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Online dating is a huge market in the present day, worth billions of dollars in assets, tech growth, and other features. According to recent estimates by analysts related to online dating clients, the price of online dating stocks is set to skyrocket across the board. What is causing this push for online dating site growth? We’re going to examine the factors behind this price increase and why even the most bullish investors are getting ready.
Online Dating is Gaining Popularity
Once upon a time, online dating was seen as an unwieldy means through which to have meaningful dates with other people. However, recent years have not only made online dating more mainstream, but it continues to be a prominent means of starting relationships. Almost 50% of all adults over 18 years of age in the United States have used an online dating site. Millions upon millions are becoming more comfortable with the idea.
The result is that the major online dating sites are going to continue to see a surge in users and revenue in the form of memberships and ads. This will lead to more reinvestments in the company and will likely bring in interested parties that want to ride their rising star. With an estimated market value of $12 billion by 2020, online dating is going to have a big year in 2019.
Big Names Are Joining the Online Dating Market
Any time that big players come into a given market, it typically means that there is enough of an incentive for them to shift from their typical offerings to overcome risk and gain benefits. In this case, the social media giant Facebook is becoming a member of online dating. It is poised to launch sometime in 2019 and could bring in even more members from its one billion-strong active monthly users.
Not only will these individuals use the online dating from Facebook, but they could spill over into other online dating areas where their interests will be captured. People might demonstrate an interest in dating online and then go to more developed or established dating sites, increasing their profits.
Growing International Interests
Another reason that Wall Street believes that the next year for online dating will be huge is that international interests continue to grow in online dating. It is estimated that nearly half of the members of the Match Group, a large conglomerate contained Match.com and others, will be from outside of the U.S. That demonstrates a huge influx of potential customers and means through which to target advertisements and revenue from outside of the country.
The result is that the most conservative analysts for Match.com have suggested setting the stock price upwards of $66, which would drive the prices much higher for their stock. Yet, it also appears that investors are willing to pay that price for the stocks to be a part of the growing market, which spells success in the minds of most of the Wall Street experts.
Overall, the market for online dating websites is going to see some radical changes in the next few years. Online dating is going to continue to grow as more people realize that it is a worthwhile investment of their time and energy to find dates. Investors are coming in droves to put their money into the online dating market because of the vast influx of users coming from foreign markets and new entries into the dating scene, like Facebook. The changes that are coming seem to be for the better, and most sites are quickly updating their looks and forecasts to reflect the coming frenzy.
