Cost of loving: Tinder boosted by paid matches despite spending squeeze
MONEY can’t buy you happiness, but it may be able to buy you love, with Tinder owner cashing in on people looking for love despite cost of living woes.
Match Group, which also owns Hinge and OKCupid, revealed that the number of paid subscriptions to the dating app rose seven per cent globally in July-September.
The group defied analyst estimates, with revenue at $810m for the three months ended September.
Tinder’s revenue climbed six per cent and its paying users jumped seven per cent thanks to the enhanced desktop usage for swiping right and left on potential suitors.
However, Match did warn that the economic certainty could weigh down on our love lives, with cuts in discretionary spend likely to hit youngsters, who will become less inclined to pay for extra swipes a day or being able super like other users with a special message.
Head of Investment at interactive investor Victoria Scholar explained that whilst it was the highest earners who were spearheading the group’s paid features, investors were “feeling particularly loved up” with the company’s handling of the wider macroeconomic backdrop, including reshuffling and trimming back marketing teams.
Scholar also noted that the strength of the dollar may raise problems for the US firm, negatively impacting international sales.
Nonetheless, Match seemed to keep investors happy, with shares jumping 16 per cent this morning, standing in contrast to the tumble tech stocks saw in the latest quarter, with Meta and Amazon making significant losses.
Tinder chief executive Renate Nyborg left her role as the dating app’s top dog in August after less than a year in the job. And, by the looks of it, it seems like Tinder is still struggling to find just the right match for their new CEO to lead growth.