Tinder recently decided to start using Google technology to sell their ad inventory programmatically. However, ads do not make up most of their revenue, subscriptions do. To find out more about Tinder’s ad process and why they’ve decided to follow this route, watch this week’s ad ops news video below!
Popular dating app Tinder is getting its feet wet with programmatic advertising through Google ad servers.
Using Google Ad Manager, Tinder will manage their campaigns and accelerate revenue.
They will make inventory available to advertisers at fixed rates through programmatic guaranteed and private marketplaces.
Tinder made a similar partnership in 2017 with Facebook to sell ads via their in-app ad network.
Parent company Match Media only derived 3% of its total revenue from ads for the second quarter of 2018.
The rest of their revenue came from subscriptions for their dating app and platform services.
Tinder isn’t trying to monetize every impression possible but is testing how user behavior changes with ad frequency.
Using Facebook and Google, Tinder can reach advertisers they usually won’t be able to on their own.
In the future, they could shift to using only Google as Facebook plans to launch a dating service that could hinder its deal with Tinder.
Match Media has been slow to monetize their mobile apps because of tech difficulties for rendering rich media formats.
Although programmatic is on the rise, the company still runs the bulk of its ad sales through insertion orders.
The in-app advertising market is also set to grow to $201B in 2021.
Tinder will continue to expand its ad business allowing advertisers to buy inventory through traditional or programmatic methods.
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