Tinder Introducing Virtual Currency, “Useful For Gifting Digital Goods,” in the Dating App
Tinder, a popular dating app, is rolling out an in-app currency to encourage users to spend more time swiping, scrolling, and even spending real money on the app.
This new feature involving virtual currency will be initially available only in Australia because it’s a market that is representative of the company’s global member base.
The in-app coins will be available to users who remain active on the platform and keep their profiles up to date. It can also be bought with regular money.
The coins can be used to step up a user's profile by buying Tinder’s perks such as Super Likes or Boosts to help increase the chances of finding a good match.
Typically run on a “freemium” model, dating apps make money when users buy a subscription or pay for extra features.
The in-app currency will be made available later this month.
It was already tested in small markets in the second quarter and was encouraged by the results, said Shar Dubey, Chief Executive Officer of Match Group, which owns Tinder, during its second-quarter earnings call in August.
Tinder expects this latest currency feature to enable more opportunities to earn money from the app. During the company's second-quarter earnings call, Chief Financial Officer Gary Swidler had said that Tinder users’ “propensity to pay has improved significantly.”
The company expects the coins “will play an important role as the Tinder experience evolves and becomes more immersive because virtual currency is useful in the context of gifting digital goods,” Swidler said in a statement. The virtual currency will be “particularly well received by our members in Asia, who are less used to subscription products,” he added.