Facebook recently made public their F8 conference that looks to create and roll out a new dating feature on its popular website. The Swipe Left On Facebook’s Dating element officially deemed Facebook an official competitor to the long list of adult dating merchant account holders in the market, counting present bigwigs like the Match Group (MTCH) and Bumble among others.
The leading social media site’s move to join the web-based dating arena may prove a goldmine for the company as the industry is already experiencing fierce competition. Plus, users may fall in love with the idea of merging their online dating life with their already existing Facebook profiles.
For Facebook, up is the only way— the site maintains an overall growth trajectory—but market analysts are still not sure of the impact regulatory and competition challenges may do to the new dating feature. And while Swipe Left On Facebook looks peculiar, it may likely cause a minimal impact on Facebook’s bottom line.
Cut-throat competition awaits!
Much is going on in the online dating industry. And despite its risky nature, the business keeps gaining popularity and acceptance among the public, particularly Millennials who use smartphone apps like the Tinder from The Match Group.
In fact, a statistic estimated at 30 percent the portion of active online daters aged between 18 and 29. Another 31 percent have previously used these apps or dating sites.
But the issue doesn’t lie solely on public approval and user activity; rather, on valuable or profit-generating user activity. As of the 2017’s final quarter, The Match Group was hosting a whopping 7.044 million subscribers (all paying) resulting in $1.330 billion total revenue last year.
On the surface, Facebook’s decision to join the online dating industry may look like a wise move. And why not; if all other existing dating apps are linking to a user’s Facebook account for both matching and identity verification purposes.
Speaking at the T8 launch announcement, Facebook’s CEO Mark Zuckerberg said that currently, Facebook holds over 200 million users who have stated they are “single.”
Market analysts see Swipe Left on Facebook as a bold move that Facebook makes only weeks after the release of the scandalous Cambridge Analytica data and second scandal in which a worker from Facebook was dismissed for “stalking” (accessing) user data.
Other market leaders like Match Group were visibly not happy, perhaps a little scared about Facebook’s venture into the now lucrative the online dating jargon.
Author Bio:Electronic payments expert Blair Thomas co-founded eMerchantBroker, serving both traditional and high-risk merchants including adult dating merchant account holders. His passions include producing music and traveling.