Tinder is the next one to remove its Google Play Store integration within the Android app. It does so to avoid the service charge that can go as high as 30%.
Bloomberg spotted the change. The app now has a new payment system. Subscribers can simply enter their credit card details into the app. After saving their details, the app will remove the Google Play option as a payment method.
Among the many dating apps available, Tinder is the first choice of most singles. It won the dating app war. It provides singles the largest pool of single people. Dating is a numbers game. That’s why they are winning.
Not the First App
Tinder is not the first app that wanted to bypass Google’s fees. But it is the first app that modified the payment method in-app. Other apps did bypass the fees. However, they forced users to go to their website and enter their information there.
But in-app purchases are a huge deal for Apple and Google. Both of these tech giants are raking 30% of the revenue from developers. In other words, in-app purchases gave a lot of juice for these two companies; while the developers suffered.
For that reason, more and more developers are looking for ways to bypass the fees. Some of them skipped the app stores.
When Fornite was launched, it required users to download and install the app outside the Play Store. The game’s developer, Epic Games, wants to ensure that it would keep all the income from purchases.
Unfortunately, that method has one huge disadvantage. That is, users’ devices are at high risk of security exploits. And those exploits were seen after Fornite was launched.
Tinder’s move is not the same though. The reason for this is that you can download the app from Google Play Store. However, it still has the same goal, i.e. keeping all profit.
Will Other Apps Follow Suit
Other apps would likely follow the same thing. And it might hurt Google revenue. If more apps would follow, Google would lose significant additional revenue.
An Unfair Tax
A few months ago, Spotify filed a complaint against Apple because of its limited choice and competition in its app store.
Just like Google, Apple takes a 30% commission on sales that are made from the app store. This commission caused third-party app developer to complain. They called it an unfair tax. By paying the commission, the developers will have to increase their prices. And who is going to suffer? The consumers.
Google Play store revenue is expected to increase to $60 billion while the App Store might increase to $96 billion.
Recently, Netflix announced that it stopped allowing users to subscribe through the App Store. And in May 2018, it halted its support to Google Play payments.
The popularity of subscriptions enabled apps to gain 57% yearly revenue growth.
Another popular dating app, Match, did not state if it is taking a similar approach. It might depend on how Google will react to this move.