The Dubious Science of Online Dating

According to Professors Eli Finkel and Benjamin Karney, as reported in the New York Times, “For a fee, many dating sites will collect data about you, crunch the numbers, and match you with someone who, as eHarmony puts it, has been ‘prescreened for deep compatibility with you across 29 dimensions.’ Sites like Chemistry, PerfectMatch and GenePartner make similar scientific-sounding claims. But can a mathematical formula really identify pairs of singles who are especially likely to have a successful romantic relationship?  It’s hard to be certain, since the sites have not disclosed their algorithms. But — as we and our co-authors argue in an article to be published this month in the journal Psychological Science in the Public Interest — the past 80 years of scientific research about what makes people romantically compatible suggests that such sites are unlikely to do what they claim to do. One major problem is that these sites fail to collect a lot of crucial information. The sites have no way of knowing how two people will interact once they have been matched. Yet our review of the literature reveals that aspects of relationships that emerge only after two people meet and get to know each other — things like communication patterns, problem-solving tendencies and sexual compatibility — are crucial for predicting the success or failure of relationships.”
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Posted in Online Retailing, Part 3: Targeting Customers and Gathering Information, Part 7: Communicating with the Customer, Social Media and Retailing | Tagged , , | Leave a comment

Groupon’s Growing Pains

As Shayndi Rice, writing in the Wall Street Journal reports, “Groupon Inc. went public on the promise of fast growth and future profits. But on Wednesday, some of those promises remained elusive. In its first major test since an initial public offering in November, the Chicago-based daily deals site reported revenue more than doubled to $506.5 million in the fourth quarter, strengthened by new products, holiday sales and a rise in the rate it takes from merchants.” However, “The company has yet to prove to investors that its business of offering coupons to local business is profitable. Groupon reported a loss of $37 million in the quarter, as the company continues to spend extravagantly to support its rapid growth.”
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How Amazon Extends Its Brand with Facebook

Janice Smithers “recently studied what Amazon.com is doing on Facebook and thought I would share some highlights from the deep dive. The most obvious take-away is that the nation’s leading online retailer appears to be smartly integrating its Facebook profile into its overall brand building efforts, which puts Amazon ahead of the game when compared to many other merchants .”
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