For a monthly fee, the new mobile dating and texting society adopted by the millennial culture has created a cottage industry that replaces old methods of finding a date, a husband or a wife, providing more power to founder Rose Gong, who adjusted the US-based model and adapted it to the Chinese culture.This helped to grow her user base, and today she has a difficult decision to make regarding taking her company private after utilizing the US public markets to raise capital.The headline wasn’t a big mover for the social media giant, but it did deliver a knockout punch to the current leader in online dating (and online dating stocks) — Match Group Inc (NASDAQ: MTCH)." data-reactid="11"All the single ladies — and gentlemen — got some good news this week when Facebook (NASDAQ: FB) announced that it would be getting into the dating game.The headline wasn’t a big mover for the social media giant, but it did deliver a knockout punch to the current leader in online dating (and online dating stocks) — Match Group Inc (NASDAQ: MTCH).Past performance is not a guide to future performance.The value of an investment and the income from it can fall as well as rise and you may not get back the amount originally invested.In October 2010, Jiayuan started its wedding planning service Xique.com, which focuses on setting up the home with a variety of related services.Online dating is a huge business, and social media has helped this business grow over the last decade, making millionaires out of shareholders and investors while creating many happy couples.
It is important to understand that the difference between US-based dating services like e Harmony, JDate and others when comparing Chinese online dating websites is that these new millennial users tend to focus on finding a husband or wife.
Today’s action might be a reflection of cold feet by the CEO, but it doesn’t mean it is not worth owning at some level.
The company seems sure to make money in an explosive growth industry.
Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions.
Zuckerberg has been running around New York in his “hoody”, refiling once again the Facebook S-1 to adjust for lowered revenues estimates due to increased mobile phone use.