How Whatsapp makes money?

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How Whatsapp makes money?
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The Question we keep asking very often is “How does WhatsApp makes money?’

 

Today you would get the perfect answer with complete details right from the beginning.

WhatsApp was founded by Jan Koum and Brian Acton in Jan 2009 as a status update feature application. And WhatsApp 2.0 converted into an Instant Messaging Application. Now, the real journey begins. The application of WhatsApp is free of cost and available for all devices like iPhone, Android, and Desktop.

WhatsApp hated advertisement and their App clearly says that, “No one wakes up excited to see more advertising, no one goes to sleep thinking about the ads they'll see tomorrow. We know people go to sleep excited about who they chatted with that day (and disappointed about who they didn't). We want WhatsApp to be the product that keeps you awake... and that you reach for in the morning. No one jumps up from a nap and runs to see an advertisement.” (Would suggest Read Entire Blog)

In the early days of the app’s existence – if you can remember back to that stone age – WhatsApp was a pay-for app. It cost users $1 per year, or free for the first year and then it cost $1 each subsequent year.

Later on, WhatsApp announced that they would be putting an end to subscription fee as it wasn’t a good long-term strategy to monetizing the app.

In 2014, Facebook acquired WhatsApp for Whopping $19 Billion and opened new doors for the application.

So cutting things short, here is the answer, WhatsApp makes money via two sources, the first one is WhatsApp for Business API and the second one is WhatsApp Payments.

WhatsApp Business allows users to build their business profile and become a verified business in WhatsApp.

So how does WhatsApp make money through API?

WhatsApp has planned a really strategic revenue generation plan for this product like charging some amount of money from businesses for slow replies.

Basically, it means businesses need to send replies to their customers within 24 hours for free and after 24hrs, they have to pay a fee for every sent message. These charges may vary from one country to another countries. For better and fast messages, you can even make use of their own tool or apps like Message Bird, Zendesk, or Twilio.(paid). Master game right?

Second is WhatsApp Payment Gateway. This is going to be a game changer or maybe future Super App(If you don’t know about Super App read this story)

Well our source says that WhatsApp plans a strategy to further monetize the application by improving the development of the WhatsApp Payment feature and by introducing ads in the status section. (Sources are intern btw)

Making money is the primary objective of the business and Facebook knows really well how to monetize the WhatsApp.

But I am curious to know answer of this, Would you like to see advertisement in WhatsApp Status bar?

Akash Bagrecha

Co-Founder of Jordensky