A2P SMS Market Expected to Reach USD 70.32 Billion, in 2020
07 November 2014
According to a new market report published by Transparency Market Research “A2P SMS Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2014 - 2020,” the global A2P SMS market was valued at USD 53.07 billion in 2013 and is expected to reach USD 70.32 billion by 2020, growing at a CAGR of 4.2% from 2014 to 2020. The growth of A2P SMS market is primarily driven by the increasing number of mobile subscribers. A2P SMS are currently used for various applications such as updating end-user with campaign perks, location-based opportunities, first-hand/breaking news, promoting brands, polling contest, and transactional messages by major industry verticals such as banking, financial services and insurance (BFSI), entertainment, tourism, retail, marketing, healthcare and media.
Application-to-person (A2P) SMS is a type of SMS service sent from an application, particularly a web application to a mobile subscriber. Introduction of applications such as Blackberry messenger and Whatsapp has resulted in substantial decrease in P2P (person-to-person) SMS volume. However, A2P messaging enables businesses and organizations to reach large targeted audiences of every age, demography and type of handset at low cost. Thus, A2P SMS offers potential opportunity for the growth of entire SMS market.