Meta has launched its first AI-based ad program for businesses on WhatsApp as it tries to generate revenue from the popular chat, the company announced Thursday at a conference in Brazil.
CEO Mark Zuckerberg announced the new tools in a video shown during the event.
The announcement marks a shift for WhatsApp, an encrypted messaging service that has a strong focus on privacy and has long avoided the targeted advertising tools that underpin Meta’s other apps, such as Facebook and Instagram.
The social media giant has been bringing business and payment features to the app for several years, including “business communication tools” that companies can use to chat with customer service and send marketing materials to people who have shared their phone numbers. for companies.
Previously, these tools were boring tools used to send instant messages to all users who wanted to receive the company’s newsletter. New AI tools use Facebook and Instagram behavior to target messages to customers most likely to receive them, assuming customers use the same preferred phone number across all accounts.
Guilherme Horn, WhatsApp’s head of strategic markets, told Reuters that these AI tools allow companies to optimize the delivery of ads to users who are most likely to engage. “This is very important for companies because they pay for these messages.”
AI tools to improve customer support
AI tools are being developed to improve the way businesses help their customers through WhatsApp and help customers find interesting new products. Artificial intelligence is trained to answer the most common questions businesses receive on WhatsApp, enabling quick responses and helping customers find the information they need efficiently.
In addition, AI integration is used to help businesses create ads on Facebook and Instagram. These ads can remind customers of items left in their cart or offer discounts on purchases they’re considering.
Meta has stepped up its efforts to monetize WhatsApp, which is the largest application for its daily users. Despite the service’s popularity and eye-watering $22 billion acquisition price in 2014, it has so far accounted for only a small portion of Meta’s total revenue.
At the conference, Meta also introduced a new AI chat that answers questions from companies directly in the chat. It’s an early test of Zuckerberg’s goal of having companies outsource their communications to automated tools.
The chat helps users with common questions, such as finding catalogs or consulting opening hours, just like existing AI-powered customer service platforms.
It also announced that it will add the Brazilian instant payment method PIX, once considered a potential competitor, to the WhatsApp payment tool in its country.
PIX, planned by the central bank, accounted for about 39% of transactions in Brazil last year and offers services similar to WhatsApp, such as money transfers from individuals and purchases. of businesses.
WhatsApp also started offering payment services from rival service providers in India last year.
