests in — but in Jigsaw’s case the investment is a straight equity investment, per Durrant. So it’s at least sounding confident in its ability to grow.

“They’re super low-key but are known in the industry,” says Durrant of the lead seed investor. “Steve Happas their CEO is ex-Match and… sits on our advisory board [as part of the investment]. We had an option to work with them to acquire users but instead, they are supporting our internal team in an advisory capacity.”

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Tinder now testing video chat in select markets, including US

Tinder announced this morning it will begin to test video chat in its mobile dating app with some members in select worldwide markets, including in the U.S. The feature, which allows Tinder matches to go on “virtual” dates when both opt in, will first be available to users in Virginia, Illinois, Georgia and Colorado in the U.S., as well as in Brazil, Australia, Spain, Italy, France, Vietnam, Indonesia, Korea, Taiwan, Thailand, Peru and Chile, also with some members.

Parent company Match had first promised it would introduce video chat in Tinder as part of its Q1 2020 earnings report and touted the feature as a way Tinder was evolving its business in the face of the coronavirus pandemic. The company had also then detailed the pandemic’s impact on its app, which had slowed Tinder user growth in the quarter as social distancing requirements and government lockdowns went into effect.

Tinder ended Q1 with 6 million subscribers, up from 5.9 million in December 2019 — meaning it only added 100,000 paid subscribers during the quarter. For comparison, in the year-ago quarter it added 384,000 paid users. Tinder’s average revenue per user (ARPU) also grew just 2%, mainly due to purchases of à la carte features, not subscriptions.

Tinder parent Match says it had tested video at various times before the COVID-19 outbreak, but said it never saw significant adoption. The pandemic has changed things, however. Today, Tinder allows users to search for matches worldwide through its Passport feature, making its dating app more of a social network. Meanwhile, Tinder users who do want to date now feel almost forced to use video for their early interactions instead of going on briefer “getting to know you” coffee or drink dates, as before.

Without a video option in the app, these users often turned to third-party apps like Snapchat or other video chat apps for these early connections. Meanwhile, daters who prioritized a video option may have even made the switch to rival Bumble, which has offered video for a year. Facebook also recently said it would add video for its Facebook Dating users, as a result of the coronavirus pandemic, forcing Tinder’s hand.

Image Credits: Tinder

The new feature itself is simple to use. Once two people have matched and are chatting in the app, they can indicate they’re ready to move to a video session by tapping the new video icon. The clever part is that the feature itself isn’t enabled until both matches opt in. The company notes that Tinder users won’t be informed if a match toggles on the video chat feature. The idea is to wait until the discussion comes up naturally, as it often does in a text-based chat.

When both users have toggled on video chat, they have to agree to ground rules before the chat begins. Tinder says calls should remain “PG,” with no nudity or sexual content. The chats are also supposed to stay “clean,” meaning no harassment, hate speech, violence or other illegal activities. Users also agree calls will need to be age-appropriate, meaning without minors involved.

The feature, which Tinder calls “Face to Face,” is enabled on a match-by-match basis, not universally for all matches.

How exactly Tinder plans to properly moderate what appears to be a fantastic new solicitation platform remains less clear. In addition, Tinder’s move to embrace video means it could be putting sex offenders in front of the camera. As an investigative report last year from ProPublica found, most of the Match-owned dating apps, including Tinder, were not screening for sexual predators.

For now, Tinder says users are asked to review the call when it wraps.

In a pop-up, users who finish a video call will be asked whether they would go Face to Face again. Here, they’ll also have the option to report the user, if needed. These sorts of retroactive rating systems don’t do much for anyone who feels unsafe in the moment, of course, and it’s not clear to what extent Tinder will step in to police calls in progress.

Asked for specifics, Tinder declined to share. (In an earlier report, Tinder CEO Elie Seidman suggested Tinder would use machine learning models to monitor chats.)

Also unclear is to what extent Tinder would step into to stop what may otherwise be consensual sexual activity, including of the paid variety.

Tinder doesn’t seem worried about these off-brand use cases for video chat, however. It says it recently surveyed around 5,000 members in the U.S. and around half of them have already had video dates with a match off its platform over the past month, indicating a willingness to try video for online dating. In addition, 40% of Gen Z members said they wanted to keep using video as an initial step before agreeing to meet in real life, even when places like restaurants and bars were re-opened.

“Connecting face-to-face is more important than ever, and our video chat feature represents a new way for people to get to know one another in-app no matter their physical distance,” said Rory Kozoll, head of Trust and Safety Products at Tinder, in a statement about the launch. “Face to Face prioritizes control to help our members feel more comfortable taking this next step in chats if and when it feels right for them. We’ve built a solid foundation, and look forward to learning from this test over the coming weeks,” Kozoll added.

The feature is launching in testing only starting today, in select markets.

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M17 sells its online dating assets to focus on live streaming

M17 Entertainment announced today that it has sold its online dating assets to focus on its core live-streaming business in Asia and other markets. Paktor Pte, which operates Paktor dating app and other services, was acquired by Kollective Ventures, a venture capital advisory firm. The value of the deal was undisclosed.

