Facebook Dating Is A Threat To Match, But Not To Tinder

Facebook Dating Is A Threat To Match, But Not To Tinder We are fans of both Facebook (FB) and Match ( NASDAQ:MTCH ). Both companies are very similar operating in different industries – Facebook in social media and Match in dating. Recently, however, Facebook has launched its new dating product across the US, directly competing with Match Group and driving shares of Match down from $90 to $75. Most people are seeing this as a buying opportunity, given that Match’s stock doubled after Facebook first announced the launch of Dating. However, we don’t believe Match is a strong buy at this time after our analysis of Facebook Dating. Yes, Facebook Dating isn’t likely to kill Tinder, but investors seem to be forgetting that Match also owns other dating properties that may be under threat from Facebook. Match’s current valuation is also far higher than when Facebook Dating launched. Facebook Dating revealed Facebook discussed its dating service in a press release on September 5. Unlike Tinder, in which users can match with complete strangers after seeing the profile picture + a short bio, Facebook’s service forces you to go onto somebody else’s profile and comment or like in order to make the first move. This encourages users to view the profile thoroughly and take some time to think about their decision before making the first move. The normal dating feature doesn’t match users with friends. However, users can match with their friends if they both indicate that they are each other’s „secret crush”. […]