Global Enterprise A2P SMS Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Enterprise A2P SMS Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Market Overview:

The latest research study on the global Enterprise A2P SMS market finds that the global Enterprise A2P SMS market reached a value of USD 69868.32 million in 2022. It’s expected that the market will achieve USD 85488.46 million by 2028, exhibiting a CAGR of 3.42% during the forecast period.

Influence of COVID-19 Outbreak on Enterprise A2P SMS Industry Development

Due to the ability of COVID-19 to spread rapidly, the global coronavirus outbreak has declared a pandemic in March 2020. the number of confirmed cases in Worldwide has exceeded 10 million. The number of confirmed cases in North America has exceeded 3 million, The COVID-19 pandemic has brought many challenges to industrial manufacturers, especially those who depend on workers who cannot complete work remotely. According to a recent survey by the National Association of Manufacturers (NAM), in USA, approximately 80% of manufacturers expect a pandemic to have a financial impact on their business. Some major industrial companies have closed factories and considered the scope of layoffs to help curb the spread of the virus, as well as for economic reasons. This has also caused a higher unemployment rate in the history of the United States. And the bankruptcy of the enterprise and high unemployment rate will definitely destroy the supply chain of A2P Messaging's downstream market and bring serious losses to A2P Messaging providers.

Secondly, A2P Messaging is mainly used in industries such as BFSI, Entertainment, Tourism, Retail, Marketing and Healthcare. And affected by epidemic isolation, contact industries like Tourism, Retail, Entertainment and others are the most affected. the COVID-19 pandemic will continue to cripple different industrial sectors worldwide, the A2P SMS market is anticipated to witness a sluggish period during 2020. As more number of governments across the world continue to fight the COVID-19 pandemic by enforcing lockdowns and announcing national quarantines, the average engagement and SMS traffic have experienced a considerable decline. It is expected that during the pandemic, the retail industry will still be hit hardest. However, due to the strengthening of network technology and IT infrastructure, telecommuting and online e-commerce activities are showing large-scale and trending. Therefore, the flow related to online transactions, alerts and notifications is increasing. One-time passwords (OTP) and increased alarm traffic are expected to provide suppliers with a window of opportunity during the COVID-19 pandemic.

Market Drivers

The increase in downstream demand is the main driving force for the development of the industry. This is mainly reflected in two aspects:

First, the increase in mobile phone users has increased market demand. According to relevant data, globally, the number of smartphone users will reach 3.2 billion in 2019 (a year-on-year increase of 8.3%), and China accounts for more than a quarter of this number. A2P (application to person) SMS service allows applications to send messages to mobile users. Typical examples of this include payment notifications, appointment reminders, bank account updates, mobile tickets, ticket information updates, and more. With the increase of mobile phone users and the popularity of the Internet, mobile phone applications in the market have increased rapidly, and application developers have increased demand for A2P (application-to-person) messaging services.

Secondly, technological innovation in the field of A2P has expanded its scope of application. The problem with traditional A2P SMS services is that the whole process is not smooth and the cost of using them is too high. Traditional A2P SMS services require companies to keep in touch with various intermediaries, such as SMS integrators, gateway providers, marketers and resellers, etc., before they can access the SMS library of different network operators.

Now, a number of brand-new cloud communication platforms use various easy-to-use technologies to improve the quality of information delivery. They also combine a pay-as-you-go pricing model for cloud services with simple phone application programming interface tools, allowing developers to integrate SMS functionality into their applications while maintaining low operating costs.
In fact, this bypasses the need for intermediaries. With direct access to global telecommunications networks, companies can increase the speed of information delivery and service reliability. This will allow more companies, especially start-ups, and application developers who were previously unable to use the A2P SMS service due to lack of manpower and funds to use the A2P SMS service.
The technological innovation in the A2P field has expanded the downstream application group and provided more opportunities for the development of the industry.

Region Overview:

Asia Pacific had the highest growth rate of all regions.

Company Overview:

Infobip, CLX Communications, SAP Mobile Services, Vodafone Group Plc. and Syniverse Technologies are the five key players in the global Enterprise A2P SMS market. These companies have shown consistent growth in revenue, larger volumes of sales and a prominent presence in terms of share in the global Enterprise A2P SMS market in the past 5 years.

Infobip is an international IT and telecommunications enterprise. It uses a private cloud infrastructure and a zero-hop connection with global telecommunications to run a full-stack communication platform as a service. Services include A2P SMS messaging, A2P voice, A2P RCS, application notifications, email, chat application messaging, and carrier billing.

CLX Communications is a service enterprise of telecommunications and cloud communications platform, whose quarter is located in Stockholm, Sweden. moreover, there are over 30 offices belong to CLX worldwide.

Segmentation Overview:

Among different product types, Transactional segment is anticipated to contribute the largest market share in 2027.

Application Overview:

By application, the BFSI segment occupied the biggest share from 2017 to 2022.

Key Companies in the global Enterprise A2P SMS market covered in Chapter 3:

Genesys Telecommunications
Silverstreet BV
SAP Mobile Services
TATA Communications Limited.
Tanla Solutions
CLX Communications
China Unicom Ltd.
Infobip
Vodafone Group Plc.
Bharti Airtel Limited
SK Telecom Co. Ltd.
Tyntec
Orange Business Services
Singapore Telecommunications Limited
Syniverse Technologies

In Chapter 4 and Chapter 14.2, on the basis of types, the Enterprise A2P SMS market from 2018 to 2029 is primarily split into:

Transactional
Promotional

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Enterprise A2P SMS market from 2018 to 2029 covers:

BFSI
Retail
IT & Telecom
Transport
Media & Entertainment
Healthcare
Government
Utilities & Logistics
Education
Others

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)