The Latest A2P Sms Industry Statistics Explained
The A2P SMS market size was valued at USD 60.55 billion in 2019.
The statistic indicates that the total market size of Application-to-Person (A2P) SMS messaging services reached USD 60.55 billion in 2019. A2P SMS refers to text messages sent from an application to a person’s mobile phone, commonly used for services such as notifications, alerts, marketing messages, and two-factor authentication. The valuation of USD 60.55 billion signifies the total revenue generated by A2P SMS providers in the industry during the year 2019. This statistic reflects the widespread adoption of A2P SMS services and highlights the significant role they play in communication strategies for businesses and organizations globally.
This same A2P market is expected to expand at a compound annual growth rate (CAGR) of 4.9% from 2020 to 2027.
The statement implies that the application-to-person (A2P) market is projected to undergo significant growth over the period from 2020 to 2027 with a compound annual growth rate (CAGR) of 4.9%. This growth rate represents the average annual growth rate the market is expected to experience over the specified timeframe. The CAGR accounts for the compounding effect of growth, indicating that the market is anticipated to expand steadily each year at a consistent rate. Therefore, by 2027, the A2P market is forecasted to have increased by 4.9% annually on average from its size in 2020.
North America’s A2P SMS market accounted for more than 30% share back in 2017.
The statistic that North America’s A2P (Application-to-Person) SMS market accounted for more than 30% share back in 2017 indicates the significant presence and influence of A2P SMS services in the region during that time. A2P SMS refers to the exchange of text messages between an application or software and an individual, often for purposes such as notifications, alerts, authentication, and marketing communication. The fact that North America held over 30% of the market share suggests that A2P SMS was a popular and widely used communication channel for businesses and service providers in the region. This statistic highlights the importance and adoption of A2P SMS within the North American market in 2017.
The A2P messaging traffic volumes are projected to increase by 20% globally by 2022.
The statistic indicating that Application-to-Person (A2P) messaging traffic volumes are projected to increase by 20% globally by 2022 suggests a significant growth trend in the use of A2P messaging services across the world. A2P messaging involves the sending of automated messages from applications to individuals, often for purposes such as customer notifications, marketing, and authentication. The projected 20% increase highlights the growing importance of A2P messaging in various industries and the continued reliance on such communication channels for businesses to reach their customers effectively. This trend underscores the importance of businesses adapting to the evolving communication landscape and leveraging A2P messaging to enhance customer engagement and overall operational efficiency.
By 2025, the traffic of A2P messages is expected to reach 3.5 trillion.
The statistic suggests that by the year 2025, there is an anticipated significant increase in the volume of Application-to-Person (A2P) messages being transmitted. A2P messages are typically automated messages sent from applications to users, and the projected figure of 3.5 trillion messages underscores the growing reliance on digital communication channels. This data highlights the evolving landscape of communication technologies and the increasing integration of automated messaging systems in various industries such as marketing, banking, and customer service. The predicted surge in A2P message traffic points towards a continued shift towards digital engagement and underscores the need for businesses to adapt their communication strategies to meet the changing consumer preferences and technological advancements.
The A2P SMS market in Asia Pacific will expand at a CAGR of 6% from 2020 to 2026.
This statistic indicates that the Application-to-Person (A2P) SMS market in the Asia Pacific region is projected to grow at a Compound Annual Growth Rate (CAGR) of 6% from the year 2020 to 2026. A CAGR of 6% suggests a steady expansion of the market over the specified time period. This growth rate reflects a positive trend in the A2P SMS market, indicating increasing adoption and usage of A2P messaging services by businesses and organizations across the Asia Pacific region. Such growth may be driven by factors such as the rising popularity of mobile communication, the increasing reliance on SMS for marketing and customer engagement, and the growing demand for secure and reliable messaging solutions.
The cloud API messaging platform segment held over 30% of the market share in 2019.
In 2019, the cloud API messaging platform segment accounted for more than 30% of the overall market share within the messaging platform industry. This statistic indicates that cloud-based application programming interface (API) messaging platforms were a significant player in the market during that year, likely due to the increasing adoption of cloud technology and the demand for efficient and scalable messaging solutions. The strong market presence of this segment suggests that businesses and organizations were increasingly turning to cloud-based API messaging platforms to facilitate communication and data exchange, highlighting the importance and relevance of this technology in the modern landscape.
A2P SMS has a predicted 90% open rate.
The statistic “A2P SMS has a predicted 90% open rate” suggests that when businesses send Application-to-Person (A2P) text messages, such as marketing promotions or transaction notifications, they anticipate that 90% of recipients will open and read the messages. This high open rate reflects the effectiveness and engagement of SMS communication compared to other marketing channels. A 90% open rate indicates that A2P SMS is a powerful tool for reaching and engaging with target audiences, offering a high likelihood of message delivery and visibility to recipients.
Two-factor authentication is suggested to command about 20% of global A2P SMS traffic by 2022.
The statistic suggests that by the year 2022, two-factor authentication (2FA) is expected to account for approximately 20% of global application-to-person (A2P) SMS traffic. This indicates a growing trend towards enhanced security measures in digital communication, with more organizations implementing 2FA to protect user accounts and sensitive information. The increase in 2FA adoption reflects a recognition of the importance of ensuring secure access to online platforms and applications, particularly in the face of rising cyber threats and data breaches. As a result, 2FA is projected to play a significant role in the global A2P SMS landscape, highlighting its increasing relevance in the realm of digital security.
