Americas A2P SMS Market to Be Worth $31.70 Billion by 2022

Increase in mobile internet subscriber base, surge in digital advertising, demand for advanced products, emerging IoT technologies, increased ICT spending and increased adoption of mobile technologies across various verticals will continue to drive the A2P SMS Market in the Americas

Americas A2P SMS Market

​Americas A2P SMS Market to grow at a CAGR of 6.2% to aggregate $31.70 billion by 2022.

A2P (Application to Person) messaging, also known as enterprise or professional SMS, involves sending messages to the mobile user via an application. Businesses use it to communicate with their consumers, for authentication or for sending alerts such as banking notifications and alerts, booking confirmations and so on.

"The A2P SMS will continue to remain the most attractive mobile messaging type. In the upcoming years, A2P SMS adoption is expected to increase in all enterprises ranging from small to the larger ones. In addition, the rapid adoption of smart technology in the industrial sector will further enhance the demand for A2P SMS."

Jaydeep Bhattacharjee , Group Head at Infoholic Research

The A2P SMS platform help the SMEs and larger enterprises to digitally improve their brand image by sending notifications, alerts, advertisements to customers and other promotional activities and hence enhance sales revenue. The transactional services segment held the major market share for overall Americas A2P SMS market in 2016.

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“The A2P SMS will continue to remain the most attractive mobile messaging type. In the upcoming years, A2P SMS adoption is expected to increase in all enterprises ranging from small to the larger ones. In addition, the rapid adoption of smart technology in the industrial sector will further enhance the demand for A2P SMS.” –  Jaydeep Bhattacharjee – Group Head at Infoholic Research.

Transactional and promotional A2P messaging services both have a high demand in the Americas. Advancements such as mobile banking, online banking, technology innovations in mobile applications and rising number of mobile users in the Americas is driving the market.

The changing consumer behaviour and lifestyle in the Americas has impacted the market. Customer look for greater ease and are willing to pay higher for improved services. In the Americas, adoption of mobile messaging has been increasing and changing the way enterprises communicate with their customers and business partners. Thus, mobile marketing strategy is set to be a new revenue stream for mobile value chain players.

The main stakeholders in A2P SMS market are content publishers, content providers, service providers, mobile app developers, brands, advertisers, service providers and MNOs. MNOs bring about continuous technology innovations in the mobile market which positively impacts the A2P Market. In the Americas, emerging IoT technologies such as smart home, identity verification, digital advertising, cloud application programming interfaces (APIs), connected cars, mobile commerce are the major growth drivers. A2P SMS services increase the level of security and privacy of customer data by providing secure authentication services. Most of the companies would like to provide information to their customers in a secure environment and hence A2P SMS is gaining popularity. The services segment has been sub-segmented by transactional and promotional services.

Americas’ A2P SMS market is segmented by services, verticals and countries. The A2P SMS Market of America has been segmented by the following verticals- Healthcare, Transport, Media and Entertainment, Retail, IT and Telecom, Education, Logistics and Utilities and Others.

The market is segmented by key countries- The US, Canada, Brazil, Mexico, Colombia, Argentina, and Others

North America is the predominant market for A2P SMS in the Americas. The region leads in mobile technology adoption. Telecom players are consistently investing on mobile technologies. The key vendors in the market are AT&T Inc., CLX Networks AB, Open Market Inc., Verizon Communications Inc., Vodafone Group Plc, Gemalto NV, Orange Business Services, Nexmo Inc., SAP SE, Voxox Inc., txtNation Ltd, Tyntec and Twilo.

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Key Takeaways

·         The increasing demand for the mobile application (mobile banking, mobile health, mobile payment, e-commerce), rising population, and mobile data traffic are the major drivers for A2P SMS market growth in the Americas

·         Transactional and promotional services are increasingly being used in the Retail and BFSI sector to offer benefits to customers

·         Education and healthcare are the emerging verticals in the implementation of promotional services

Report Highlights

·         The report entails drivers, restraints, and opportunities (DRO) affecting the market growth over the forecast period and PEST (political, economic, social and technological) analysis

·         This report not only highlights users’ conundrum but also brings in their perspective on the market

·         Provides industry outlooks including current and future market trends and drivers, restraints, and emerging technologies

·         This report covers the overall adoption rate and the usage of A2P messaging in the Americas

·         It contains an analysis of vendor profiles, which include financial health, business units, key business priorities, SWOT, strategy, and views

·         The report includes competitive landscape, which includes mergers & acquisitions, joint ventures & collaborations, and competitor comparison analysis

Press and Media Contacts

Bhaskar Jyoti Nath

Infoholic Research LLP

 +91 8867685927, +91 8971243001



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Tags: a2p sms, a2p sms market, a2p sms technology, america a2p sms

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