DATE ISSUED : JANUARY 2013

JANUARY 2013 BUSINESS NEWSLETTER

News Online Xchange

News Online Xchange (NOX) is the o cial monthly business newsletter of New Media Services Pty. Ltd. It serves to give up-to-date information on the products and services under the NMS brand, as well as news involving the Web and Mobile industries.

The Love App: The Rise of Mobile dating

Online dating moves into the realm of smartphones, and with more than 1.3 billion mobile phones sold worldwide, theres never been more sh in the sea.

Mobile Dating, the new IN thing?

Information technology has been used to assist with nding and matching new partners since the 1960s, when th rst attempts were made to match individuals from completing questionnaires. Today, technical developments and social venues allow for richer methods of presenting ourselves and interacting with one another. In a society that picked up mobile devices like tablets and smartphone, mobile services respond to the mobile needs or desires of owners, like the online dating market.
Just when we thought technology had nally outdone itself with online dating, it goes one better with cell phone dating. Does it get any easier than this? Since 2009, mobile dating applications are gaining popularity. In the last ten years, looking for romantic partners through Internet Dating has become more visible and is a common strategy for mate selection; this search strategy emerged amid important social, demographic, and technological changes.

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Cell phones are not just for calling anymore. They went from talking and voice mail, to text messaging, to taking pictures, to tracking our location via GPS (not always necessarily in that order), and now to dating. Cell phone dating is so popular in some countries, like Japan, that it's overtaken online dating. Now the phenomenon has spread to the USA to the tune of six million mobile-daters, and more coming onboard every day.

Most active cities in Mobile Dating: New York, London, Los Angeles, Melbourne and Hong Kong

4 out of 5
People surveyed prefer mobile dating to online dating sites

600
online dating pro les get viewed each minute

almost

61%
are more likely to hook up on a mobile dating app than an online dating site

average person looks at

20+

online dating pro les a day

47

Average person sends almost

messages a day via our app

9
conversations are started each minute

1
person logs into our app each minute because a potential match is nearby

of active mobile userbase is between 18-25

Favorite Mobile Dating Features

33
%

Browse Private IM

50%

of daily active users have 3+ dating sessions a day

23

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The Mobile Matchmaking Business:

The X Factor

Lovebirds are ying around, ready to be caged by the Mobile Matchmaking Industry. The industry is not just interested in the money of these lovebirds; it is also pressured to deliver these lovebirds their destined Mr. /Ms Right. For decades, the online matchmaking has existed. Hundreds of websites were created and developed to help these lovebirds look for their match. Nowadays, mobile matchmaking allows users to connect with each other anytime and anywhere. Some mobile apps were really successful; others were unfortunate. What are the factors that make these sites and apps a match to users?

Mobile Web Design

Marketing

Innovations. Ingenious website and app features draw public curiosity and media attention. Thus, having creative people around and a bank of new ideas is a big plus. Search Engine Optimization (SEO). Depending on advertisements for publicity is not recommendable. Targeting the niche with proper keywords and other SEO tools bring more success (and more money). Support Blogs. Users are not just after meeting new people and getting a new love. Users also need pieces of advice when it comes to maintaining an a air and getting laid in just three moves. Blogging is an excellent way of supporting these user needs. Premium Services. Paid services are the lifeblood of a site. Users may sign for free but they needed to pay an amount to enjoy some premium services. Users are willing to pay as long as they get the value of their money.

Rank

SEO
HTML
Optimization

Blog
3

Internet

The mobile matchmaking industry is catered at almost everyone: people who love the idea of interracial marriage, busy professionals who lack time for the traditional way of socializing, and people who do not like to marry someone in the neighborhood. The industry will always prosper as long as the quest for love in life is there.

Forecast for the Mobile Dating Market

- Over the next 4 years to 2017, revenue for the US mobile dating market is expected to nearly double. - From 2013-2017, revenue is projected to rise at an average annual rate of 14.3% to $415.3 million

Year
2013 2014 2015 2016 2017

Revenue ($)
251.2 million 295.0 million 340.4 million 381.0 million 415.3 million

Growth
18.2% 17.4% 15.4% 11.9% 9.0%

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What Will Make You Rich in Mobile Dating

Charging users in return for a special service is the business part of the mobile dating industry. Users are willing to give you their money just to subscribe to a rst-rate online dating experience. Here are services that you can deliver to your users in return for a fee:

Private Chat. Users are willing to pay as long as they can exchange messages to someone they really wanted to be close with. Personal Inbox. They love to create their own personal inbox mail. They can give you more cash if you grant this wish. Details Security. Some users like to hide some details in their pro le. They can pay to hide these from other users or from a speci c user. More Space. Having unlimited picture and le uploads is awesome. Users would love to pay to get a space upgrade, especially if they want to brag about their hot nude images. Filters. They love using an enhanced pro le search tool or pro le lter function to get a shortlist of interesting users. Customizable Pro le. They can pay as long as they can customize their pro les with eye-catching designs, to attract more users. Elite Groups. They are willing to purchase credits so they can join exclusive communities to get expert advice, and get connected to a speci c group of users of their choice. AGPS-enabled app. Users want to connect with people that are just within their vicinity. This narrows down their own demographics.

4 5 6

Challenges for the industry

Data pricing fees are expected to increase

By 2016, the average smartphone will generate 2.6 GB of tra c per month the average usage on a tiered pricing plan is half that of an unlimited plan

100% 75%

Security concerns Usability

Opportunities for the industry

Rising smartphone adoption rates
IBISWorld forecasts that by 2017, 80.9% of the US population will own a smartphone

50%

25%

Location-based services
-Total consumer user base of location-based apps projected to reach 1.4 billion by 201415 -Nearly 1 in 5 smartphone users (17.6%) use check-in services16 -In March 2011, 16.7 million US mobile phone subscribers used location-based services16

0%

Baby boomer generation

This demographic is expected to have one of the highest rates of smartphone adoption Currently the fastest-growing demographic for online dating companies

2004

2005

2006

2007

2008

2009

2010

2011

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How Mobile Apps Changed the Online Dating Landscape

In the third quarter of 2012, the number of smartphone users has risen to above a billion. Strategy Analytics senior analyst Scott Bicheno believes that Apples iPhone catalyzed the growth of the industry. The smartphone, which combines the basic function of a feature phone and the computer, is expected to take over the desktop as the leading technology for web sur ng in the coming years. Groupon CEO Andrew Mason claims that mobile users spend about twice as much as their desktop counterparts. Smartphone is now an excellent tool in accessing news and information, shopping goods and products, banking and subscribing to services, enjoying various media features, and nding love and connections. These were once limited to desktop users only; the arrival of the smartphone broke the exclusivity of these services. In a recent Flurry survey, it was pointed out that the mobile dating app is one of the most frequently accessed apps on mobile phones. Participants of the survey admit that they have visited mobile dating apps almost seven times a week (almost every day). Furthermore, ComScore found out that 5% of the time in mobile social apps is spent on dating apps.

Mobile dating apps introduced the following bene ts:

1 2 3 4 5 Online dating in users time and preferred place Easier site navigation Di erent types of message noti cations Social networking account integration GPS capabilities to nd prospective dates within the local area at the time of searching.

With the rise of mobile apps, online dating is now more user-friendly and engaging. Among the trends that dating mobile app developers are taking into consideration are Operating Systems synchronization and HTML 5 Smartphone facilitation. These trends will surely bring innovations to the online dating landscape in the coming years.

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