Tinder has decided to lay off 7% of its workers
As spending on its dating apps slows, Match Group Inc. revealed intentions to lay off around 8% of its workforce, or 200 workers from Tinder, on Wednesday.
A day earlier, the business released a disappointing quarterly sales prediction, blaming a slowing economy, a strong currency, and “significant” Tinder product execution. Hinge app delays have also increased competition from Bumble Inc.
The company stated in an email that recruitment jobs were slashed. The layoffs began in the US and are continuing worldwide.
Match spent $3 million on severance and related expenditures in the fourth quarter and is expected to spend $6 million more this year. The parent business claimed the adjustments would boost second-half profitability. Texas-based Match fell 7.7%.
Microsoft Corp. and Amazon.com Inc. have also laid off tens of thousands of workers to prepare for a recession.
Match, which has relied on word-of-mouth advertising, said Tinder will launch its first worldwide marketing campaign this quarter to enhance its brand reputation.
Refinitiv anticipates first-quarter sales between $790 million and $800 million, lower than analysts’ expectations of $817.3 million. Quarterly revenue fell for the first time.
As of 2021, regulatory records showed 2,500 full-time and 40 part-time workers. Tinder is a geosocial dating app. Tinder users swipe right or left to like or hate profiles. A short bio, images, and hobbies are on their account.
Sean Rad invented Tinder at a 2012 Hatch Labs hackathon in West Hollywood. Tinder reported one billion daily “swipes” and 11 daily logins by 2014.