Did you ever think how Whatsapp make money ?

In these social world everybody know WhatsApp , the app you are already using or have used once. This app is very popular worldwide and charge no money from the users for its uses. WHATSAPP also don't show any ads or any pop-up ads which are shown by many apps for generating revenue.

How Whatsapp app makes money ?
WhatsApp make money ?


So what you think WHATSAPP is doing only charity ? Or it is generating profiits ?
And if you think WhatsApp is generating profit then how ?

So without increasing curiosity let's start our topic.........

WhatsApp was founded by two ex employees of yahoo named Jan Kaoum & Brian Acton who also applied for a job in Facebook , but got rejected.
They started WhatsApp in January 2009.
When WhatsApp was launched it wasn't a messaging app, users could do was to update their status , which could be seen by people their network.
After the updated version launched of WhatsApp which allows users to send instant message to their network.
This feature get boost in popularity of whatsapp. After which many investors are ready to invest in WhatsApp but founder resist because they want to build a ads free app and accepting investors money might forced to compromise .
But afterwards WhatsApp had accepted $8million and $50 millions from Sequoia Capital with assurance that the app will remain ads free.

As in this initial stage of whatsapp , it is generating revenue by charging subscription fees of $1 every year to continue the services.

But after the acquisition of whatsapp by Facebook , it's business model also change.
Let's find out how ?

When Facebook acquire whatsapp for 19$ billions in 2014 , it becomes free for all users or we can say it wave it's subscription fee.
In 2014, Whatsapp had 450 millions + users worldwide.
Then Whatsapp in 2016 , implemented end to end encryption which means that nobody can read content of the users message not even WhatsApp.
But then in August 2016, Whatsapp privacy policies update, informing users that some data would be shared by Facebook.

It means Facebook uses Whatsapp data to analyze user so that they can generate users useful advertisement for every users which enhance user experience of Facebook.
Nobody knows what revenue is Whatsapp generating or not ? Because the parent company Facebook does not share the revenue breakdown of its other companies like Whatsapp and Instagram .


But there are future plans of Whatsapp of generating revenue .


  • WhatsApp business API
The WhatsApp Business App helps business to serve customers on WhatsApp and create product catalogues as well as provide customer support.
WhatsApp will charge business for slow replies. It means business will allowed to respond to messages free up to 24 hours.
And for every late respond message , it will charge some money which will vary country by country.

  • WhatsApp payment
WhatsApp payment will help users to send money easily and quickly as sending photos and messages.
This promise more benefits to Whatsapp business and constant productivity.

And there are also news that Whatsapp planning to show click ads in the status section of the app.

Conclusion


WhatsApp has become very popular in recent years and will constantly increasing its users day by day.
And they have also changed Business model time to time for growth of Whatsapp.
WhatsApp can and will generate revenue in near future which will be more than Facebook because there are people who are not using Facebook daily but using Whatsapp daily
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