Post Diwali our team extensively started working to understand which user segments are the actual revenue drivers on WhatsApp. We realized that spamming can really hurt brands in the long run. Apart from personal communication, WhatsApp will become a way for them to connect to brands of their choice when they want. This will lead to lesser spam and better RoAS.Ĭustomers will finally start seeing fewer spam messages from brands. To get the same RoAS from WhatsApp, brands will have to become much more selective in choosing which users to target. The conversation window has been increased to 72 hours to incentivize 2-way communication between brands and users. User-Initiated Conversations will be called Service Conversations (only terminology changed). Marketing Conversations (Pricing increased from 48p to 73p) - Any business-initiated message for offers, promotions, and other marketing efforts. These have been made cheaper since they are necessary These have become more affordable since it will help provide a better CX to customersĪuthentication Conversations (Pricing reduced from 48p to 29p) - OTP/Authentication-related messages. Utility Conversations (Pricing reduced from 48p to 31p) - Any message facilitating a user request. Meta has decided to tackle this issue right away with its new pricing structure:īusiness-Initiated Conversations have been broken down into 3 categories So when you think you will increase revenue and retention by broadcasting to more users, you actually just end up spamming them without really impacting revenue. In fact, more than 80% of revenue from WhatsApp marketing comes from either loyal customers or 'engaged' customers (customers who reply to your comms). Message opens don't directly lead to revenue. More Messages -> More Opens -> More revenueĪfter working with 250+ brands I realized that this hypothesis is actually very wrong.
Here’s how a typical brand perceives WhatsApp Marketing: What started as a great channel for personal communication is turning into a spam channel just like SMS. I have read more than 100 posts about users complaining about WhatsApp spam in the last 3 months. RoAS for WhatsApp broadcasts will decreaseīut why does meta want to hurt your business? That makes no sense. WhatsApp has decided to increase its pricing by more than 50% starting June ’23. The WhatsApp commerce landscape is changing rapidly and Meta is the biggest catalyst in this change. If you are a D2C brand owner you cannot afford to ignore this.
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