A2P segment accounts for over 34.1% share in global marketplace

Mobile enterprise messaging from Vectramind

With smartphones becoming a ubiquitous product, industries such as tourism, retail, banking, financial services, and insurance (BFSI), healthcare, entertainment, and media are surging ahead to reach out to the vast base of mobile and smartphone users through A2P SMSs.

 By the end of 2014, half the world’s population had at least one mobile subscription, totaling to nearly 3.6 bn unique mobile subscribers. The numbers are expected to increase by over 1 bn by 2020 globally.

Transparency Market Research analysts state that the factor is expected to have a substantial impact on the overall development of the A2P SMS and API market in the next few years. Presently, the end-use segment of bulk SMS providers is the largest contributor to the A2P SMS and API market.

A2P MOBILE MESSAGING NUMBERS

In 2015, the A2P segment accounted for over 34.1% share in the global market and is expected to expand at a 4.3% CAGR from 2016 through 2024, retaining its dominance in the global market through this period.

The rising popularity of bulk A2P SMSs as an effective and cheaper mode for undertaking business communications has helped the segment remain at the forefront of the market in the next few years as well

On the other spectrum , the end-use segments of the global A2P SMS and API market such as SMS aggregators, marketers/resellers, and telecom operators are also expected to expand at equally healthy paces over the forecasting horizon.

 The segments of SMS aggregators and telecom operators are both expected to rise at 4.1% CAGR from 2016 through 2024. Asia Pacific is presently the largest revenue contributor of the global A2P SMS and API market and is expected to expand at the fastest pace among key regional markets as well. The region’s prominence in the global market is owing to factors such as the rising penetration of smartphones, an expanding e-commerce industry, and rising online transactions.