The Way In Which Apps Like WhatsApp, WeChat Could Make Money While Offering Free Texting And Calling

Ever wondered Alternative App messaging app can make money while offering free texting and calling? WhatsApp users at India may be surprised to discover that there are a lot more to messaging apps than communicating. Here's how: by offering services like digital payments, online shopping and also content.
China's WeChat is one of the best example of the vast potential which messaging apps hold. With well over 900 million monthly active users, WeChat enables them do every thing from messaging, purchasing grocery, hailing cabs, purchasing online food and also offline payments at restaurants - all this without needing to go to another app. These kinds of services not merely offer the company outstanding customer stickiness, in addition they create a outstanding revenue model.
Right now, WeChat's rivals outside China including WhatsApp, Facebook Messenger, Skype, Viber and Line are behind the curve on this front, even though some have started on the road to becoming bigger platforms. "The reason chat apps are growing beyond communications is to develop a lasting monetisation strategy," said Neha Dharia, a senior analyst with a focus on messaging at London-based research firm Ovum. "Chat apps are shifting away from being just a provider of communication tools chat, voice as well as video) to becoming a platform for the exchange of services, payment mechanisms and also content consumption."
WhatsApp, the largest messaging app in the world with 1.3 billion monthly active users, introduced a business version in India very early this week. "Based on research, we all know that people WhatsApp to speak to businesses.
make business messaging far more convenient for individuals and much more productive for businesses," a WhatsApp representative said in respond to ET's questions. Whatsapp Business is a different app from Whatsapp Messenger, aimed mostly at giving a direct communication platform to small enterprises, the majority of who may be using WhatsApp already.

While Whatsapp has placed the service free, it could extend it to larger businesses with added features such as analytics, from which it may well demand a usage fee at a later stage, hence making a revenue model, segment watchers said. This also is aimed at raising subscriber connect which it can make use of for future monetization of their other services. The bigger agenda - and a more important one - for these companies is to get active users to take much more time on the app or services and also make it viable for income generation, according to analysts.
"Every single technology company is vying for consumer stickiness, interaction as well as time spent on the app, and in order to keep them around the app's ecosystem they are broadening themselves to become platforms. Simply being messaging applications offering free services is not going to be a strong revenuegeneration model," said Jayanth Kolla, founder of Bengaluru-based research firm Convergence Catalyst.

15.02.2018 19:23:28

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