In its announcement, Taipei-based M17 said the sale will allow it to focus on expanding its live-streaming business in markets including Taiwan, Japan and Hong Kong.

Earlier this month, the company said it had raised a $26.5 million Series D that will be used for growth in Japan, where M17 claims a 60% share of the live-streaming market, and expansion into new places like the United States and the Middle East. Its live-streaming apps include 17LIVE (an English-language version is called Livit), Meme Live and live-streaming e-commerce platforms HandsUP and FBBuy.

In a statement, M17 CFO Shang Koo said, “As our Japan live-streaming business has skyrocketed, we found we were unable to devote the same level of internal resources to our dating business in Southeast Asia. Becoming independent will allow Paktor to control its own destiny as M17 focuses heavily on the future of its streaming services in our largest market, Japan.”

Paktor will operate independently of M17 after the sale, but Koo said, “we hope to continue working with Paktor on future business cooperation and will always value the synergy and teamwork between M17 and Paktor.”

M17 was formed in April 2017 when Paktor merged with 17 Media. A year later, M17 was supposed to go public, but cancelled its initial public offering on the New York Stock Exchange on the same day it was supposed to start trading, citing “issues related to the settlement” of shares that CEO Joseph Phua later explained in detail to Tech in Asia.

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Tinder launches a Spring Break mode

Tinder, the dating app company which, as of late, has been more fully embracing its status as the preferred hook-up app of choice for the younger generation, is today launching a new feature designed for its college-aged Tinder U users: Spring Break mode. The feature will allow students to swipe through potential matches before heading out to their Spring Break destination.

Here’s how it works.

From March 4 through March 31, 2019, Spring Break mode will go live in Tinder, offering 20 popular destinations, including Cabo, Lake Havasu, Las Vegas, Miami, New Orleans, Puerto Rico, Puerto Vallarta, San Diego and others. To opt in, Tinder U users will need to look for the Spring Break card while swiping.

When they see it, they can then select their Spring Break destination to see who’s going. This destination will then be shown to potential matches through a badge on their profiles.

The idea, says Tinder, was inspired by trends the company was already seeing in product usage during this March time frame, when there would be huge upticks in some cities and locations. For example, South Padre Island experienced a 100x increase in activity in March 2018 compared to the previous month; Panama City saw a 10x increase; Destin Beach a 6x increase; and both Cabo San Lucas and Lake Havasu saw a 2x increase.

In addition to using its own data from past spring breaks, Tinder also consulted with its Tinder U users about which destinations to include.

“Spring Break, like Tinder, is a staple for many college students across the country,” said Jenny Campbell, chief marketing officer at Tinder, in a statement. “We’ve historically seen huge upticks in Tinder usage during Spring Break in these destinations, and we are excited to give users the unique experience to connect before they pack their bags,” she said.

The new feature is one of several ways that Tinder is focusing on its more casual use case, as of late. Last November, the company told investors during its Q3 earnings that it would begin marketing the app as a way to enjoy the “single lifestyle” — that is, catering to a younger demographic’s demand for wanting to date around while in their 20s — before they’re ready to settle down.

Tinder had also begun an online publication, Swipe Life, and is running various advertising campaigns related to this initiative.

For years, Tinder had tried to downplay the app’s more casual nature, but it’s now able to change course due to its acquisition of dating app Hinge. Similarly aimed at younger users and millennials, Hinge is focused on creating relationships, not hook-ups. That frees up Tinder to refocus on what it does best: quick matches.

Tinder parent Match Group had hinted at its plans for Tinder U during its earnings call earlier this month.

“In 2019, we are planning to solidify our leadership position among college students by expanding Tinder U to cover even more schools throughout the U.S. while also launching Tinder U in select international markets,” said Match Group CEO Mandy Ginsberg, speaking to investors. “We’re also expanding marketing through our on campus brand ambassadors and social media influencers. Expect to see more events and marketing tied to the school social calendar such as Rivalry Week and Spring Break,” she noted.

However, by shifting focus more toward a younger, less established customer base, Tinder could be challenged on the revenue side, as college students are less likely to have disposable incomes for things like a paid Tinder Gold subscription. Instead, Tinder will need to generate revenue from these users through in-app purchases — like Boost and Super Like (the latter which is often used by mistake, turning it into a running joke on the dating app).

Tinder said it’s considering rolling out a wider range of à la carte features in the future, and plans to focus on this aspect of its service, as well, in 2019.

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Dating app Hinge is ditching the Facebook login requirement

Hinge, the dating app that promised a better set of prospects by suggesting matches who share Facebook friends, is about to radically change its course: it’s ditching its requirement that users log in with Facebook. The change will go into effect on Monday, June 5th on Android, followed by a June 12th release on iOS.

While the option to use Facebook won’t be fully removed, users will instead be able to choose to authenticate using their phone number, the company says.

The decision was prompted by ongoing requests from users who have asked for a non-Facebook login option, Hinge founder and CEO Justin McLeod says. This is especially important to the company as people “move away from Facebook and onto other platforms,” he notes.

