No Match! Tinder Swipes Left on Metaverse after Discouraging Financial Results

• Discouraging financial results forces Tinder to cut back its investments in the metaverse.
• Mixed results from a test make Tinder neglect plans of releasing in-app digital currency ‘Tinder coins’  

Match group, the holding company of the famous dating company Tinder, which also parents Hinge, OkCupid, Plenty of Fish, and Match.com has not only cut loose its interest in going through with the Metaverse but has also received a resignation from the first female CEO, Renate Nyborg who took over the executive seat late September from Jim Lanzone.

Former president of Video game developer Zynga and the current Match Group CEO, Benard Kim who took over from Dubey in May shared a letter with the shareholders revealing  that it will be cutting back its investments in the Metaverse and also molding new plans which would see through a rise of an in-app digital currency called ‘tinder coins’

Nyborg leaves with her the plans of creating ‘Tinderverse’.She planned of joining forces with a reality company Hyperconnect which would tantalize the experience of the multiverse. With this, its users would meet and interact in the avatar-based world in the future.

Even though Nyborg’s reason for departure is yet unknown, Kim further states that over the past few quarters Tinder has not been able to deliver the monetization success it commonly presents. In the letter,  Match Group CEO, Kim stated that Match Group would continue keeping a closer look at the metaverse until the time is right.

I believe a Metaverse dating experience is important to capture the next generation of users […] However, given uncertainty about the ultimate contours of the Metaverse and what will or won’t work […] I’ve instructed the Hyperconnect team to iterate but not invest heavily in [the] Metaverse at this time.”

Kim also told the shareholders that after the tests on whether to bring in Tinder coins generated mixed results;

“After seeing mixed results from testing Tinder Coins, we’ve decided to take a step back and re-examine that initiative so that it can more effectively contribute to Tinder’s revenue.”

Kim is now laying the groundwork on what decisions he will make for the future of  Match Group, especially Tinder which over the past quarter has been blooming until recently Match Group’s chief financial officer noted that Tinder’s lower-than-expected revenue affected the company margins.