Expanding Focus: Bumble’s Acquisition of Geneva
Bumble, the popular dating app, has recently made an acquisition that signals a shift in the company’s focus. It has acquired Geneva, an online platform that facilitates the formation of real-world groups and clubs. This move is aimed at expanding Bumble’s offerings from “one-to-one connections to groups and communities,” with a particular emphasis on friendships.
The terms of the deal have not been disclosed, but Bumble’s CEO, Lidiane Jones, has expressed the company’s intention to pursue acquisitions as a means of driving growth. Jones, who joined Bumble from Slack last year, emphasized the importance of considering the “value add” of an acquisition and how it aligns with the company’s long-term goals.
While Bumble has previously engaged in mergers and acquisitions sparingly, this recent acquisition follows its previous acquisitions of French dating app Fruitz and couple app Official. However, Bumble’s recent focus on friendships stems from a broader decline in the dating app industry, which led to the company laying off 30% of its workforce this year due to weak earnings. Recognizing this shift in user behavior, Bumble has already developed a separate friends app that facilitates local meetups. The acquisition of Geneva further reinforces Bumble’s commitment to fostering meaningful connections beyond romantic relationships.
Geneva, founded in 2019 in New York, offers a platform for like-minded individuals to meet and engage in activities such as running clubs or book discussions. The company has garnered significant support, raising approximately $36 million from notable investors including Coatue, Instagram founders Mike Krieger and Kevin Systrom, Sequoia’s Michael Moritz, and Patreon co-founder Jack Conte.
Bumble’s plan moving forward is to leverage Geneva’s powerful technology platform to enhance its friendship product. While it remains unclear how Geneva will be integrated into Bumble, the company has hinted at Geneva ceasing to operate as a standalone platform. Geneva, however, has assured its users that existing groups will continue to be supported during the transition. In the meantime, Geneva has temporarily become invite-only as it undergoes the acquisition process. The acquisition is expected to close in the third quarter of 2024.
By acquiring Geneva, Bumble aims to solidify its position as a platform that facilitates meaningful connections and fosters communities. The move reflects the company’s recognition of shifting user preferences and its commitment to adapt and evolve accordingly. As Bumble continues to explore new avenues for growth, the integration of Geneva’s technology platform presents an exciting opportunity to enhance its friendship-focused offerings.
