Match Group (NASDAQ:MTCH) is known for providing a wide array of digital dating platforms. These include Tinder, Match, OkCupid, Hinge and PlentyOfFish. That’s a lot of apps, no doubt about it. Yet, Match Group is adding one more and it could give struggling MTCH stock a much-needed boost.
From a 52-week high of exactly $182, the Match Group share price has fallen to the $90 area recently. Should prospective investors take advantage of the 50% off sale, though?
As Match Group ambitiously seeks to expand its user base, the answer should be an enthusiastic “yes.” While it’s not announced on the company’s press releases page, Match Group is quietly courting a substantial niche market.
It’s a group of daters which Match Group describes as “oftentimes underserved on mainstream dating apps.” The company is referring to single parents, of which there are 20 million in the U.S.
According to Dinh Thi Bui, vice president of New Verticals at Match Group, “Having kids shouldn’t be a dealbreaker when dating.” Consequently, Match Group recently introduced an app call Stir.
Among the app’s notable features is Stir Time. This scheduling feature allows the users to indicate the days and times they’re generally available. This can be shown with terms such as “morning,” “afternoon” and “night.”
This makes perfect sense from the perspective of a busy single parent. Catering to this sizable demographic could provide a new revenue stream for Match Group.
Also, single parents might not feel comfortable using the popular Tinder app. Some folks may view Tinder as a “hook-up app.” In contrast, Stir can provide a dating platform with a more respectable reputation. Meanwhile, Match Group can advertise Stir as a relatively safe space for single parents.
Will the introduction of Stir help get downtrodden MTCH stock out of the doldrums? That’s a tough call, but it’s a step in the right direction. Therefore, feel free to pick up a few shares of Match Group as the company expands its user base to a significant market segment.
On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
