Online dating has quickly become one of the largest revenue generators on the internet.  Online dating has become big business, and now ranks just behind digital music and video games as the largest revenue producers on the internet according to Forrester Research Inc.

Online Dating accounts for $957 million in revenue and this number is expected to grow by at least 10 percent through 2013.

The size of the online dating industry has many “wannabe” webmasters wanting to start a dating site.  It is not quite that easy as was discovered when iMingle.ca entered the online dating market in 2007.

The biggest stumbling block to success was the lack of members and after two years of operation, iMingle.ca could must just over 200 members.  With such a small “inventory” of potential dates, we were just no match for the larger, more established dating sites that existed.  Even offering our product for free, there was still little that could be done to match the advertising dollars of the big players in the dating industry.

It is estimated that newcomers to the dating business require at least $10 million to compete with the big guns.  It was not enough to be “free”, there was very little that could be done to differentiate ourselves from the large free dating sites like PlentyofFish.com.

Other dating sites that have been first-come into certain niches have operated successfully and have managed to secure substantial subscribers.  Sites that distinguish themselves in a niche catering to “extramarital affairs”, “christian dating” and similar markets have done quite well for themselves.  However, they have become leaders in their dating niche and competing with them still requires major financial capital.

What exactly does it take to be successful in the online dating business?  Just ask eHarmony, a company that has spent over $93.3 million in advertising from January – September 2008.  Yes, you read that right!  Match.com spent $47.5 million in advertising in the same period!  Regardless of the niche occupied, having dating sites that can buy their way into the hearts of users worldwide is effective.

If you are a webmaster and thinking of entering the online dating world, get ready to be beaten, eaten and spit out by the large dating companies or be prepared to spend major money to compete.