Executive online dating service
Tinder was born in Hatch Labs, the now defunct mobile startup incubator backed by Tinder’s parent company, Barry Diller’s IAC/Inter Active Corp. With its ownership of and Ok Cupid, IAC leads the online dating market with a reigning 23.7% market share and provides the expertise Tinder will need as it looks to monetize its services via subscription-based features.IAC’s Match Group division estimates Tinder could bring in $75 million in 2015 upon implementing a monetization model via Tinder Plus.
Ohlmeyer first worked for ABC Sports as a golfer while studying at the University of Notre Dame and became a full-time production assistant in 1967 under Roone Arledge, working on ABC's Wide World of Sports.Simpson and Ohlmeyer were close friends and the television executive defended his friend during the high-profile trial.ESPN, now the home of Monday Night Football, said it planned to acknowledge Ohlmeyer on Monday night.What moves will Tinder make to enter this growing market, and can the app make money as fast as it makes matches? The dating app, which pairs potential hook-ups based on a mere glance and swipe of a user’s photograph, is easy to navigate and eliminates the standard, time-consuming features of traditional dating sites that can be overwhelming for users.This user-friendly approach produces 1.2 billion profile views a day and creates 15 million matches.Though sites like use advertisements to produce revenue, Tinder’s founders are not interested in cashing in on advertising just yet.
The nature of the app's mobile format makes ad implementation trickier, and despite initial claims the company would move toward paid messaging and prominent profile placing before it would place ads, both Tinder and IAC acknowledge the app may entertain advertising in the future.
The Passport feature will accommodate the company’s expansion outside of the dating sphere and beyond romantic interactions, an effort that Tinder would like to make in the long-term to grow its user base by connecting people on social and professional levels.
A recent investment in the app by California-based Benchmark – led by Matt Cohler, Tinder board member and former executive at Facebook (FB) and Linked In (LNKD) – suggests Tinder is already thinking about this next move.
As a result, Tinder will soon begin offering a “freemium” service to appeal to the app’s growing user base.
Tinder Plus, Tinder’s newly minted subscription-based service, will add opt-in features for a fee while maintaining the app’s free service for those uninterested in a premium account.
For two years, Tinder has been able to stay afloat without relying on any kind of revenue stream.