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.
The global A2P SMS API market is expected to expand at a 4.1% CAGR over the period between 2016 and 2024. The market, which held an opportunity worth US$171.9 mn in 2015, is expected to rise to US$245.9 mn by 2024. The global market for A2P SMS is expected to rise at a 4.9% CAGR over the said period and rise from a valuation of US$37.84 bn in 2015 to US$58.01 bn by 2024.
Bulk SMS Providers to Remain Key End Users of A2P SMS APIs
Presently, the end-use segment of bulk SMS providers is the largest contributor to the A2P SMS and API market. In 2015, the 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.
Other 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.
Traditional API to Retain Dominance but Cloud-based Applications to Provide Most Promising Returns
Owing to deployment across a large number of industries, the technology behind traditional A2P SMS APIs are presently the leading contributor to the global A2P SMS and API market revenues. The segment accounted for 55.3% share of the market’s overall revenues in 2015 and is expected to retain its dominance from 2016 through 2024 as well, but lose prominence to the cloud API segment. The cloud API segment is expected to expand at a 4.3% CAGR over the said period, during which the segment of traditional API is expected to rise at a relatively less 3.9% CAGR.
Asia Pacific to Continue to Lead Global A2P SMS and API Market
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. In the region, the technology segment of cloud API is expected to expand at a faster pace as compared to the traditional API segment. North America, presently the second-largest contributor to market’s revenues, is also expected to retain its position in the global market in the next few years as well.
Some of the key vendors in the global A2P SMS and API market are Twilio Inc., Syniverse Technologies, LLC, Nexmo Inc., OpenMarket, Inc., Tyntec Ltd., Ogangi Corporation, CLX Communications, FortyTwo Telecom AB, and Beepsend AB.
The application-to-person (A2P) SMS and API market report provides an in-depth analysis of the global A2P SMS API market for the period 2014–2024, wherein 2015 is the base year and the years from 2016 to 2024 is the forecast period. Data for 2014 has been included as historical information. The report covers all the prevalent trends playing a major role in the growth of the A2P SMS and API market over the forecast period. It also highlights various drivers, restraints, and opportunities expected to influence the market’s growth during the forecast period. As, the API market is directly linked with the A2P SMS, the estimates for the A2P SMS market based on the application is also covered in report.
The study provides a holistic perspective on market growth in terms of revenue estimates (in US$ Mn), across different geographies, which include North America, Europe, Asia Pacific (APAC), Middle East & Africa (MEA), and Latin America (LATAM). The report provides cross-sectional analysis of the global A2P SMS API market in terms of market estimates and projections for all the segments across different geographic regions. Further, the report also covers profiling of major players, their growth strategies, their market positioning, and their various recent developments, and includes market positioning analysis of key players operating in the A2P SMS API market.
The report covers end-user analysis of the A2P API on the basis of SMS aggregators, bulk SMS provider, marketers/resellers and telecom operators. On the basis of technology type, the market is segmented into cloud API and traditional API. The report also covers the analysis of A2P SMS at application level, which includes application such as pushed content services, customer relationship management services, promotional campaigns, interactive services among others The report includes a comprehensive coverage of the underlying economic and technological factors under the key trend analysis section.
The report also country level revenue estimates across various geographies including North America, Europe, Asia Pacific, Middle East and Africa (MEA), and Latin America. The countries covered under study includes the U.S., Canada., the U.K., Germany, France, Italy, Spain, and Rest of Europe, China, India, Australia, Japan, and Rest of Asia Pacific, UAE, Saudi Arabia, South Africa, Rest of MEA, Brazil and Rest of Latin America.
The report also highlights the competitive landscape of the A2P SMS API market, positioning and market share analysis of all the major players according to their geographic presence, historical roadmap, key recent developments, and comparison of their revenues for 2014 and 2015.
Under the company profiles section, the report provides an overview of the players operating in the market, the strategies deployed by them to gain competitive advantage, the annual revenue generated by them in the past two or three years, and their recent developments. The key players profiled in this report include Syniverse Technologies, LLC, OpenMarket, Inc., Nexmo Inc., Twilio Inc., Ogangi Corporation, CLX Communications, Beepsend AB, Tyntec Ltd. and FortyTwo Telecom AB among others.
The global Application-to-Person (A2P) SMS API market has been segmented as follows:
Global A2P SMS API Market, By Technology Type
- Cloud API
- Traditional API
Global A2P SMS API Market, By End-Users
- SMS Aggregators
- Bulk SMS Providers
- Telecom Operators
Global A2P SMS API Market, By Applications
- Pushed Content Services
- Customer Relationship Management Services
- Promotional Campaigns
- Interactive Services
Global A2P SMS API Market, By Geography
- North America (NA)
- Europe (EU)
- Asia Pacific (APAC)
- Middle East & Africa (MEA)
- Latin America (LATAM)