Tinder Unveils Multiple New Features to Boost Revenue and Engage Gen Z Users Amid Mixed Q2 Results
Tinder, a leading dating platform owned by Match Group, is working to increase revenue as it reported a decline in paying users during Q2 2025. The company-wide decrease in paying users amounted to 5%, with Tinder accounting for the majority of this dip.
To boost engagement and encourage more paid subscriptions, Tinder is implementing several new initiatives. These include the introduction of a feature called “Modes”, which allows users to switch between different dating objectives, facilitating real-time connections. This innovation mirrors an earlier option where Tinder enabled users to list their relationship goals on their profiles.
In addition, Tinder plans to redesign its app and introduce features tailored towards college students, aiming to boost usage among Gen Z demographics. The platform will also allow users to like specific parts of a profile, stimulating conversations based on shared interests, similar to the functionality offered by Match’s dating app Hinge.
The second quarter of 2025 presented a mixed performance for Tinder, with flat year-over-year revenue of $864 million and earnings declining from $133.3 million in Q1 2025 to $122.5 million in Q2. However, the company forecasted better-than-expected revenue of $910-920 million for Q3, leading to a post-earnings stock boost.
Match Group announced plans to invest $50 million in product development, focusing on connecting with younger Gen Z users and leveraging AI to enhance its offerings. The company will begin testing a revamped “See who likes you” tab this fall, aiming to help users connect with potential matches they are more likely to be interested in while generating additional revenue.
Tinder is also expanding the rollout of an AI-powered matching feature, first introduced in New Zealand earlier in 2025. This feature delivers tailored matches based on user profile information, answers to questions, and optional insights from camera roll photos.
The company aims to extend this feature to more geographical locations. Speaking about the new interactive matching experience, Match Group CEO Spencer Rascoff stated, “This feature appeals to our target audience—users under 30—who are seeking a connection beyond physical appearances and are willing to invest time in answering questions for personalized results.”
Tinder is also considering launching college-specific features, such as enabling users to search within their college or select colleges, to cater to younger demographics.
The company provided an update on Tinder’s Double Date option, launched in June, which pairs users with a friend to match with another couple. Preliminary results indicate 92% of users utilizing the feature are under 30 years old.
This quarter marks Spencer Rascoff’s first full quarter as CEO of Match Group, having been appointed following Faye Iosotaluno’s decision to step down from her position in July 2025. In addition, Match Group reduced its workforce by 13% (approximately 325 employees) in May and closed open positions.
