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From Private to Profitable: WhatsApp shifts Focus to Business

Meta the parent company of WhatsApp in a recent report has unveiled its plans of turning WhatsApp into a market place—with the introduction of channel subscriptions, promoted channels and ads in Status in the WhatsApp Updates tab with the aim of helping users find business, products and channels they’re interested in.

However, these fresh plans are quite different from what the messaging app is known for over the years. WhatsApp has often prided itself as a ‘No gimmick’, ‘No ads’ application. Meta is  now saying it’s time for business by seeking to leverage its large users to generate revenue from WhatsApp with over 3 billion monthly users with 200 million businesses included.

The feature, expected to launch over the coming months, will introduce ads in the Status section of the app—visible through the Updates tab—ensuring they remain separate from users’ private chat conversations.

Nikila Srinivasan, WhatsApp’s Vice-President of Business Messaging Said users what to see the messaging application do more apart from just chatting and status uploads, describing the new feature is also as a result of customers interest.

“People want to use WhatsApp for more than messaging close friends and family,” Nikila said.

Business on WhatsApp

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The Updates tab is where users discover something new on WhatsApp – whether that’s a friend’s status from their wedding day or a creator’s entertaining channel – and it’s now used by 1.5 billion people per day globally. Meta noted that the Updates tab is going to be able to help Channel admins, organizations and businesses build and grow. 

Meta plans to introduce channel subscription; users will be able to support their favorite channel, such as favorite news network, by subscribing to receive exclusive updates for a monthly fee. ‘Promote channel’ features will also be introduced to help users discover new channels that might be interesting to them when looking through the directory. For the first time, meta is giving channel admins access to increase their channels’ visibility; however, Ads in status will also be featured alongside, businesses can now run advertisements/promotions on users  status updates, helping them get direct sales from users who want the goods or services being promoted.

Meanwhile, meta expressed that Subscriptions, promotions and ads will appear only on the Updates tab, away from users personal chats. Assuring users– who use WhatsApp solely for the purpose of chatting with friends and loved ones, meta said “there will be no change to your experience at all.”  

Data Privacy Concerns.

Meta is parent to top social media companies such as Facebook, instagram, WhatsApp and virtually operates in almost all the countries in world; they’ve also made bids to acquire Snapchat in the past but the bids were rejected.

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With meta virtual presence all over the world, different countries have also fallen-out with the technology company, accusing it of privacy violations and user data theft. With different countries regulatory agencies suing Meta to court and demanding payments for user personal information violations– meta is currently in a court battle with the Nigerian consumer protection agency who are demanding over $200 million in damages from the tech giant for user data theft and breach.

However, the parent company is assuring users that these fresh updates rollout won’t interfere with customer privacy–highlighting that “Your personal messages, calls and statuses remain end-to-end encrypted,” meaning no one can see or hear them. That includes Meta.

To show ads in Status or Channels that users might care about, meta will use limited info like users country or city, language, the Channels customers follows and how they interact with the ads they see.

“We will never sell or share your phone number to advertisers. Your personal messages, calls and groups you are in will not be used to determine the ads you may see.”

NWALI CHIDOZIE MICHAEL

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