Whatsapp Policy Change Impact: 5% users in India have deleted Whatsapp; 22% claim to have reduced usage drastically
● 21% of Indian Whatsapp users claim to already be using alternate apps actively
● 75% of Whatsapp users say will discontinue business chat if it shares user and transaction information from chats with Whatsapp business accounts with Facebook and third parties
● 93% Whatsapp users will not use its payment features if it shares payment and transaction information with Facebook and third parties
Whatsapp latest policy seems to have led a section of users, mostly aware users or early adopters shifting to alternative instant messaging platforms, like Signal and Telegram. Signal app is highly focused on users’ privacy, while Telegram is a mix of features and has a private chat option as well. In the latest survey, 5% of Indians said they have downloaded alternate apps and started using them actively and also deleted Whatsapp. Further breaking down the poll, 16% said they have downloaded alternate apps and started using them actively while reducing Whatsapp usage. There were also 34% of users who said they have downloaded alternate apps though not using them actively and still using Whatsapp. On the other hand, 15% said they are still using Whatsapp and 6% said they have reduced its usage but they have not downloaded alternate apps. 18% of Whatsapp users said they plan to continue using Whatsapp same as before, while 6% said they can’t say.
The survey result indicated that 67% of Indians are still actively using Whatsapp. There were also 22% of citizens who said that they have reduced usage of Whatsapp. Only 5% said they have deleted Whatsapp.
5% of Indian whatsapp users have deleted it while 22% have reduced usage
21% of Indian Whatsapp users are already using alternate apps actively
According to app analytics firm Sensor Tower, Signal recorded 26.4 million downloads from India between 4 January and 17 January, while Telegram had recorded 9.1 million downloads. There were also 5 million new downloads for WhatsApp during that period. The latest survey by LocalCircles indicates that while 55% of citizens have downloaded alternate apps, 21% of citizens are actively using it. Many users may have already had the Signal and Telegram apps on their phones before the new Whatsapp policy changes were proposed.
75% or more Whatsapp users in India will completely stop using business chats and payments if the instant messaging app were to implement its policy
Whatsapp has come out with a clarification and specifically outlined that data of chats with business accounts along with user’s profile details, image, contact information will be shared with Facebook, Instagram and could be shared with third-party service providers. This in essence means that if a customer gets a Whatsapp Business Chat update for a flight booking they made on a website or app and the transaction details and invoice was shared on Whatsapp by the website or app, that data can be utilised by their competitor via Facebook advertising and the user could get unsolicited offers for hotels and taxi services on their Facebook, Instagram and possibly even their email, sms and Whatsapp.
Given this background, the survey asked citizens if going forward they plan to continue chatting with Whatsapp Business accounts, the majority of 75% users said “No”. Only 13% of citizens said they will not use payment but may use business chat. Only 1% said they will use both business chat and payments. There were 7% who voted “can’t say”. In the last survey, 67% citizens said “No”. Only 17% voted “Yes”, while 16% said they haven’t decided yet.
Per aggregate responses from citizens, the percentage of users who are likely to not use Whatsapp Pay if the instant messaging app decides to implement the policy come May 15th is at 92%. Whatsapp and Facebook must reconsider this feedback and make changes to their policy if they are serious about Whatsapp Pay becoming a key player in the UPI payments space in India. Currently Google Pay, Phone Pe and Paytm have majority of the market share in this segment.
Similarly, the percentage of users who are likely to not use Whatsapp Business Accounts if the instant messaging app decides to implement the policy come May 15th has increased by 12%, from 67% in January 12th survey to 79% in January 28th survey.
17,000+ responses were received from citizens across 232 districts of India. 64% respondents were men while 36% respondents were women. 52% respondents were from tier 1, 29% from tier 2 and 19% respondents were from tier 3, 4 and rural districts. The survey was conducted via LocalCircles platform and all participants are validated citizens who had to be registered with LocalCircles to participate.