by Emma Hinchliffe & Joseph Abrams
See full article at Fortune
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Category: Match Group
Match and Bumble Suspend Ads on Instagram Amid Concerns Over Algorithm Serving Inappropriate Content
WALL STREET JOURNAL – The Wall Street Journal's testing revealed Instagram's algorithm served inappropriate content, including sexualized videos of children and adults, to users following young influencers. Ads from major brands, including dating apps Bumble and Match Group, appeared alongside this content. Bumble and Match responded by suspending their ads across Meta's platforms, with Match cancelling its Meta advertising due to dissatisfaction with Meta's response to the issue. The tests raised concerns about child safety and the misuse of algorithms, prompting Meta to state it was investigating and would pay for brand-safety audits. The situation highlighted the need for stricter content regulation on social media platforms.
by Jeff Horwitz & Katherine Blunt
See full article at Wall Street Journal
Match Group’s “Are You Sure?” Feature to Expand to Millions of Users Across Match, Stir, OurTime & More
Match Group Advocates for Ethical AI and Internet Safety at Senator Schumer’s AI Forum Series
LINKEDIN – Match Group, led by CEO Bernard Kim, contributed to Senator Schumer's landmark AI Forum Series, emphasizing the importance of collaboration between government and developers in harnessing AI technologies. Match Group advocates for responsible AI use and internet safety, supporting acts like EARN IT. Its AI Principles focus on authenticity, accountability, equity, explainability, integrity, privacy, and safety. The company's "Are You Sure?" feature aims to reduce online harassment by prompting users to reconsider harmful language. Match Group is committed to advocating for Section 230 reforms and supporting legislation to enhance online safety and privacy, viewing AI as a tool for societal advancement while stressing the need for comprehensive safety measures and responsible technology use.
Match Group Stock Tumbles After Paying Users Fall Again
Alphabet, Match Settle Google Play Antitrust Fight Before Trial
BNN BLOOMBERG – Alphabet has settled an antitrust lawsuit with Match Group, which claimed Google Play's policies were illegal. This agreement dismisses all ongoing litigation and provides Match with improved terms on Google Play. Despite this settlement, Alphabet's legal challenges continue with a forthcoming trial against Epic Games. The settlement with Match includes more favorable fees for Match on Google's platforms and a $40 million reimbursement to Match for disputed service fees. Google maintains that the settlement allows them to keep offering a secure and quality experience on Google Play while investing in the Android ecosystem.
Match Group Q3 Financial Results
MATCH GROUP – In Q3 2023, Match Group reported its highest ever quarterly total revenue of $882M, a 9% increase YOY. Key financial highlights include:
- Tinder's revenue rose by 11% YOY, reaching $509M
- Hinge saw 44% YOY increase in revenue, amounting to $107M, driven by substantial user growth, especially in English-speaking and European markets
- Match Group Asia and Evergreen & Emerging segments saw a decline in revenue by 5% and 3% YOY respectively
- Operating Income stood at $244M, marking a 16% YOY growth
- Adjusted Operating Income reached $333M, reflecting a 17% YOY growth
Tinder's Revenue growth was driven by U.S. pricing optimizations, resulting in a raised RPP of $16.28, even though there was a 6% decline in payers. Hinge's success continued, with a 33% YOY increase in payers and an RPP growth of 8% YOY. In contrast, certain brands in Asia and the Evergreen & Emerging segments experienced revenue declines.
Match Partners With Calm on World Mental Health Day
PR WEEK – Match has partnered with the meditation app Calm to support users' mental health. For World Mental Health Day, they're offering five free Calm sessions on topics like self-love and discounts on both apps. The collaboration addresses the mental challenges of online dating, especially amidst pandemic-induced anxieties.
Tinder Partners With Mean Girls Actor Jonathan Bennett to Help Users Avoid Online Fraudsters
MATCH GROUP – Tinder is collaborating with "Mean Girls" actor Jonathan Bennett and Advocating Against Romance Scammers to raise awareness about online financial scams. October 3rd has been designated World Romance Scam Prevention Day. The campaign warns users about the dangers of online scams, particularly the growing trend of crypto scams. Tinder and Hinge are emphasizing the importance of users not sending money or taking investment advice from unfamiliar individuals. The initiative is part of Match Group's ongoing commitment to user safety across its platforms.
JPMorgan Analyst Recommends Investing in Match Group, Citing Tinder’s Growth
BLOOMBERG – JPMorgan analyst Cory Carpenter advises investors to invest in Match Group, anticipating that its Tinder app will see double-digit growth in the upcoming quarter. Carpenter upgraded his price target for Match from $55 to $60, despite negative investor sentiment, and dubbed it his "top pick" over competitor Bumble. He argues that concerns about market saturation in online dating are exaggerated and predicts a 10% compound annual growth rate for the industry through 2026. While Bumble's shares have declined, Match has gained ~3% in 2023.
by Joel Leon
See full article at Bloomberg
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