Report Description

Dating Apps Market is expected to report a substantial rise during the forecast period. In addition to the ubiquity of cell phones, the growing adult population is the main driving force behind industry expansion. The usage of these apps has witnessed a tremendous rise, especially among the LGBTQ community, owing to the social stigma associated with the community in many countries.

Additionally, millennials being career-oriented tend to stay single which means a lot of the adult population remains single for a long time, which is a huge asset to the online dating scenario. Other growth factors include changing perceptions of dating, increased mobile penetration, the need for more socialization post-COVID, and an increase in failed relationships. People now do not solely rely on what seems attractive to their eyes but also consider things, such as age, career, and hobbies, while they show interest in a particular profile. On the other side dating apps comes with a list of drawbacks, such as untruths and incompatibility.

In 2022, the dating app market made USD 4.94 billion in revenue, of which USD 3.1 billion came from Match Group. Over 300 million people use dating apps worldwide, with about 20 million paying for premium features. Tinder was the most downloaded app in 2022, followed by Bumble, Tinder is the most popular dating app in the United States and Europe.

Dating is one of the fastest-growing verticals on mobile. In 2020, 270 million adults used dating apps worldwide, which is almost double the number compared to 5 years ago.

A dating app is an application that enables people to meet for a date and possibly a lasting relationship. For instance, several apps, such as Bumble, Coffee Meets Bagel, eHarmony, Hinge, Match, OkCupid, WooPlus, and Tinder are designed to let people view pictures and profiles of subscribers that the app's algorithm determines are a possible match.

Global Dating Apps Market - Drivers and Trends

Technology – Ultimate Matchmaker in Digital Era:

Dating apps are indeed tech companies leveraging technology to offer social values. The fast uptake of newer technologies and digital transformation in every industry can be seen in dating apps as well. Dating apps are now taking advantage of cutting-edge software and technology, such as AI/ML, VR, and Metaverse to provide a whole new experience in dating to its users. Some of these technologies are playing a matchmaking role in dating lives:

  • AI/ML: Earlier Tinder used an ELO algorithm for matching profiles on the platform. It worked on a weightage system where users with the most right swipes had a better probability of finding matches quicker. It then now moved away from this and now relies on a dynamic system that monitors the user behaviors on the platform through their swiping patterns and what’s on their profiles. Although this dynamic system could be all, AI and ML deployed by Tinder for matching profiles. AI and ML are already creating efficient and smart business processes in different industries. It has the potential to transform the dating industry as well. The dating app Hinge employs machine learning as part of its algorithm by suggesting the most compatible match to its users.
  • 5G: Due to 5G's enhanced capacity, dependability, and speed, dating applications are now able to include additional video-based features. Although the OTT sector is the primary gainer from 5G services. Yet 5G can also provide some advantages for dating apps. For greater user engagement, dating apps now provide users with buffer-free video calls, uninterrupted live streaming, Netflix parties, etc. The market for dating applications worldwide is therefore anticipated to grow during the forecast period.
  • Blockchain: Full transparency and immutability are the two guiding principles of blockchain technology. These two elements may be crucial in confirming users' identities in dating applications while also allowing for privacy. For instance, the German startup, Hicky, was one of the first to release a dating app powered by blockchain in 2018. It was created to offer security and promote good user behavior. The company encourages consumers to pick their acquaintances more carefully by using a tokenized dating system. Also, the usage of blockchain-based gaming mechanics and recommendation systems in dating apps is expanding quickly, leading to an increase in demand for dating apps throughout the projection period.

VR and Metaverse: For daters, the Metaverse offers countless possibilities. For them, it unlocks the door to an entirely new universe of opportunities. In the context of the metaverse, dating is based on the concept of avatars, a highly developed expression of an individual. It is not unusual for people to find fulfilling relationships on virtual platforms like online gaming. But VR dating applications, such as Flirtual and Planet Theta, add a substantial amount of body language into the mix and give the impression of being physically present with others. Virtual reality (VR) technology allows users to connect authentically with their mates in innovative situations that are impractical to replicate in the physical world. A person can go anywhere, go to any pub, and even play with unicorns on a first date. Due to the widespread use of virtual reality and the metaverse, the global market for dating apps is growing rapidly. 

Innovative Communication Methods Enhance Experience

Nowadays, it is obvious that dating apps need to look at new platforms and methods for people to express themselves and give their personalities flair. The majority of dating apps in the past used straightforward text messaging as the main form of user connection. 

Dating apps are now offering new opportunities for communication because this model of engagement is becoming outdated. They included voice, in-app games and quizzes, virtual events, various video applications that were first used during the outbreak, and more. Even when they are unable to meet in person, these features make it simpler for users to communicate with and establish rapport with possible partners. As a result, it is anticipated that worldwide use of dating apps will rise quickly in the years to come. 

Increasing Significance of Authenticity:

It is challenging to come up with a better explanation of what most people anticipate getting out of meeting someone online. Many used dating apps to portray an idealized image of themselves in the past, meticulously choosing the most flattering photos and developing the personality they believed would be most appealing to others. 

Users want to view more actual, unaltered images and read profiles that represent people's true personalities and interests as they place a greater priority on authenticity and transparency in their online interactions. Even some apps encourage users to post more authentic material, like films and tales that highlight their daily lives and interests. 

Establishing Genuine Connections and Relationships:

Two-thirds of Generation Z are prepared to convert to in-real-life (IRL) dating since they can't find "genuine love" online, making this one of the most important trends in dating applications. The superficiality of online dating, where people frequently portray a perfectly manicured picture of themselves that does not accurately reflect who they are, has made many users dissatisfied with it. People instead look for ways to develop true, meaningful relationships with others.

Dating applications that emphasize fostering deeper connections rather than simply swiping through countless profiles have become popular as a result of this trend. Users can identify others who share their values, hobbies, and lifestyles by using powerful search filters, in-depth profiles, and personality tests that are frequently included in these apps.

Increasing Diversification:

With new dating trends on the skyline, it seems like people are becoming more self-aware and getting a clearer understanding of who they want to date. Younger generations, such as Gen Y and Gen Z, are leaning towards emotional maturity and want to take things slow. Thanks to them, new dating terms emerge such as Dry Dating and Women-First Dating. These users are no longer interested in the superficial qualities of potential partners and want to be careful with total strangers.

In addition, people are craving meaningful relationships and want to find a soulmate. To provide a top dating experience for their users, mobile publishers are now adapting to these changes.

Some of them are strengthening their discretion policy by setting boundaries between dates. Others create niche apps to satisfy the emotional needs of different users. Some apps in the dating category are going further and offer setting up friendly connections alongside romantic relationships. Hence, the global dating apps market is expected to grow at a higher pace during the forecast period.