Category: Amigos

FriendFinder Networks Could Look To Sell Non-core Businesses

Posted on October 27, 2009

Ffn logoMERGER MARKET – Oct 26 – FriendFinder Networks, formerly known as Penthouse Media, filed for an IPO in December, anticipating $460m in proceeds to help pay off its debt. FriendFinder could look to sell off non-core pieces of its business that may be distracting to potential investors including GradFinder and Christian dating site BigChurch, online dating industry consultant Mark Brooks said. The company would likely keep its highly lucrative adult sites. Its adult social networking and live interactive video sites comprised 95% of the company’s revenue, as of six months ended 30 June 2008. FriendFinder’s international properties could also be spun out to a media company with more expertise in certain geographic markets, said Noel Biderman, CEO of Toronto-based Avid Life Media, the holding company of dating sites like HotOrNot and Ashley Madison. He pointed to IAC-owned Match which took a 27% stake in European dating operator Meetic in February, in exchange for Match’s European operations, as an industry example of this. In the case of FriendFinder, its Latino dating site Amigos has a strong membership base, and could be sold to an acquirer that can better grow and monetize the brand, Brooks noted. FriendFinder’s sites may fetch 7x to 8x EBITDA, Biderman said, using Match’s USD 80m acquisition of People Media in July as a comparable transaction. FULL ARTICLE @ OPW

Mark Brooks: FriendFinder's successful IPO and continued strong performance is critical for the reputation of the internet dating industry. FriendFinder could indeed look to sell its non-core businesses. Here's what I told the reporter…"GradFinder is a significant property that could be developed out to compete with Classmates.com.  …BigChurch is a misfit community for them. They have been chastised by the Christian community for running the site. It should really be sold. Amigos has lots of traffic, is a great name, but South America still doesn't monetize anywhere near as well as the rest of the world.  So its a longer term play for a potential acquirer, but the future is pretty clear, it will eventually make good money. FriendFinder needs to have money in the bank, and make good money quickly, so I think these communities would be most suitable for selling."

See all posts on FriendFinder           See all posts on Match.com
See all posts on BigChurch              See all posts on Meetic
See all posts on HotorNot                See all posts on Amigos
See all posts on AshleyMadison       See all posts on People Media

 

OKCupid Is Advertising eHarmony, Parship And Meetic

Posted on June 6, 2008

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OPW — June 6 — OKCupid is being a good sport and is sending traffic to some of its competitors, for free! If you take the OKCupid’s "dating-personality-test", at the question 43. they ask about genital diseases and state "if yes, click here" and link out to a leading dating site. In Germany the link used to take users to FriendScout24. After FriendScout24 complained, they swapped the link out with "parship.de". In France OKCupid sends people with genital diseases to meetic.fr, in Spain to amigos.com, in the USA to eHarmony and in Brazil to Terra.com.br. – Mark Brooks

Let’s Say You Want To Date A Hog Farmer

Posted on April 28, 2008

Farmers_only_upoutavka NY TIMES — Apr 27 — A growing number of people have found love on dating sites that pair members based on a specific shared interest or background, like Nerdsatheart.com, DateMyPet.com, STDmatch.net and Veggielove.com. "Singles are increasingly eager to narrow the audience and really target their needs," said Mark Brooks, a consultant who keeps his own blog, OnlinePersonalsWatch.com. "It's the same reason why Procter&Gamble makes so many detergents. We are all drawn to things that cater to our very specific desires." According to Hitwise there are now 1,378 U.S. dating sites, up from 876 three years ago. Mr. Brooks estimates that 44% of those sites in the U.S. are niche sites, up from 35% in 2006. Large companies like Match.com, eHarmony, Yahoo Personals and SinglesNet.com have the general market cornered, Mr. Brooks said, "the only real entrepreneurial opportunities left in the online dating world lie in the niche market." FarmersOnly.com has attracted 90,000 members so far, 50,000 in the last year alone. One month's membership costs $15.95. Mr. Brooks said the most successful niche sites pair people by race, sexual orientation or religion. The 20 most popular dating sites this year as ranked by Hitwise include JDate, Christian Mingle and ChristianCafe.com, Manhunt, Love From India, Amigos, Asian People Meet, and Shaadi. "A few years ago, a company called Spark Networks was putting major funding into its general dating site, American Singles," Mr. Brooks said. "But when executives saw that the Jewish market was huge and relatively untouched, they switched gears and ratcheted up JDate." FULL ARTICLE @ NY TIMES. Also in THE LEDGER