Application-to-Person (A2P) Short Message Service Market or A2P SMS Market – Global Industry Insights, Market Size Estimation and Growth Forecast By Services (Push Content Services, Interactive Campaigns, Customer Relationship Management Services and Promotional Campaigns and others), End Use Industries (Healthcare, BFSI, Retail and Logistics Industry among others), Regions, 2017 – 2025

A2P SMS market - Introduction

A2P SMS Market or Application-to-Person (A2P) Short Message Service (SMS) market is expected to grow at a steady rate during the forecast period. A2P SMS or application to person short message service is mainly sent from web application to a mobile subscriber. This service allows operators to earn profit from the SMS messaging infrastructure and is also known as enterprise or professional messaging. This is used for growing businesses by communicating with customers, authenticating online users and then sending them time-sensitive alerts. Global A2P SMS market is segmented into services, end use industries and geography. Use of these services is increasing due to growing application in retail and healthcare sector. In addition to this, rising demand for maintaining strong relationship with customers form another crucial factor to boost the growth of this market globally.


Report Overview
Aspect Details
Base Year of Estimation 2016
Value Estimation Year 2017
Forecast Period 2017 - 2025
Market Segmentations By services, end use industries, region
Regional Scope North America, Europe, Asia-Pacific, Middle East & Africa (MEA) and Latin America
Report Coverage Technology Analysis, Market Dynamics, Market Trends, Segmentation Overview and Competitive Landscape of the market


Market Segmentation Overview
By Term Segments
By Services Push content services, interactive campaigns, customer relationship management services and promotional campaigns and others
By End Use Industries Healthcare, BFSI (Banking Financial Services and Institutions), retail and logistics industry among others
By Region North America, Europe, Asia Pacific, Middle East & Africa (MEA) and Latin America


Technology Analysis

Application to person is mainly a communications medium for business purposes allowing organizations to send push messages to customers. It is being sent across different geographical locations providing travel updates, banking messages as well as other value-add messages. With evolution of technology, messaging has also grown because of its security and reliability. Various technologies and protocols are maintained while sending a message from an application to a normal customer. These messages are sent over through the protocol Short Message Peer-to-Peer (SMPP) and are used for exchanging the message between SMSC (Short Message Service Centre) and other business entities or customers using TCP/IP connection. This is done by ESME (External Short Messaging Entity) establishing connection with SMSC further issuing a SMPP request for opening operation required for sending or receiving messages.


Market Dynamics

It is the growing demand for searching cost-effective ways for enhancing customer and employee engagement that is forming the biggest driver for the growth of A2P messaging services market globally.

A2P SMS allows business applications to connect with customers and thereby contributing to the growth of this market globally. This technology provides a broader coverage area without installing any extra applications.

Use of this technology further allows various business applications to connect with different customers irrespective of their geographical presence providing them with the connectivity thereby contributing to being another major reason that has resulted in the rise in demand for this market globally. Messaging is used variedly on different platforms and across different mobiles irrespective of the features that allows A2P technology being used for reaching prospective customers as well as for maintaining sound customer relationships post sales. This technology also provides a broader coverage area without installing any extra applications. All of these factors combined together have boosted the demand for this technology along with positively affecting the overall market. Considering all these drivers, it is the chances of messages being sent to the spam folder and the chances of overlooking the messages that forms some of the major restraints for this market. It is the rise in demand from different verticals to reach their customers that is going to provide opportunities for this market in the coming years.


Market Trends

Rise in concern about maintaining strong customer relationship has been a major factor that has positively affected this market. It is seen that nowadays more and more businesses are opting for cost effective solutions that also provides them with a broader reach to customers. All these factors are fulfilled by using this technology. Growth in population has led to more usage of this technology further boosting this market in Asia Pacific. In the coming years, it is expected that there will be a steady growth for A2P SMS Market in Asia Pacific and it will continue to remain one of the fastest growing regions also owing to the growing application of this technology across various industry verticals. The overall market for this industry is fragmented owing to large number of players who are present in this industry.


Segmentation Overview

The global market for A2P SMS market on the basis of services has been segmented into push content services, interactive campaigns, customer relationship management services and promotional campaigns among others. Healthcare, BFSI (Banking Financial Services and Institutions), retail and logistics industry among others form the various end use industries based on which the global market has been segmented. In 2016, customer relationship management services and promotional campaigns have been some major segments for this market with numerous applications in retail and BFSI services. By geography, the market has been segmented into North America, Europe, Asia Pacific, Middle East & Africa (MEA) and Latin America. Asia Pacific is expected to be the largest segment in terms of revenue and will also monitor highest growth during the forecast period. After Asia Pacific, North America and Europe is expected to be some other major segments for this market globally. Growth of innovative technologies along with upcoming new platforms will boost the demand for this market Asia Pacific.


Competitive Landscape

Some of the major players that are operating in the global A2P SMSmarketincludesSyniverse Technologies, LLC (The U.S.), FortyTwo Telecom AB (Sweden), AMD Telecom S.A. (Switzerland),mBlox, Inc.(The U.S.), Silverstreet BV (Netherlands),Symsoft AB (Sweden),Tanla Solutions Ltd. (India),Nexmo (The U.S.) and DIMOCO (Europe) among others. Asia Pacific has a strong base for this market and will thereby have a significant share in 2016.Large population presence along with growing usage of mobiles and smartphones has contributed to being a major factor resulting in the growth of this market. As compared to Asia Pacific, Europe and North America, concentration of these service providers is comparatively low in Latin America and Middle East and Africa (MEA) but is growing steadily in all these regions.



Organizations are progressively moving to big businesses taking messaging as an important tool for drawing the attention of buyers. Impressive rates for promoting messages has also helped in reaching a wider customer base providing prospective clients for the companies who are into this market and has been an important reason for the growth of this market. Furthermore, growing application of cost-effective customer-centric business has also led to the usage of this technology widely thereby upgrading the overall growth of this market in the coming years.

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What will be the nature of growth of the market till 2025?
What are the major push factors that will affect the growth of the market?
What are the growth possibilities in different segments of the market?
Who are the leading market players?
What are the key strategies implemented by the market leaders to sustain growth in the market?
What are the major restraining factors for the market?
What are the ways to generate new revenue streams?
In-depth analysis of the competitive landscape and competitor behavior in the market


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