This may refer to younger users’ preference for different social platforms, as reflected by a Pew Internet survey released this week, which found that teens are dumping Facebook proper for YouTube, Snapchat and (Facebook-owed) Instagram. 

But Hinge isn’t the first dating app to go this route. Bumble also recently said it was removing the Facebook requirement, in response to user feedback.

In Hinge’s case, however, the decision changes the dating app’s fundamental value proposition, which was focused on matching singles with people they were already connected to by way of Facebook friends, up to three degrees away. The premise was that this would make online dating feel less creepy. And, because you shared mutual friends, you’d be less concerned that the person was a total nut.

This also helped Hinge stand out in a space that’s dominated by Tinder, which could often seem random and filled with those not in search of “real relationships,” let’s say.

Over the years, Hinge doubled down on this brand position with call-outs like “meet friends of friends, not randos” in its marketing materials.

Its user profiles, meanwhile, focus less on users’ looks — unlike the Hot or Not-ish Tinder. Instead, users answer getting-to-know-you questions and share fun, personality-revealing facts on their profile, along with photos and videos. But the goal is to present not just the person’s face or body, but their goals, interests and way they view the world.

Hinge had also experimented with features that make online dating less frustrating, ranging from anti-ghosting reduction features to an app that allows your friends to take over for you. (This has since shut down.)

It’s unclear how well these moves have paid off for Hinge in the long run, as the company won’t share user numbers. It will only say the active member base has doubled since the beginning of the year. However, Sensor Tower estimates Hinge has more than 3 million worldwide downloads across both iOS and Android, 94 percent of which are in the U.S.

The removal of the Facebook requirement, not at all coincidentally, comes at an interesting time for dating app businesses in general, which have just learned Facebook now aims to compete with them directly.

In May, Facebook announced a new dating feature that would allow people to meet non-friends. Hinge took notice, as did others.

“Facebook Dating Looks a Whole Lot Like Hinge,” wrote Wired, for example.

Our team watching the #f8 conference: pic.twitter.com/vCwP3qpgzE

— Hinge (@HingeApp) May 1, 2018

“It’s interesting to see a company facing so many privacy concerns enter one of the most intimate spaces in tech today,” McLeod says of Facebook’s dating plans. “We’re flattered they chose to copy our designs, but ultimately we’re not worried about them as a competitor – our members are increasingly moving away from Facebook as a platform.”

Burn. 

The updated Hinge app will offer users three ways to use Hinge: 1) they can continue to log in with Facebook as usual, 2) they can log in with their phone number, or 3) they can log in with a phone number, but use an option in the app to import select bio information from Facebook, for convenience.

After filling in the profile, users can disconnect from Facebook without losing the imported information, Hinge notes.

Hinge doesn’t believe the move away from Facebook as the underlying network will have an ill effect. Because of its robust profiles, which allow for the liking of individual pieces of content, it thinks its machine learning algorithms have advanced to the point where they can surpass “friends of friends” as a predictor of compatibility, the CEO says.

“Friends of friends is a symbol for what Hinge truly stands for: humanizing modern dating and fighting against the culture of shallow swiping,” says McLeod. “As the Hinge community continues to grow and evolve, we’re not relying on a single feature to best match our members; instead we’ll remain at the forefront of product development and double down on giving our members’ the best offline experience,” he adds.

It’s not hard to get on board with Hinge’s overall vision, but its app is still dwarfed by Tinder, which is now estimated to have more than 50 million users. Rival Bumble is growing as well, with some 22 million+ users. And because dating is ultimately a numbers game, Hinge needs the no-Facebook-needed policy to really boost its own.

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Tinder is testing a feed of real-time updates from your matches, including posts from Instagram and Spotify

 Tinder announced today it’s beginning a test of a new feature called “Feed” designed to help users learn more about their matches. The Feed, which will appear as a tab on the Messages screen, will include real-time updates from those you’ve already matched with, including things like recently added Tinder photos, plus Instagram posts and your Top Artists and Anthems… Read More

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OK Cupid revamps to be less like Tinder, more political

email Just in time for Valentine’s Day (ugh, sorry), dating app OK Cupid is getting a makeover. Psych!  Just kidding, the company is introducing a new version of its mobile app today, but OK Cupid’s full redesign won’t actually roll out until March. Though the timing of the announcement is clearly manufactured, the overhaul itself is fairly significant. In addition to getting… Read More

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ODately Is A Concierge Service Taking Aim At Cash Rich, Time Poor Online Daters

online dating Who has time to swipe Tinder these days? Or wade through the seven circles of weird messaging hell on OKCupid? Too many people, evidently, which is why the whole online dating thang can feel more like being forever stuck in digital dating limbo. But never fear! A bootstrapping London-based startup is preparing to fix this problem — for a fee. Read More

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Forget Self-Destructing Messages, Buzz’s New App Offers Self-Destructing Connections

banner Today, there are a variety of apps to choose from if you just want to privately chat with friends or even place phone calls without having to give out your real phone number – for example, Google Voice, Burner, kik, Viber, Whatsapp and others are popular choices. But these apps aren’t fully private. Users still have to provide a phone number or email when creating an account, or,… Read More

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