![]() The company’s business strategy is based on high user growth and high user engagement. ![]() WhatsApp Business App was built to target the small business owner where they can chat with their customers and also automate, sort, and quickly respond to Their messages. It has a subscription model which gives users a chance to get rid of ads for a fee. ![]() The value proposition is the primary element of a business model. You can read Complete WhatsApp legal info in more detail on their website( here).Īlso, as per Forbes, it was estimated that the average revenue per user will reach 4$ by 2020 which makes up to a total of USD 5 billion in revenue for WhatsApp.Īlso launching of WhatsApp Business App may open up new revenue streams for Facebook. Following is the business model of WhatsApp. The reason why so many questions are asked about how WhatsApp generates revenue is that the WhatsApp application does not show ads and this mobile application is free. WhatsApp legal info showing details of using personal data. WhatsApp has been a great example of entrepreneurship and has reached its current value by having an incredible journey. So, that they can make better-targeted ads and offers placement for us on Facebook and Instagram. This saying seems true in the case of all major Facebook products either it be Instagram, WhatsApp, or Fb itself!Ĭurrently, they are not making directly any money from WhatsApp but they use our data (Chats & Shares) to know our interests, likes, and dislikes. “If you are not paying for the product then you are the product”. ![]() Soon, after the acquisition, Facebook has removed the 1$ fee structure from WhatsApp and made it free to use forever. In 2014 WhatsApp has a valuation of about USD 1.5 billion, but Facebook has acquired them for an overestimated valuation of USD 19.3 billion.
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