In 2012, Facebook, Mark Zuckerberg’s company and the world’s most widely used social network, bought Instagram. Two years later, it acquired WhatsApp , Facebook Messenger’s main competition. Now, with WhatsApp or Instagram , it seems that the world of social networks is under control. However, in contrast to what was done with Instagram, El Salvador Phone Number List it seems that WhatsApp has not been significantly monetized. What is a fact is that both networks, WhatsApp or Instagram (three if you count their “older brother, Facebook) have not focused on anything else, other than their growth.
Instagram Introduces New Feature To Get People Scrolling
In the first instance, after seeing a drop in users under 25, it seems that the acquisition of Instagram was more than successful. The operation cost a billion dollars and to this day it continues to generate large profits.
Monthly active users have more than doubled. Since the deal was closed, they have now exceeded one billion. Most of these live in developing countries, where Facebook exposes other types of interactions.
The two big competitors of the instant messaging network, WhatsApp, Line or WeChat, have earnings of between 7 and 9 dollars per user. Thus, it is estimated that WhatsApp could get 9 billion (or more, 12 billion dollars to be exact) a year.
Which acquisition has performed the best for Facebook?
In recent years, Facebook has been expanding through the acquisition of other major players in the market. The world of social networks is huge, but there is certainly a group that maintains most of the users.
With WhatsApp or Instagram , no one doubts that both have been profitable, in economic terms. But the radical unknown in which one.
Mark Zuckerberg, recently, has done all many actions to try to recover part of the users to the original platform. But the main objective it has is to recognize the changes in the users / audience.
WhatsApp or Instagram are places to get interaction. In addition, they work to share knowledge and information. In these social networks, people learn to learn. In addition, they have a greater reference to others and their forms of behavior. They even help to better understand the world.
WhatsApp or Instagram
As things stand so far, Instagram has returned much more in value. Instagram was cheaper (a billion dollars, compared to the net price of 22 billion dollars for WhatsApp) and that may be part of the favorable situation.
They have grown from 30 million daily active users with the acquisition to more than 1 billion today (with another 300 million using it at least once a month).
It brings in about $ 1.5 billion per quarter in revenue. It looks like the numbers will continue to rise as higher volume of user usage is forecast between now and 2020. There is no limit in sight. Overall, it comes as a spectacular return on investment.
However, it seems that Facebook’s long-term plan is heading for WhatsApp , which has just reached a good level of use. Although it has not been significantly monetized, its focus has been on growth.
One of the main features that the competition wants to adopt is the payment system. In fact, the core value of WeChat in China is that it presents itself as the most efficient payment app in the country. That is what you are looking for capitalize with WhatsApp.
Almost all e-commerce, from ordering meal tickets to buying movie tickets, is done online. Until 2016, WeChat Pay handled around $ 2 billion in transactions, a number that has likely doubled since then.
In the West, the market is still on the rise. WhatsApp Business is one of the first ways to get into this situation. Using China as a benchmark for the world, it will try to reach that number when it is 100 percent implemented.
In this context, some considerations have to be taken into account. The state of the informal economy is India (where WhatsApp has its greatest foothold), which has historically relied on cash. The change to the use of e-Commerce by mobile devices is beginning Phone Number List. So far, no mobile wallet has achieved widespread adoption.
Instagram was a bargain, which has turned into a very neat profit. WhatsApp was a very different bet. However, when considered together, WhatsApp or Instagram have become the best Facebook applications.
The first, meanwhile, if it achieves its goal of becoming the most used electronic payment application for more than 1.3 billion people in the world, it will be one of the smartest acquisitions of the Information Age. Time will only be able to prove him right.
Second, if Instagram can continue to improve the user interface that it maintains and follows the same line in the coming years, it will undoubtedly unseat Facebook as the most used social network in the world. Now it has more than a billion and managed to achieve it in a span of eight years.