Eharmony Case Analysis

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Strength and Weakness eHarmoney has a very large user base, and with this help, the company has received a lot of investment. The company launched in August 2000, after six months, eHaemoney received a $3 million investment from Houston investment firm,Fayez Sarofim & Company. In the early spring of 2004, eHarmony had 3 million registrations, at least 40% are considered active users. Based on the large number of user base and high membership conversion efficiency, Technology Crossover Ventures and Sequoia Capital invested in the company. The company's users are scattered across the United States and have a slight tilt toward less populated areas. Currently, about 60 percent of eHarmoney's users are women, and 45 years old and older are the company's fastest-growing user base. However, eHarmoney does not provide same-sex matching …show more content…
The system was conducted by eHarmonry in many studies, and has been patented. The purpose of this system is collecting the characteristics of each customer with the help of the selection of personal files to make a suitable match. The biggest advantage of the system is that it ensures a very good quality of date and marriage through eHarmoney. The core of the system is a profile questionnaire, which is whoever wants to become eHarmoney member needs. This questionnaire can help eHarmoney screen out potential users who should not be registered as members. In fact, eHarmoney rejects as many as 20 percent of potential users, including married people, minors, or people who have divorced more than three times. These rejections have also caused some controversies and even prosecutions, and the part of rejections clients is a big loss for eHarmoney. At the same time, eHarmoney's algorithm matching product features have been coping by competitors, which means that eHarmoney can hardly keep its competitive advantage in product