Bumble Slashes $20 Million In Q2 Marketing Spend As Founder-CEO Whitney Wolfe Herd Returns With Quality First Strategy

Bumble Inc. BMBL is pivoting away from growth-at-all-costs to focus on quality matches and user experience under returning founder-CEO Whitney Wolfe Herd, the company announced during its first quarter of 2025 earnings call on Wednesday.

What Happened: The dating app operator reported $247 million in revenue, exceeding analyst expectations of $246.65 million, though earnings per share slightly missed forecasts at $0.13 versus $0.14.

The company’s stock surged 26.65% on Thursday following the announcement, bucking the downward trend seen at rival Match Group Inc. MTCH, which recently announced a 13% workforce reduction.

“We are accelerating our efforts to improve our member base and show members a more thoughtful selection of high quality relevant profiles,” said Wolfe Herd, who resumed her CEO role in mid-March. “Quality is the key to enduring growth.”

The company is cutting $20 million from the second quarter marketing spend with “more to come” throughout 2025, primarily targeting non-organic user acquisition channels. Additionally, Bumble identified $15 million in operational cost savings to be realized by year-end.

See Also: SoundHound AI Is Winning Over Automakers And Restaurants With Its Voice Commerce Push — CEO Says Proprietary Polaris AI Is The Secret Weapon

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Why It Matters: Interim CFO Ron Fior guided second quarter revenue between $235-243 million, representing a year-over-year decrease of 10-13%. The company will pause reporting paying user metrics while focusing on improving its user base.

Wolfe Herd emphasized using AI to enhance matching algorithms, stating, “We use AI to make love more human.” The company plans a significant product update in late summer featuring improved matching algorithms, verification tools, and a new coaching hub.

“We are not scared of losing members that are unwilling to verify themselves,” Wolfe Herd added, underscoring the company’s commitment to safety and authenticity.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.