Facebook is the world’s leader in the social media platform. The company owns its social media web portal Facebook and is also the world’s most famous messenger and media sharing platform. That’s right; we are talking about Whatsapp and Instagram.
We all know how the social media giant makes its millions; let’s have a quick revamp of Facebook strategy for those who don’t. It’s nothing too complicated; the company runs advertisements from thousands of companies on its social media platform, accessed by millions of its users.
But now the company seems to be adopting a different money-making strategy with its Whatsapp unit.
The company is pushing more into offering customers service features that also include pay-to-message options for businesses. The messaging service seems to focus more on enterprise tools rather than advertising.
Matt Idema, WhatsApp’s chief operating officer, stated, “Our focus has been on the business messaging products.” he also said that WhatsApp is not wholly ditching advertisement but will host them inside Status.
Facebook currently charges some businesses a small fee for sending users things like receipts and confirmation reminders via Whatsapp.
The company is gearing up to offer more API features to businesses, including free storage, to host a business’s messages. Whatsapp aims to attract businesses in using its API features riding on the high level of encryption that the messaging service offers.
Facebook plans to offer a combination of commerce and customer service. Businesses will be charged to send messages through the messaging service’s API, which seems like the only way WhatsApp can make money today.
Whatsapp is also planning to add digital payment features through its messaging service, but it intends to hit a roadblock in many countries, including India. The regulations argue that using private messaging to make monetary transactions is not a safe way to bet.
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