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Global A2P SMS Market 2025 Boosted By Rising Demand For Digitization In Organizations With DIMOCO Messaging, AANAM Technologies, Twilio, CLX Communications AB, Infobip, Syniverse Technologies, Vonage, tyntec, Tanla Solutions and Trillian Group

05-13-2019 07:10 AM CET | IT, New Media & Software

Press release from: The Insight Partners

Global A2P SMS Market

Global A2P SMS Market

The global A2P SMS market is estimated to grow at a CAGR of 4.4% during the forecast period 2016 - 2025 and accounts for US$ 62.10 Bn in the year 2025. A2P SMS is the communication taking place between an application and a subscriber over messaging services for various purposes. With the evolution of smartphones accompanied with the emergence of OTT players in the market, the MNO’s have seen a sharp dip in the revenues earned from P2P (Peer-to-Peer) messaging services. However, there has been a parallel increase in the A2P SMS revenues for MNOs globally.

The key players profiled in the report are DIMOCO Messaging GmBH, AANAM Technologies, Twilio Inc., CLX Communications AB, Infobip Ltd., Syniverse Technologies, Vonage, tyntec, Tanla Solutions and Trillian Group Ltd.

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SMS can reach to a customer’s even in the remotest area where there is a network connection and eventually becomes the easiest mode of communication with the customer. Distinct from instant messaging services, SMS service can function on standard and basic mobiles and it doesn’t depend on an internet connection to work. The reach and flexibility of SMS services when compared to online services is much more and the advantage of pre-paid mobile users still receiving text messages even if they’re out of balance gives the mode an upper hand. Some of the key features of messaging is that it achieves higher read rate within minutes and boasts the highest engagement rate when compared to emails and OTT mobile messaging apps. Eventually, with customers more likely to open messages than emails, it is vivid that A2P SMS market would be driven due to this.

In our study, we have segmented the A2P SMS market by type, application, and business model and vertical. The type segment of A2P SMS market includes Cloud API Messaging Platform and Traditional & Managed Messaging Services. On the basis of applications the A2P SMS market is broadly segmented into Pushed Content Services, Interactive Services, Promotional Campaigns, CRM Services and Other Services. Moreover, the market for A2P SMS is bifurcated on the basis of vertical that have large applications of A2P SMSs that include BFSI, Retail, Media & Entertainment, Travel & Transport , Hospitality and other vertical sectors that find large applications of A2P SMSs. On the basis of geography, the A2P SMS market is analyzed into North America, Europe, Asia- Pacific (APAC), Middle East & Africa (MEA) and South America (SAM).

One of the prime factors that are driving the demands for A2P SMS adoptions is increasing number of mobile phone subscribers globally making it ubiquitous devices for communication purposes. BFSI sector has witnessed large developments in the last decade. Consumer data safety and the importance of marketing strategies has been put forth as the prime factors while designing A2P campaigns for any industry vertical. The ubiquitous nature of SMS services has favored the growth of A2P SMS market significantly A2P messages are being used by banks, healthcare institutions for reminders, mobile event ticketing, One Time Passwords (OTP), flight & train updates, promotional activities and polling contests etc. to name a few. To be assured of maximum reach out to the customers, one can’t rely only on the services of OTT players. Instead, the maximum reach out can be achieved through SMS services. Reason being, globally still in many regions there are mobile phone users who do not subscribe for mobile internet services. As the OTT players generally require internet connection to ensure the delivery of messages, SMS services have been preferred by organizations in the recent past.

The mobile phone user internet penetration in the world is still on the lower side. While in developed countries, the mobile phone user internet penetration is high, in many developing and under developed countries of the world, the penetration of mobile phone internet is very low and SMS is the best preferred medium for communication to ensure maximum reach. This fact validates the rise in the usage of A2P SMS market.

Table of Content:
4 A2P SMS Market Landscape 19
4.1 Overview 19
4.2 Market Segmentation 20
4.2.1 Global A2P SMS Market - by Type 21
4.2.2 Global A2P SMS Market - by Application 21
4.2.3 Global A2P SMS Market - by Business Model 22
4.2.4 Global A2P SMS Market - by Vertical 22
4.2.5 Global A2P SMS Market - by Geography 22
4.3 A2P SMS Market - Ecosystem 24

5 Global A2P SMS Market - Key Industry Dynamics 26
5.1 Key Market Drivers 26
5.1.1 Ubiquitous nature of the SMS resulting in direct reach to the end customer 26
5.1.2 Increase in the number of mobile phone subscribers globally 27
5.1.3 High Rise in mobile based banking, healthcare services, retail & e-commerce transactional services 27
5.2 Key Market Restraints 28
5.2.1 Impact on the revenues of telecom operator’s due to the increased excavation of Grey Routes 28
5.2.2 Illegal SIM farms threatening the revenues for A2P players 29
5.3 Key Market Opportunities 29
5.3.1 Creation of Business as a Service platform by A2P messaging vendors 29
5.4 Future Trends 30
5.4.1 Convergence with IP based messaging 30

6 Global A2P SMS Market Analysis - Preferred Business Model 31
6.1 Communication as a Platform Service Model 31
6.2 Technology Roadmap 35
6.3 Regulatory Overview and Limitations 35
6.4 Competitive Product Mapping 40
6.5 Grey Route Traffic Estimates 41
6.5.1 Global Overview 41
6.5.2 Regional Overview 41

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About Us:
The Insight Partners is a one stop industry research provider of actionable intelligence. We help our clients in getting solutions to their research requirements through our syndicated and consulting research services. We are a specialist in Technology, Healthcare, Manufacturing, Automotive and Defense.

Contact Us:
The Insight Partners
533, 5th Floor, Amanora Chambers,
Amanora Township, East Block,
Kharadi Road, Hadapsar, Pune-411028
sales@theinsightpartners.com

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