Apps & Consumer
Tinder tests AI feature to combat swipe fatigue
Tinder is testing an AI-powered feature called Chemistry in Australia to reduce swipe fatigue as the company faces declining user engagement and new registrations.
Tinder is using a new AI-powered feature called Chemistry to reduce swipe fatigue among its users. Spencer Rascoff, the CEO of Tinder’s parent company Match, noted during the fourth quarter earnings call that the feature is currently only being tested in Australia for the time being. Rascoff explained that Chemistry offers users an artificial intelligence-based method to interact with the app. The feature allows users to answer questions and, with their permission, accesses the Camera Roll on their phone to learn more about their interests and personality. Instead of swiping through numerous profiles, Rascoff, the Match CEO, stated that users can choose to answer these questions to “get just a single drop or two, rather than swiping through many, many profiles.” Tinder plans to use the AI feature in other ways going forward.
This shift toward AI-driven recommendations comes as Tinder and other dating apps experience paying subscriber declines, dating app burnout, and declines in new sign-ups. In the fourth quarter, new registrations on Tinder were down 5% year-over-year, and monthly active users were down 9%. Moving away from the swipe method could have a significant impact on the dating app, which popularized the mechanism. Despite these declines in user engagement, Match delivered a fourth-quarter earnings beat that exceeded Wall Street estimates. During its fourth-quarter earnings call, the company reported:
- Revenue of $878 million
- Earnings per share (EPS)—a key measure of a company’s profitability—of 83 cents per share
However, weak guidance caused the company’s stock to decline on Tuesday, before it rose again in premarket trading on Wednesday.
To boost engagement and address user concerns, Tinder will spend $50 million on marketing, according to Spencer Rascoff. This budget will fund creator campaigns on social media platforms TikTok and Instagram, where creators will claim that the app has regained its appeal. Alongside marketing, the company is focusing on safety and authenticity features to address common pain points. Match is leveraging tools like Face Check, which is a facial recognition verification system. According to Match, the implementation of Face Check on Tinder has led to a more than 50% reduction in interactions with bad actors.
Why it matters
Tinder is pivoting its product strategy toward AI-powered recommendations to combat declining user engagement and registration numbers. This shift represents a significant move away from its signature swipe-based interface, which popularized the modern dating app format but has increasingly led to user burnout.