Marketing

Match Group is making changes to its executive team and pausing its metaverse plans on the heels of a disappointing second quarter earnings report. Its stock fell 20 percent after the earnings call with investors.

According to reports, Tinder CEO Renate Nyborg is exiting after less than a year at the helm of the app. Bernard Kim, the new Match Group CEO following Shar Dubey’s exit two months ago, wrote this as explanation in his letter to shareholders: “Tinder’s current revenue growth expectations for the second half of the year are below our original expectations as a result of disappointing execution. We need to do more to excite our user base.”

Kim also announced a new COO, chief product officer, chief marketing officer, and chief technology officer according to Gizmodo, promoted from other parts of the company.

Revenue growth for dating conglomerate Match Group has fallen in a disappointing second quarter for the company. The market responded and the company’s stock fell more than twenty percent, bringing its stock price down 42 percent of its value since the beginning of the year.

Match Group held its earnings call with investors, reporting revenue of $795 million compared to $804 million that analysts expected. In addition to this, Match Group lowered revenue forecasts for Q3 from $800 to $790 million according to CNBC News, which includes the impact from foreign exchange rates falling compared to the dollar. To complicate things for Match Group, it also means that there would be no growth at all between the quarters.

There were some hopeful signs despite the news. The company pointed out that overall revenue grew twelve percent compared to this time last year. In addition, the number of paid users increased 10 percent to 16.4 million according to the shareholder report, and revenue per paid user rose three percent to $15.86.

Dating Group has made several high-profile acquisitions in the past year, thanks to a new round of seed funding and rising user numbers. The moves indicate the dating conglomerate is one of the main players in the fast-growing industry, expanding its competitive advantage by offering more niche dating apps.

In the fall of 2021, the company added Cupid Media to its growing portfolio, and now oversees more than 33 dating platforms, making it one of the world’s largest dating conglomerates along with Match Group, according to DatingNews.com. This acquisition also grew the company’s annual revenue to $300 million, which was already growing in the wake of the pandemic. Cupid Media owns dating apps AsianDating, LatinAmericanCupid, Muslima, FilipinoCupid, and ThaiCupid among others.

Dating Group has also acquired Dil Mil, a fast-growing dating app specifically for South Asian singles. At the time of acquisition, the app was growing at a rate of around 50% in overall downloads, with a 38% increase in active users, according to a press release from Dating Group. Dil Mil has become increasingly popular among South Asians in the U.S. and other countries who want a more targeted dating app experience. Dil Mil offers a diverse array of regional preferences with multiple language and religious options, something that the larger apps like Tinder can’t provide.

Hinge announced that it has launched a new feature called “Dating Intentions” to encourage users to be more honest and upfront about what kind of relationship they are looking for.

According to Tech Crunch, the feature allows users to select a dating goal from a drop-down menu, which will be displayed in their profile. Some options include “life partner,” “long-term,” “open to short-term,” “short term, open to long-term,” “short term,” and “figuring out my dating goals.”

Online daters have grown increasingly frustrated with forming relationships that go nowhere, or that are layered in ambiguity. Some find it difficult to ask their dates what they are looking for in a relationship in the early stages, which leads to a lot of misunderstanding and heartache down the line, after they’ve invested emotionally in the relationship. Hinge hopes the new feature will help alleviate that, or at least help spark a conversation before the first date so both parties know what to expect.

The Lox Club has turned to TikTok for attracting new users and is seeing record new downloads of its app as a result. 

The dating app launched last year to big fanfare and a profile in The New York Times, but the real test came with keeping users engaged so they didn’t return to Tinder and other popular dating apps. Since launching its new TikTok marketing strategy, the company has seen 13,000 conversions (clicks turned to downloads of the app) in January and February, according to AdWeek. This is also five times the number of conversions in November and December of last year. 

There’s a crop of new dating apps looking for novel ways to attract Gen Z users who want more than a swiping experience, which means thinking outside traditional advertising options, like Facebook ads which don’t necessarily convert browsers to users. Younger daters also gravitate to creative content and TikTok in larger numbers, opting to be entertained, which has driven some engaging new features in the dating app industry. For example, Tinder launched an “Explore” section, which includes Festival Mode to help users meet up with each other at music festivals and an interactive series called “Swipe Night,” among other features.

Dating app Hinge announced it has started a fund to support aspiring therapists and counselors from the LGBTQ and BIPOC (black, indigenous and people of color) communities. It will be providing $10,000 in scholarship to ten people towards their education in these fields, according to Mashable.  

From May 18 through June 17, applications for the fund will be open to U.S. college and graduate students in the mental health field, who can apply via the website HingeAdvocatesofTomorrow.com. According to Mashable, applicants complete the form and respond to two prompts about the mental health and wellness needs of the LGBTQ and/or BIPOC communities, and from there, twenty finalists will be selected. The finalists will be asked to create a video about how the scholarship will support their individual journey as well as their career.

Hinge has also collaborated with artist and mental health advocate Fariha Rosin, who authored a book on mental health resources for marginalized communities. She said in the company’s press release: “These times can be really dark and overwhelming in a lot of ways and that’s why we need mental health advocates. This initiative is helping people become the light bearers, creating generational ripple effects of healing.”