Tinder and its Business Model – How does it work?


Tinder, the world’s number 1 dating application, has one of the easiest application layouts. For all the online dating beginners, the steps are: Swipe, get matched, flirt and date. This simple yet effective business model of tinder has helped it climb the stairs of startup-greatness. However, how does it really generate revenue? Let’s find out.

Business Model – Tinder

The socially awkward situations of communication and interaction with other humans have been a turn off for many people. There is a huge amount of people who avoid risking their comfort zone to approach the opposite gender.

By targeting this extremely minuscule yet integral loophole, the creators of Tinder developed the application in 2012. Currently, Tinder is owned by InterActiveCorp (IAC). IAC is an American Internet and media company who owns a number of other famous initiatives such as about.com, ask.com, Vimeo, dictionary.com etc.

What is different in Tinder?

As mentioned earlier, Tinder exploits the human reluctance to interact with people. In this way, it creates a virtual backdoor for introverts. It allows them to communicate with strangers, which is a no-no for many people.

Back in 2013-14, this new approach proved fruitful for the company as they saw a flock of users approaching them. In 2014, Tinder won the TechCrunch’s Crunchie Award for Best New Startup of 2013.

Tinder – Let’s understand the mechanism

Tinder is a location-based application that helps a user find interested people in the surroundings. The application uses the user’s Facebook account to extract the best possible results for the user. Upon matching, the users are able to chat and carry their dating mission, on.


Tinder provides a discreet option to effectively maintain a user profile which is connected with our Facebook. It contains users’ information such as Profile pictures, users’ interests, hobbies, and other consensual user information.



Considering Tinder is a location-based social application, it manages and updates people’s data to display to other users.

Tinder – Swipe

Tinder’s entire dating mechanism is based on this singular feature. The user is given two options to choose from. Upon swiping left, you can reject/dislike a profile and upon swiping right you an accept/like a profile.

Now the tricky part starts after the right swipe. If a user swipes right to a profile but that does not happen vice versa, the user won’t be able to communicate with that person. However, right swipes from both the initiate the dating.


It’s a Match!


As mentioned earlier, when both parties swipe right, Tinder displays a good new. It’s a Match!

Upon the arrival of this message, the users get the option of either to continue swiping to increase options, or to send a message.

What’s a Super Like?

Super Like came in 2015, which is probably the most effective of all features. Whenever a user swipes right, it shows that the user has an interest in that particular profile. However, when a user super likes a profile, that raises the stakes up a bit. Super likes are not as frequent as normal right swipes.

As a result, super likes are still in possession of their integrity and importance.

According to statistical analysis, conversations that start with a Super Like last 70% longer than normal conversations.

Tinder’s remunerative business strategy

Tinder Plus

Initially, Tinder came out as a free dating application in 2013. However, as most applications first conquer their market and then talk money, Tinder did that too. After creating the needs among its customers, the company divided its application into two major categories: Tinder Basic and Tinder Plus.

The Tinder Plus, with the disadvantage of being a paid application, brought multiple features to attract its customers. Such as unlimited swipes, change of location, etc.

The special features include:

  • Unlimited Swipes;
  • Passport (find a match anywhere);
  • 1 Boost per month;
  • More than 1 Super Like each day;
  • Rewind Feature;
  • Cross-matching of a basic application user and a plus application user.

As far as the cost of Tinder Plus is concerned, the prices vary from $9.99 to $19.99 in the US.

Tinder Gold

Provided you have a lucrative business strategy and a creative marketing plan, you can do wonders in the tech industry. After carefully studying its audience, Tinder realized that it can provide a number of features that will be supported by its growing audience.

Humans, although are the most educated species on earth, they are still easy to be exploited and manipulated. Tinder knows that its users have the tendency to grow anxious about who and how many people like them. It cashed this loophole.

With Tinder Gold, it introduced the feature of Likes You. It is a premium feature that lets you know who likes you and what is your like count. Using this, the user saves ample amounts of time in the tedious swiping and has an option to choose from the people who have already liked them.

Cool, right? Well, that’s how you market your strengths.

The cost of Tinder Gold varies for different ages and geographical locations. It is priced between $14.99 to $82.99.

Sponsored Profiles

There is one thing to let companies market their ads on your application. And then there is a thing bombarding advertisements. The latter gets annoying for the customer, pretty easily. Tinder, just like Snapchat, has integrated sponsored profiles in a subtle and eloquent way that doesn’t irritate its customers.

Furthermore, with the effective use of chatbots by companies, users can interact with them by simply swiping right to their profiles.


As the name suggests, the Boost feature provides a boost to the chosen profile. It moves the user’s profile to the top in the area for 30 minutes. This boost comes in the form of statistics. It shows that a boosted profile is likely to get 10X more views than a normal profile. Furthermore, it also provides a probable boost of up to 3x more matches. This feature is a standalone feature which is available at a price range of $1.99 to $3.99. It is a pre-added feature in Tinder Plus.

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