An ICT market research organization Infoholic Research predicts a whopping 2.5 trillion A2P message traffic by 2020. It also said that Asia-Pacific will lead A2P SMS market by 2022.
In the report titled, ‘Global A2P SMS Market Trends & Forecast – 2016-2022’, Infoholic Research pointed out the growth drivers of A2P SMS as the increase in retail, e-commerce transactions and mobile banking. Globally, there is also a steep surge in mobile subscriber base.
During 2016 – 2022, A2P SMS market will grow at a CAGR of 5.7%. “Globally, A2P SMS market is expected to play a pivotal role in the mobile messaging market. The increasing demand for the real-time information from the consumers will lead the business to adopt this technology to improve their consumers’ confidence. In the next five years, emerging countries are set to be the future growth opportunity for A2P SMS players,” said Bhavya H, Research Analyst at Infoholic Research.
In 2016, North America is the biggest player in A2P SMS market. Within a span of six years, Asia-Pacific region, followed by Latin America and the MEA regions will dominate the sector, the report said.
“A2P SMS has become a key revenue pocket for MNOs as A2P messages traffic is expected to reach 2.5 trillion by 2020. Many MNOs are only keen on their regional markets and not capitalizing international A2P traffic, which could rather be the actual revenue stream for them,” added Tariq Shaik from Research Operations of Infoholic Research.