Tinder is testing a new top-level subscription, Tinder Platinum, which is expected to be launched before the end of the year. The news of the upcoming service was announced this week by the Tinder parent Match Group during its call for profit in the second quarter of 2020 with investors. Match described the subscription as an added value beyond Tinder's currently paid plan, Tinder Gold, but found that the feature was still at a very early stage of testing and was still essentially seen as a product with minimal viability.
The company has added the version of Platinum that doesn't yet have all the features that Tinder wants to test. Although Match did not specify the exact range of functions itself, Platinum was generally described as a way to offer power users "more control, a better experience and more advantages".
Confirmation of the test follows a recent report from a user who discovered platinum in the wild.
According to a UK-based Tinder user, the offering for Platinum surfaced when Tinder was used on the web. But they couldn't make a purchase, they said.
However, in the screenshots they provided and posted on Reddit, Platinum is described as offering everything that is already available through Tinder Gold, as well as a handful of additional options. Tinder's marketing specifically pointed out that platinum subscribers would be able to send messages to users before they were matched up via super likes. They would also get "prioritized likes" (meaning subscribers' likes will be shown first) and they could see who already liked them for instant matching purposes.
The picture also showed price points of £ 5.97 per month for an annual plan, £ 8.35 per month for a six-month plan or £ 14.32 per month for monthly payments.
Of course, these prices could change. Tinder typically tests various price points alongside new features before they are released to the public.
The Match Group told investors at the conference call that Platinum will primarily be an ARPU driver (average revenue per user). Tinder's ARPU decreased 2% qoq in the second quarter.
"Unlike gold, which was by far the most successful and unique sales feature we've ever introduced (and) which resulted in significant ARPU increases and almost double the subscriber conversion, is expected to (Platinum) not come close to Gold is close, ”said Shar Dubey, CEO of the Match Group. "There is still a lot to test, and our goal is that if everything goes well, we can roll it out worldwide by the end of the year, later in the fourth quarter," she added.
Match's plans to get more revenue from its flagship Tinder app come at a time when the COVID-19 pandemic has affected the use of dating apps. The company said the health crisis has resulted in weaker a la carte purchases and some shifts between users to cheaper packages. Tinder also had to revise its Tinder U product for students as the students left their respective campuses. In India, an important international market, as well as in Brazil, it lost momentum.
Despite these issues, Match exceeded earnings of $ 103.1 million or $ 0.51 per share on sales of $ 555.5 million, exceeding Wall Street estimates. The company led the launch of video dating products to further drive pandemic sales – a time when people may be less willing to meet in person right away.
In particular, Tinder's average subscriber base grew 128,000 in the second quarter, up 18% year over year to 6.2 million. Tinder's direct sales grew 15% year over year.