The customer relationship management services segment will grow at a CAGR of over 6% during the forecast period (2020 to 2026).
This statistic indicates that the customer relationship management (CRM) services segment is projected to experience significant growth over the forecast period spanning from 2020 to 2026, with a compound annual growth rate (CAGR) exceeding 6%. This implies that the demand for CRM services, which include software solutions and platforms designed to help businesses manage and analyze customer interactions and data, is expected to consistently increase at a steady pace. The CAGR of over 6% suggests a healthy rate of expansion within the CRM market, reflecting the continued importance that organizations place on cultivating strong relationships with their customers and utilizing technology to enhance customer engagement and retention strategies.
The gray route SMS traffic is predicted to decrease to less than 50% of total A2P SMS traffic by 2022.
The statistic “The gray route SMS traffic is predicted to decrease to less than 50% of total A2P SMS traffic by 2022” suggests that the volume of unauthorized or illegal SMS traffic, known as gray route traffic, is expected to decline significantly compared to legitimate Application-to-Person (A2P) SMS traffic by the year 2022. This prediction likely indicates increased efforts by telecommunications companies, regulatory authorities, and technology providers to combat gray route SMS activities, thereby improving the overall integrity and security of A2P SMS messaging. This trend is a positive development for businesses and users relying on SMS communication as it could lead to a more reliable and trustworthy messaging environment.
It is estimated that by 2023, the A2P SMS market in Europe alone would be worth $14.6 billion.
This statistic indicates that by the year 2023, the Application-to-Person (A2P) SMS market in Europe is projected to reach a total value of $14.6 billion. A2P SMS refers to the process of sending automated text messages from an application to a user’s mobile phone. The estimated market value signifies the significant growth and demand for A2P SMS services in Europe, highlighting the increasing reliance on mobile messaging for various purposes such as notifications, alerts, marketing campaigns, and customer communications. This statistic indicates a promising outlook for businesses operating in the A2P SMS industry and showcases the growing opportunities and importance of mobile messaging in Europe’s communication landscape.
A2P traffic in Africa and the Middle East is expected to grow at a CAGR of 3.71% from 2017 to 2021.
The statistic indicates that the average-to-premium (A2P) traffic in Africa and the Middle East is projected to increase at a compound annual growth rate (CAGR) of 3.71% between 2017 and 2021. This growth rate suggests a steady annual expansion in the volume of A2P communications, which typically involve automated messages sent from businesses to consumers. The forecasted increase in A2P traffic highlights a growing reliance on mobile messaging services in the region, driven by factors such as increasing smartphone penetration, digital transformation efforts by businesses, and rising demand for value-added services. Overall, this statistic provides insights into the upward trajectory of A2P communication usage in these regions over the specified time frame.
By 2020, Mobile operator revenues from A2P messaging were anticipated to reach $50 billion.
The statistic “By 2020, Mobile operator revenues from A2P messaging were anticipated to reach $50 billion” indicates the projected total revenue expected to be generated by mobile operators from Application-to-Person (A2P) messaging services by the year 2020. A2P messaging refers to the transmission of automated messages from businesses and organizations to mobile users for various purposes such as marketing, notifications, and authentication. This statistic suggests a significant growth in the monetization of A2P messaging services by mobile operators, highlighting the increasing reliance on mobile communication for business interactions. The anticipated revenue of $50 billion reflects the widespread adoption of A2P messaging and the lucrative potential for mobile operators in this sector.
The traffic of A2P messages in Latin America is projected to grow from 200 billion in 2018 to 260 billion in 2022.
This statistic indicates that the volume of application-to-person (A2P) messages exchanged in Latin America is anticipated to increase from 200 billion in 2018 to 260 billion by 2022. This projected growth represents a substantial upward trend in the use of A2P messaging services in the region over a four-year period. The data suggests a rising demand for A2P messaging services, reflecting the increasing adoption of mobile technology, proliferation of smartphones, and expanded usage of messaging applications among businesses and consumers. This forecasted growth highlights the significance of A2P messaging as a communication channel for businesses to reach customers, deliver important notifications, and engage in promotional activities in the Latin American market.
The A2P SMS market is dominated by key players like SAP Mobile Services and Syniverse Technologies, who have a strong presence across multiple regions.
The statistic indicates that the A2P SMS (Application-to-Person Short Message Service) market is largely controlled by major players such as SAP Mobile Services and Syniverse Technologies. These companies are significant players in the industry and have established a formidable presence in various regions worldwide. This domination suggests that they have a considerable market share and influence, potentially offering a wide range of A2P SMS services to customers across different geographic areas. As key players, SAP Mobile Services and Syniverse Technologies are likely to set industry standards, drive innovation, and shape the direction of the A2P SMS market with their strong market presence and capabilities.
In 2020, North America accounted for over 22% of the A2P SMS market, the second-largest regional market after Asia Pacific.
In 2020, North America held a significant share of the Application-to-Person (A2P) Short Message Service (SMS) market, representing more than 22% of the total market, making it the second-largest regional market following Asia Pacific. This statistic indicates that North America plays a crucial role in the A2P SMS market globally, reflecting a substantial level of adoption and usage of A2P SMS services in the region. The high market share in North America suggests a strong demand for A2P SMS services, potentially driven by factors such as increased mobile device usage, digital transformation efforts by businesses, and the effectiveness of SMS as a communication channel for businesses to engage customers and users in the region.
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