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Why we don't sell ads – WhatsApp Blog

blog.whatsapp.com

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Re: Why we don't sell ads – WhatsApp Blog

#41

Post by [deleted] »

netcan wrote: post #30
lewisl9029 wrote: post #9

I do actually find their monetization strategy laudable. Selling your product to users is, in my view, a far more ethical monetization strategy than selling your users to advertisers, and tends to result in far less potential conflicts of interest. That said, I also believe communication in general is too important to be left to proprietary software, which is why I won't be using WhatsApp anytime soon.

If you want to have a messaging app, everyone needs to have it. If everyone needs to have it it needs to be free. Even if you could run this app by charging users just 50c, it would fail and get beat by an app that was free.

[deleted]

Re: Why we don't sell ads – WhatsApp Blog

#42

Post by michaelt »

yoz-y wrote: post #33
manigandham wrote: post #6

Messaging/chat are inherently bad apps for advertising anyway. This post was also from 2012, before selling to Facebook for 19B.

I'd say that messaging is amazing for advertising. Consider this scenario: - you come to a restaurant - you see a QR code on the menu, if you flash the code and share it with your friends the restaurant will give you a discount In this case the customer is motivated to use the coupon because they have a discount and their friends are more likely to come because they trust the poster. First time I've seen this method…

That sounds a lot like Farmville's approach - send ads to all your friends and you get a free cow if they sign up, or whatever.

As I recall, it wasn't very popular with the recipients of the ads.

Re: Why we don't sell ads – WhatsApp Blog

#45

Post by shubhamjain »

One big problem WhatsApp suffers from is having a majority of userbase in developing countries. India, where credit card penetration is still very low and people still are not accustomed to the concept of "buying" software, WhatsApp, simply keeps extending the free subscription period because most of people would find it very hard to pay, even something as little as $0.99.

On the contrary, people here are ready to see obtrusive ads and avoid paying anything, because "free" is better.

Re: Why we don't sell ads – WhatsApp Blog

#46

Post by mike-cardwell »

Psion7 wrote: post #38

WhatsApp isn't about putting ads into the app but for better data collection. That is why Facebook bought them. Facebook sells ads and targeting data and one of the best ways to analyse a persons life to better target them for ads is from their personal, non-public communication. You will talk about many more things in private conversation with friends and family than you will publicly on your Facebook profile. A sim…

Except, as far as I know, Facebook/WhatsApp shouldn't be able to read the messages people send each other over the WhatsApp network because of end-to-end encryption:

https://whispersystems.org/blog/whatsapp/

Re: Why we don't sell ads – WhatsApp Blog

#47

Post by blumkvist »

Spearchucker wrote: post #32
gearhart wrote: post #27

Earlier quoted context omitted.

All opinion, no sources: I've always considered it as a defensive play rather than a positive one - Facebook have this beautifully well-entrenched network effect that defends their position - their unique selling point is that they know the world's social graph, and it's terribly difficult for anybody else to try to build that data as long as Facebook provides an acceptable alternative to any new communication medium…

I'd love to see a quantification of the value of knowing the world's social graph. Specifically how that makes my life easier.

>I'd love to see a quantification of the value of knowing the world's social graph.

226.0901B United States Dollars as of this moment.

Re: Why we don't sell ads – WhatsApp Blog

#48

Post by SPascareli »

Psion7 wrote: post #38

WhatsApp isn't about putting ads into the app but for better data collection. That is why Facebook bought them. Facebook sells ads and targeting data and one of the best ways to analyse a persons life to better target them for ads is from their personal, non-public communication. You will talk about many more things in private conversation with friends and family than you will publicly on your Facebook profile. A sim…

My WhatsApp didn't even bothered asking me for the $1 when the first year ended, I still use it just fine.

Re: Why we don't sell ads – WhatsApp Blog

#49

Post by vasco »

What I don't understand is that effectively for me, and everyone I know, Whatsapp is indeed free. Everyone started using it despite the "1st year free, after that pay up" and every year since we get a message saying like "we extended your membership for another year, please consider paying though". I'm not sure if it's different in other countries but from where I stand there's loads of people using whatsapp and not paying a cent for it.

Re: Why we don't sell ads – WhatsApp Blog

#50

Post by amirmc »

Psion7 wrote: post #38

WhatsApp isn't about putting ads into the app but for better data collection. That is why Facebook bought them. Facebook sells ads and targeting data and one of the best ways to analyse a persons life to better target them for ads is from their personal, non-public communication. You will talk about many more things in private conversation with friends and family than you will publicly on your Facebook profile. A sim…

> "You don't need to stick ads IN the app to monetise it."

Exactly. I'm always surprised when people think it's the ads themselves that matter. It's the behavioural data and profiling that's valuable. With that information, you can place targeted ads elsewhere.

I'm sure most users still don't realise that WhatsApp is an FB product now.

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