Tinder Revenue Hits $1.2 Billion In 2019

Match Group reported annual earnings for 2019, and its star dating app Tinder came out on top with almost $1.2 billion in revenue for the year.

Tinder had on average 5.9 million subscribers in the fourth quarter of 2019, 36 percent more than the previous year according to The Verge. At the same time, Reuters reported in early February that Match Group missed its fourth quarter revenue estimates as subscriber growth on Tinder fell to its lowest since the fourth quarter of 2018, perhaps an early sign of market saturation. 

The company also estimated its first quarter revenue of 2020 to be between $545 and $555 million, below analysts’ predictions of $562.2 million. Shares of Match Group fell 10 percent as a result.  

Still, the dating app industry is minting money, thanks to the subscription services and ad models that many dating apps have adopted. According to App Annie's recent State of Mobile Report, dating apps as a whole brought in $2.2 billion in revenue for the year, almost doubling revenue from two years prior, which means Tinder accounted for half of the total revenue. 

Tinder was also the highest-grossing mobile app in 2019 across industries, with Netflix and China’s Tencent coming in second and third, respectively.

In-app subscriptions have been particularly lucrative for Tinder, offering paying users ad-free swiping, unlimited likes, and other popular features. They are also offering a la carte pay-as-you-go features so users can choose and purchase what they want without having to pay for a subscription. Incoming Match Group CEO Shar Dubey, who will be taking over for Mandy Ginsberg in March, told Tech Crunch that pay-as-you-go features on Tinder have been wildly successful, and contribute to more than 25% of Match Group’s direct revenue.

Tinder has hit a few roadblocks in the last few months despite its success. Match Group is in the middle of a lawsuit from former Tinder employees, who claim the company devalued their stock options. And in late January, a subcommittee of the US House of Representatives launched an investigation of Match Group and other dating app companies concerning their safety practices and whether they conduct appropriate background checks on users (though most don’t). A study from the Norwegian Consumer Council found that underage users and registered sex offenders were using the app, and other users weren’t aware.

Match Group has already responded to this by partnering with Noonlight to launch new safety features, including a panic button users can activate if a date makes them feel unsafe.

Tinder is currently available in 196 different countries and in 38 different languages. For more information on this dating service, you can read our Tinder app review.