Weekly Digital News Roundup: Feb 26 – Mar 1
Etsy Officially Files To Go Public, Aims To Raise $100M
- According to TechCrunch, word started going around back in January that Etsy, the online market for handmade goods, was planning to go public. Sure enough, they’ve just filed the forms to get the ball rolling.
- Etsy’s revenue has ramped quickly, expanding from $74.60 million in 2012, to $77.24 in 2013, to a 2014 tally that totaled $195.59 million. Etsy has sufficient cash to fund its operations for several years at current pace. The firm has a total of $88.84 million in cash and equivalents, up from $54.87 million the year prior.
- With adjusted profits, slim net losses, and quickly growing revenue, Etsy should be able to price competitively and still have a strong open. How the company prices itself could set the tone for IPOs for several months.
- Etsy says it currently has 1.4M active sellers on the site, with 19.8M active buyers. At the end of 2014, Etsy had 685 employees, 51 percent of which are female.
White House Proposes Broad Consumer Data Privacy Bill
- According to New York Times, The Obama administration on Friday proposed a wide-ranging bill intended to provide Americans with more control over the personal information that companies collect about them and how that data can be used, fulfilling a promise the president had talked about for years.
- The proposal, at its core, calls on industries to develop their own codes of conduct on the handling of consumer information. It also charges the Federal Trade Commission with making sure those codes of conduct satisfy certain requirements — like providing consumers with clear notices about how their personal details will be collected, used and shared. Companies that violate those requirements could be subject to enforcement actions by the commission or by state attorneys general.
- The administration’s proposal, considered a discussion draft, would need a congressional sponsor before it could be officially introduced. Already, though, industry analysts said that the proposal, along with several other legislative efforts on commercial privacy, was unlikely to be enacted in a Republican Congress.
New Tinder Plus to cost date-seekers $9.99 a month or more
- According to LA Times, Tinder Plus, the dating app’s first attempt at converting its millions of users into paid subscribers, officially launched Monday. An update to the Tinder app adds buttons for two of the paid features. When either is clicked, most U.S. users are prompted to pay $9.99 a month. Pricing varies by country and by user’s age.
- With Tinder Plus, users get to “rewind” if they accidentally reject someone and receive a “passport” to search for people outside their region. Tinder is the “dominant” dating platform in 56 countries and international usage has doubled in the last three months, Tinder co-founder Sean Rad said Monday morning on CNN.
- Tinder started testing Tinder Plus in November, and the response has been positive, according to Rad. The testing showed age-based pricing worked because cash-poor younger users aren’t willing to pony up as much, according to Tinder. Plus also removes advertising — another way Tinder plans to make money. Rad pledged Tinder’s main matchmaking features would always be free of charge. Tinder has produced 6 billion matches, up from 1 billion last March.