MATCH GROUP – Total Revenue declined 2% YOY to $786M. Operating income was $107M, a 54% decrease YOY. Payers declined 1% to 16.1M. Tinder direct revenue was flat over the prior year quarter with 3% payers growth to 10.8M. All other brands collectively had a direct revenue decline of 5% YOY driven by an 8% payers decline. Hinge revenue grew 30%YOY.
Category: Match Group
Match Group Forecasts Q1 Revenue Below Expectations
REUTERS – While a tough economy and a stronger dollar had also crimped its business, poor product execution at Tinder was the "significant" culprit, Match said. Dating app Hinge's business was also hit by product delays, among other headwinds. Shares of Match Group fell ~11% in trading after the bell. Match reaffirmed its 2023 revenue growth forecast of 5% to 10%. It expects revenue growth to reach double digits by the fourth quarter on increasing momentum in the second half. The company forecasts Q1 revenue between $790M and $800M, lower than analysts' estimates of $817.3M. Revenue fell 2% to $786M in Q4, also missing expectations of $787.3M. Total payers fell 1% to 16.1M.
by Vansh Agarwal & Shreyaa Narayanan
See full article at Reuters
Executive Shake-Up at Match Group
TECH CRUNCH – Match Group is bringing on former VP of Product at Snap Will Wu as its new CTO in a newly created role. Wu will oversee product innovation across Match's portfolio of apps. Match says Wu will now work directly with its executives to launch new features, emerging technologies, and innovative products. Gary Swidler, who was previously the COO and CFO of Match, will become the president and CFO of the Group. In addition, Malgosia Green, who was previously CEO of Plenty of Fish, will become CEO of Match Group Asia. Hesam Hosseini, the CEO of Match and Affinity brands, will become CEO of Evergreen & Emerging Brands. In this position, Hosseini will oversee Match, Meetic, Plenty of Fish and OkCupid, in addition to emerging brands such as The League, BLK and Chispa. Last, Justin McLeod, the founder & CEO of Hinge, will now report directly to Kim.
Could Mandatory Background Checks Curb Trust Issues on Dating Apps?
GIZMODO – A roundtable discussion was held in Sydney to come up with ways to curb harassment on dating platforms. Ministers, victim-survivors, tech companies, and authorities met online with representatives of Bumble and Tinder. Australia's eSafety Commissioner, Julie Inman Grant, has warned dating apps that they need to make significant changes and improvements to protect users or face a mandatory code. She's calling on dating apps to be more transparent with their data and what additional safety measures they will implement. Bumble said it had implemented security measures in recent years including a block and report tool that allows users to report any suspicious behavior, photo verification, and Private Detector, which uses AI to detect and blur potentially crude images. The company has also released Private Detector on GitHub, allowing other apps to access the tool. Tinder has photo verification, anti-harassment prompts, and a Trust and Safety team to mediate any reports of concerning behavior on the app. The company also created the Match Group Advisory Council in 2018 to advise Tinder on preventing sexual assault, sex trafficking, and harassment.
by Nikki Main
See full article at Gizmondo
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Match Shares Rise 5.5% on Hinge’s Pricier Membership Testing
MARKETWATCH – Match Group shares edged up 5.5% to $50.48 following news that a higher priced ($50-$60) membership tier for its Hinge dating app is being tested. However, Match's stock price is down 57% over the last 12 months.
Epic and Match’s Antitrust Case Against Google Heads to Jury Trial
TECH CRUNCH – A date has been set for a trial by jury in a significant antitrust case against Google involving its alleged abuses of power in the Android app market. Fortnite maker Epic Games and Match Group have accused Google of unfairly leveraging its market dominance and harming competition through its Google Play Store terms and practices. The case will now proceed to a jury trial on Nov 6, 2023. Epic Games sued Apple and Google in 2020 when it introduced a direct payment option in Fortnite to its iOS and Android apps, prompting Apple and Google to boot the mobile game from their app stores. Match Group had also sued Google over its Play Store practices, accusing Google of charging developers "exorbitant fees." Google shot back, saying Match just wants to get out of paying for the services it provides the company as part of its platform.
Hawaya, Match Group-Owned Dating App for Muslims, Is Shutting Down
HAWAYA – Feb 15th is the last day for Hawaya, a Cairo-based dating app founded in April 2017 by four Egyptian entrepreneurs. Match Group acquired Hawaya in Oct 2019. Shutting down Hawaya is a part of Match Group's new strategy for 2023, focusing on growing brands.
Match Group to Offer in-app Tips on Avoiding Scams
TECH CRUNCH – Match Group is introducing in-app messages and email notifications to give users tips on preventing being scammed online throughout January. But Match said it would continue pushing these messages to users periodically. The in-app messages will include tips, common behaviors to watch out for, and suggestions such as ensuring matches have their profile picture verified, video chatting with them before meeting in person, and learning to recognize scammer red flags. In 2021, FTC reported that consumers lost $547M. The average reported loss in the U.S. was $186K in 2022, up from $121K in 2021.
Tinder Finally Wants to Define the Relationship
BLOOMBERG – Match Group was one of the worst performers on the S&P 500 last year, plunging ~70% as investors fretted that the app was losing its mojo. Downloads have declined since 2020, and paid user growth has slowed. Attracting and retaining Gen Z and women is a top priority for Match's new CEO Bernard Kim, who ousted Tinder's management team after taking over in June. Young people are increasingly turning to apps that offer a more progressive dating experience and emphasize more serious relationships. Tinder’s global monthly active users have been flat since the end of 2019, whereas Bumble and Hinge's users have respectively increased 87% and 140% in the same period, according to Sensor Tower data. Tinder still has room to grow. Tinder needs to do a better job attracting Gen Z and women. Male users are thought to significantly outnumber women on Tinder, which doesn't disclose the ratio. Making women feel safer and more comfortable is part of Kim's new strategy.
Match Group Stock Gained 1% in One Week
