Meta's WhatsApp Launches New AI Tool for Businesses
Meta has launched its first AI-driven ad targeting program for businesses on WhatsApp, aiming to generate revenue from the popular chat service, the company announced at a conference in Brazil on Thursday.
CEO Mark Zuckerberg introduced the new tools in a video shown during the event.
This announcement signifies a shift for WhatsApp, an encrypted messaging service known for its strong privacy focus and its previous resistance to targeted advertising tools like those on Meta’s other apps, Facebook and Instagram.
For several years, Meta has been adding commerce and payment features to WhatsApp, including “business messaging” tools for customer service chats and marketing materials to users who have shared their phone numbers with companies.
Previously, these tools were used broadly, sending messages to all users who had opted in. The new AI tools will now use behavior on Facebook and Instagram to target messages to customers most likely to be receptive, as long as they use the same opted-in phone number across accounts.
WhatsApp’s head of strategic markets, Guilherme Horn, told Reuters that these AI tools will allow businesses to optimize ad delivery to users most likely to engage, which is crucial since businesses are paying for these messages.
Meta has been intensifying efforts to monetize WhatsApp, its most-used app in terms of daily users. Despite its popularity and the $22 billion acquisition cost in 2014, WhatsApp has only contributed a small portion to Meta’s overall revenue.
At the conference, Meta also unveiled a new AI chatbot to handle business inquiries directly in chat, an early step towards Zuckerberg’s goal of automating business communications. The chatbot will assist with common requests like finding catalogs or business hours, similar to existing AI customer service platforms.
Additionally, Meta announced the integration of Brazil’s instant digital payment method, PIX, into WhatsApp’s payment tool in the country. PIX, developed by the central bank, accounted for about 39% of transactions in Brazil last year and offers services similar to WhatsApp’s payment tool, such as money transfers between individuals and purchases from companies.
WhatsApp also started offering payment services from rival providers in India last year.
