Zoosk Cuts 15% of Staff, Puts IPO Plans on Hold
Posted on January 19, 2015
Zoosk has delayed its IPO plans and laid off 15% off its staff. TechCrunch reports that the online dating site filed its IPO plans in April 2014 but the IPO has now been put on hold indefinitely. The above screenshot shows the result of a search on Zoosk.com.Zoosk issued the following statement: "In an effort to speed Zoosk's path to becoming a self-sustaining, profitable company, we've lowered our expenses in many areas. We also had to make the difficult decision to reduce our headcount by 15%. We respect and support our Zoosk colleagues who were affected by this reduction."
The Zoosk founders resigned from their leadership roles in December when the company announced management changes. Zoosk had revenues of $178 million in 2013 so the potential is certainly there for the dating site. However, newer sites like Tinder are threatening its business model.
Zoosk may be best known for its Heart Friend ad which viraled in 2013. The ad featured a talking plush heart that provided dating advice to a woman named Liz.