The new week is upon us, and so is the new article covering payment processing for the online dating sites.
As we have promised, we’ll cover the issue of payment processing in one niche every week. And this time it’s online dating turn. So, kick back and get ready to learn the quirks of online dating payment processing presented by the payment processing gurus.
For starters, you need to know that the online dating market has grown by 25% in the last year and is now ranking among the top five industries with an average transaction over 5 EUR. This said it gets crystal clear that the online dating industry is here to stay. And these merchants will always need a payment processor. What exactly do online dating merchants expect from a PSP? We’re about to explore this.
But first things first: let’s look into various types of online dating services.
Online dating sites types
Basically, we can split online dating sites into five major types:
This type of websites aims to find the “perfect match” for you. The journey of a user on the website starts with him filling out a detailed questionnaire. Later the system will assess the profiles on the website trying to identify and match the ones that have similar tastes, likes, dislikes, etc.
Niche online dating services.
With years passing by and online dating gaining momentum, niche online dating sites gain their popularity. Thus, for instance, Christian Dating and Christian Connection now host thousands of young people. All of them want to find a match among Christian youth. Besides, there are separate online dating sites for Star Trek fans, pet lovers, and bookworms (no kidding!)
Preference online dating services.
This type of online dating services is based on your preferences. This goes for all kinds of preferences including sexual, religious, political, etc. All you have to do to use such a site is to fill out a questionnaire and search for profiles with similar preferences.
These sites allow young people, “single and ready to mingle,” create various events where they can meet in person and get to know each other. Verified users can create events and invite others to join in.
Personals online dating sites.
These sites are typically search-based sites that allow each user to search for specific criteria and get a list of matching profiles. The initial questionnaire isn’t as detailed as on the matchmaking websites. And users can edit the information before every search. It’s oriented on the people with at least some time on their hands.
There truly is a huge number of available online dating sites to match different expectations and preferences. This means that there is a great number of merchants that are looking for payment processors to help them run their business. Now that you know the types of online dating services, let’s see what exactly these merchants expect from a PSP.
What online dating merchants expect from a payment processor
Various local payment methods.
Since online dating sites are ubiquitous and international, they unite people from all over the globe. As a result, these people pay using different local payment methods they find the most convenient. And it’s in the merchant’s best interest to offer these payment methods. To know which methods are expected one has to explore the geo of his target audience and look into popular payment methods at each location.
Here are but a few payment methods you need to bear in mind when exploring the issue:
– WeChat Pay;
– Apple Pay;
– Google Pay;
– Webang, etc.
Direct Carrier Billing.
It is a known fact that this is by far one of the most popular payment methods with online dating users. It goes right after credit cards and local payment methods. DCB is a key to the increased security of mobile payments which is vital to the credibility of the merchant in the eyes of the users. As a result, with DCB the likelihood of chargebacks and fraudulent activities is pretty low.
However, there is the other side of the coin. To provide the merchants with it one has to spend tons of time and effort. That is why it’s best to make sure that your customers truly need this solution before diving all in to develop it.
Premium SMS methods.
Another excellent way of paying for the services that has proven to be much loved by the users. It is literally at each user’s fingertips. It works across operators and is best for microtransactions. All one has to do to pay for goods and services using Premium SMS method is send a premium-rate text message. The amount will be instantly charged from his mobile account.
Mobile billing is the new black in online dating. Implementing mobile payments translates into increased traffic and conversion rates for the merchants. Why? Because it is fast and simple. And that’s exactly the kind of payments online users are looking for.
And also think about this: since we tend to use cell phones for texting on online dating sites, it is only logical to offer payment methods that require the same cell phone to pay for these services. So, by offering this payment method, the merchant directly impacts his revenue.
Since Bitcoin is here to stay, it is only wise to offer the end users a chance to pay for the services with it. Statista reports that almost 40% of US citizens alone are open to using Bitcoin for purchases and shopping. So why depriving them of such a pleasure?
Since most of the online dating sites use the subscription model, a PSP willing to be relevant to these merchants has to offer this payment method.
And even more, it’s best to go for the smart recurring billing (find out more about it from our previous article).
Bear in mind that recurring billing comes with multiple retry options, smart routing, and soft declines management. Otherwise, it won’t meet the needs of a merchant.
Rich choice of card types.
TO cover all the bases, you need to offer a wide selection of card types. Go for Visa, Mastercard, American Express, Diners Club, and Maestro. And if there is anything specific to your own audience, add that to the list, too.
These are the key features every online dating merchant wants to see in a payment processor. Here at Ikajo International, we guarantee to live up to these expectations. For more professional insights on niche payment processing subscribe to our blog!