Grindr Inc. (NYSE:GRND) is actively exploring new premium pricing tiers as it makes a significant strategic pivot to become an “AI-native company,” according to CEO George Arison, who revealed this in a recent interview with Matt Joanou for Marketopolis by Benzinga.
The company is investing heavily in artificial intelligence to enhance its user experience, alleviate “dating app fatigue,” and ultimately drive higher average revenue per user (ARPU).
Check out GRND’s stock price here.
On Path To Become An ‘AI-Native Company’
The move signals a major evolution for the world’s largest social networking app for gay, bi, trans, and queer people. Arison explained that future AI-powered features will offer a level of value that justifies a new pricing structure beyond its current subscription tiers.
This new functionality aims to reduce the “work” of making connections by acting as an intelligent matchmaking assistant.
“The value we’re creating for users with some of the AI features is just so much more than what we are charging right now… it’s an exponentially different value,” Arison stated.
He pointed to the recently launched “A-List” feature—which uses AI to summarize chats and identify a user’s top “contenders”—as the first step in this new direction.
This AI-driven strategy is set to fuel Grindr’s already impressive financial performance, with Arison confirming the company is “running ahead” of its stated goal of 22.5-27.5% annual growth. By developing tools for both “hunters” seeking immediate connections and “gatherers” building long-term social networks.
Beyond Dating: A ‘Social Utility’ App With Telemedicine Venture ‘Woodwork’
Arison unveiled “Woodwork” as Grindr’s first major step in its strategy to evolve from a dating app into a broader “social utility.” Described as a startup within the company, Woodwork is a telemedicine platform designed to serve the specific health needs of the gay community, beginning with treatments for erectile dysfunction.
This venture represents Grindr’s ambition to “capture more of the user’s wallet” by building new business verticals that leverage the trust and engagement of its massive user base. It’s the first tangible example of how the company plans to expand into new areas like health, travel, and lifestyle to become an indispensable part of its users’ lives.
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Power To Fight For Gay Rights Globally
Arison powerfully linked Grindr’s financial success directly to its ability to advocate for LGBTQ+ rights globally. He framed the company’s growth as a mission-driven endeavor, arguing that a higher market cap translates into greater political influence.
While Grindr’s current valuation already grants them access to lawmakers, he painted a more ambitious picture for the future. “Imagine if we’re a $25 billion company, like how much impact would we have on the world that way?” Arison posed.
“Because with financial success comes power.” This philosophy positions Grindr not just as a business, but as a formidable corporate entity capable of championing the rights and safety of the gay community on the world stage.
Price Action
Shares of Grindr closed 4.51% lower on Tuesday at $15.02 per share, and it was up 0.20% in after-hours. With a $2.89 billion market capitalization, the stock has declined 16.32% on a year-to-date basis and advanced 27.50% over the last year.
Benzinga’s Edge Stock Rankings indicate that GRND maintains a weaker price trend in the short, medium, and long terms. Additional performance details are available here.
The SPDR S&P 500 ETF Trust (NYSE:SPY) and Invesco QQQ Trust ETF (NASDAQ:QQQ), which track the S&P 500 index and Nasdaq 100 index, respectively, rose on Tuesday. The SPY was up 0.38% at $666.18, while the QQQ rose 0.27% to $600.37, according to Benzinga Pro data.
The futures of the S&P 500, Dow Jones, and Nasdaq 100 indices were lower on Wednesday.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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