A2P SMS Market Will Cross Around USD 70.0 Billion by 2020

Global demand for A2P SMS was valued at around USD 55.0 billion in 2014, and is expected to reach USD 70.00 billion in 2020 growing at a CAGR of around 4.0% by 2020

Zion Research has published a new report titled “A2P SMS Market for Pushed Content Services, Customer Relationship Management Services, Promotional Campaigns, Interactive Services and Other Applications: Global Industry Perspective, Comprehensive Analysis, and Forecast, 2014 – 2020.” According to the report, global demand for A2P SMS market was valued at around USD 55.0 billion in 2014, and is expected to reach USD 70.00 billion in 2020, growing at a CAGR of around 4.0% between 2015 and 2020.

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A2P SMS is an application interface that provides the service of SMS to the end-users or customers. A2P SMS is also called as a professional of enterprise SMS. Banking notifications, critical alerts, SMS-based two factor authentication, automatic booking confirmations, loyalty programs and marketing notifications are some of the most common examples of A2P SMS. This service provides various kinds alerts messages, news, notifications, promotional messages, flight alerts, banking updates, polling contests, etc. A2P SMS services are used by large number of end-users across banking, financial services, and insurance, retail and marketing, healthcare, media, entertainment and tourism industry.

Rapidly growing mobile subscribers across the world is a one of the major driving factors for the global A2P SMS market, especially rapidly growing mobile subscribers in emerging economies such as India, China, etc. Large number of senders and receivers are depending upon A2P SMS for mobile payments, banking, and marketing activities. Additionally, rapidly advancing technology and innovations are also expected to fuel the growth of this industry. However, technological issues and illegal activities are expected to be major concerns for telecom operators during the forecast period.

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A2P SMS Market

Pushed content services, customer relationship management services, promotional campaigns, interactive services and other applications are the key the application segments of A2P SMS market. Customer relationship management service was one of the leading application segments and accounted for more 30% share of the overall revenue generated in the year 2014. Moreover, promotional campaign by industries and enterprises is another important outlet for A2P SMS, which is projected to exhibit strong growth during the forecast period.  

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Asia Pacific was the leading regional market for A2P SMS, with around more than 40% share in total revenue generated in 2014. Strong growth of e-commerce and insurance industry in China, India and other emerging economies for the region are driving demand for A2P SMS. Huge population coupled with rapidly increasing mobile subscribers has been resulted into strong growth of A2P SMS market in the region. North America and Europe are other important regions for A2P SMS market. Latin America and Middle East Africa are also expected to experience significant growth of A2P SMS market during the forecast period.

Some of the key players for the global A2P SMS market include Syniverse Technologies, LLC, AMD Telecom S.A., FortyTwo Telecom AB, mBlox, Inc., Ogangi Corporation, Silverstreet BV, Tanla Solutions Ltd., Symsoft AB, Angkor Data Communications Group Co. Ltd., and Optimizer International Group, Inc.

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