The online world has seen an influx of social networking and dating apps and platforms recently. One of these includes a company known as Coffee Meets Bagel. It is a US-based company established in 2012 by three sisters Arum, Dawoon, and Soo Kang. The company initially started its operations in New York City in 2012. Later, however, it moved its base of operations to San Francisco.
Coffee Meets Bagel launched around the same time as Tinder, another top social networking and dating app. However, Coffee Meets Bagel has not achieved the same success as Tinder. Despite that, the company has always locked horns with Tinder and other dating apps. Furthermore, Coffee Meets Bagel doesn’t rank among the top ten online dating platforms in the US.
Coffee Meets Bagel has generated capital from various sources. Initially, the company secured a $600,000 investment from Lightbank. Later, it announced a $7.8 million Series A financing round in 2015 by an existing owner. In the same year, the company featured on Shark Tank. Similarly, the company also raised $12 million in Series B funding through Atami Capital.
Coffee Meets Bagel takes a different approach to most other online dating platforms. This platform gives women the final say in whom they can interact with and whom they don’t. It is one of the top features for which the company has received appreciation. Coffee Meets Bagel boasts an authentic and meaningful alternative to popular casual dating apps.
What is the Coffee Meets Bagel Business Model?
The Coffee Meets Bagel business model is similar to other online dating platforms. Despite that, it has the differences that make it unique. The company proudly distances itself from the business model that some of its competitors use. These include some big names, such as Tinder, Bumble, Hinge, etc. The company offers an exclusive system for personalization and selection that most of its users adore.
Coffee Meets Bagel’s business model uses a subscription-based business model combined with other models. However, the primary source of revenues still includes subscription fees from users and in-app sales. The company does not disclose details of its operations and revenues, as it is a private company. Most experts estimate that the company generates over $20 million in revenues each year.
How does Coffee Meets Bagel work?
Users that are familiar with other online dating platforms may find the Coffee Meets Bagel platform different. The company overhauled its app in 2018. However, most users still don’t know how Coffee Meets Bagel work. Some users even confuse the app for an online food delivery company due to its name.
The company describes itself as “the meaningful dating app for people sick of swiping”. This slog is a dig at Tinder, and other platforms, that use swipe-based gestures. Instead, Coffee Meets Bagel does not use a swiping model. Its features and processes are different from its competitors. On top of that, it also has various other features that are different from other dating platforms.
Coffee Meets Bagel allows only a limited number of matches per day. Every day, around noon, the company’s “smart algorithm” picks a limited number of potential matches for each user. The company does not describe how this algorithm works or how it makes matches. However, the company terms its matches as “Bagels” as it is a part of its name.
The matching differs from other platforms where the users match themselves. For example, on Tinder, each user gets several matches, and they have to decide whether to contact them or not. Both users have to want to match before commencing their conversation. However, Coffee Meets Bagel uses its own algorithm to make the selection.
Once users get their match, they can start chatting with those bagels. This area of the platform works similarly to other dating platforms. Users can chat with their matches and see if they are fit for each other. This part relies on users conversating with each other and selecting their own matches. If they see fit, they can pick an online location and meet each other.
The above is a general description of how the platform works. In practice, there are many steps in getting into the app and start getting matches. The detailed process for how Coffee Meets Bagel works is as below.
Creating an account
The first step for users to start using the Coffee Meets Bagel platform is to download its app. The app is available on both Android and iOS platforms. Once users get the app, they must launch it from the home screen or app drawer. The app will then prompt them to log in or create an account. For first-time users, the first option will not apply.
Creating a new account is fairly straightforward. Users can use the app’s integrated account options to sign up. For example, they can register with the platform through the existing Facebook accounts. If users choose to do so, the app will get their information from Facebook and update their profile accordingly. For users that don’t want to do that, there are other options available.
The app also allows users to create an account using the secure phone login feature. Users must choose one option or the other to avoid duplicating their accounts. Once they create their account, they can move to the next step.
Updating profile
The next step in the process is for users to update their profiles. This step requires them to give basic personal information and their photo. This information is essential in matching them with other users and letting their matches make decisions. The platform suggests users upload at least three profile pictures and use their best practices. This way, users can get better matches.
Coffee Meets Bagel also recommends its users take their time when filling out their profile information. The platform suggests its users will get better matches and interaction by doing so. The app also requires users to provide three fun facts about themselves.
Getting matches
As mentioned, the next step for users is to wait to get matches. The app delivers these matches every day. Users can view their matches and choose to “like” them. This step is where the initial information provided by users is highly crucial. Once both users “like” each other, they can start chatting and getting to know each other.
Users can also pass on matches that they don’t see fitting their requirements. The number of matches suggested by the app will differ based on users’ set preferences, location, gender, and more. The algorithm studies users’ interactions with their matches to provide them with better suggestions in the future. If users miss their suggestions for a day, they will get new ones in the future.
Users can also discover other users beyond suggestions through the Discover section. This section allows for advanced customization and filters for users to get better matches. However, users can only “like” others in this section by paying “beans”, the app’s internal currency. Subscribers can also use this section without payments.
Additional process
Once matched, users can chat with and get to know each other. They can also view each other’s icebreakers to start conversations. These chats expire after 7 days. So, users have to make decisions before that. Users can also use “beans” to buy features, such as read receipts for their chats. Users get some beans after sign up. However, they have to buy more from the Bean Shop or invite new users to follow the platform on social media.
A subscription is also an option for users. Subscribed users can get all the features that beans can provide them. This feature also gives them access to other options, such as notifications on likes, read receipts, more info on matches, etc. As a whole, subscribing offers unique incentives to users.
Conclusion
Coffee Meets Bagel is an online dating platform that allows users to discover others online. The app is similar to other dating platforms. However, it takes a different approach to online dating. That is why some users will not know how it works. Coffee Meets Bagel’s business model is also unique in comparison to its competitors.
