We have only one over-the-top instant messaging app today ‘WHATS APP’ being Friendliest messaging app for effective communication connecting the world. Originally founded by Brian Acton & Jan Koum both being ex-workers of Yahoo! Both buddies are really not into following traditional ways of generating revenues by selling ads. In fact, Jan Koum on Whats App blog stated: “No one wakes up excited to see more advertising, no one goes to sleep thinking about the ads they’ll see tomorrow.” So, how does whats app make money?
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Advertising has us chasing cars and clothes; working jobs we hate so we can buy shit we don’t need— Tyler Durdan
Whats app unlike other application is free for download and do not sell other products like emojis, wallpapers or other things as the clash of clans or other apps do. They provide one year of free subscription service with renewal charge of 99 cents per user per year. But recent update and post at Forbes confirmed that Whats App removed the renewal charges of $0.99 and now it’s completely free of cost!! That’s cool & weird!! If they don’t sell ads & don’t charge from users how come they feed their own children??
It’s time to beware!! When you do not pay for a product, it is you who is the product!!
Tangled clues suggest that they bring in bucks from us! Their happily satisfied customers!
The Recent update was made in terms and conditions of Whats App that they may sell data to Facebook and this quote was highly criticized by the users. We all know Facebook bought Whats App at $19 billion when Whats app yearly revenue was around $10.21 Million only. Everyone wonders what Mr. Mark’s strategy is behind this high bid. Let’s dig it deep….. To the theory behind how does WhatsApp make money.
Read more about how whatsapp making money here
Whats app has around 315 billion users & 100 new users register themselves on Whats App every day make the largest community.
- Whats app proved themselves to be the best of customer satisfaction with their no ad policies focusing entirely on growth & establishing their goodwill among other apps.
- Whats app being the toughest competitor of Facebook now comes under the same ten.
- Whats app by adding new tools has almost eaten others revenues like file sharing replaced Gmail; voice calling replaced telecom providers revenue; video calling replaced Skype, Viber etc; instant messaging & multimedia messaging replaced traditional SMS & MMS.
- Whats app also quoted on a recent blog that they now work on testing the business tools for the companies. Say when a hoax transaction is being made your bank will inform you via Whats App.
How whats app makes money
Mr. Zuckerberg has ways now to generate his profit. One is being analytical & other being the futuristic way.
The first one is the simple but a bit unethical. As millions of users exchange personal messaging & data, this data is first sent to Whats App server where it is sorted & managed by a team of 50 engineers & sent to the receiver. Then the processed data along with a customized designed database is used to analyze and predict personal behavior, likes, dislikes & interests which then is used to predict the choice of ads to be displayed on person’s Facebook page. Clearly being Whats App an agency which helps Facebook to sell ads. Mr. Zuckerberg is mixing both the social media apps in order to generate the income from one another. This is a great way to earn money.
The second one is just an assumption which may or may not be followed by the owners and is clearly based on author’s thought process. The futuristic process that Whats App being free of cost is focusing on growth so they can use it for future earnings. Let’s imagine it as an example. Say Mr. Narendra Modi called the owner Mr. Mark to quote important information via a broadcast message sent by Whats App team to every user of Whats App community. And Mr. Modi will, of course, pay well for this job to be done. Hence huge revenue can be generated.
So, Whats app is focusing on the strategy of earning by no earning. It means they are trying to create more and more users on Whats app by giving their services for free in the present time. So, why they are doing so? Whats app is looking at the future by focusing on the present. It means if they would have billions of users registered on it and if they even charge its services at even very low price then also the Whats app would make huge amount of money because of the huge amount of quantity of the users in the coming future. So, these are some cruel and secret plans of the Whats app to generate income from an app that contains no ads.
Whatever be the ways of Whats App making money…. Or strategies Mr. Zuckerberg have…. Till then we can enjoy the free service of Whats App just as free vitamin D of sunlight!! I know that was the lame one.. 😀
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Also check our more articles and videos on Whats app by clicking on the link below. Here are some great Whats app tricks that you probably don’t know about. SO check this out.