A2P messaging growth increases demand for SMS platforms

a2p messaging platformTechnology has put a different slant on the way we communicate. To be obvious, we no longer require leaf-clad runners to cover hundreds of kilometers from one point to another to deliver our message. We have figured out how to turn a message into raw data packages, compress it, transmit it and expand it into the original from one device to another regardless of location and distance.

Nowadays, we have many channels of instantaneous communication, some of which are evolving still, creating new opportunities for businesses.

Cradle of A2P

Once upon a time, SMS was predominantly used for personal communication. The emergence of OTTs such as Viber, Skype, and WhatsApp has drastically changed that. One trend we observe is that such apps have successfully vacated SMS from personal-type communication in many regions in the world, leaving this communication channel free to be commercialised for specific business needs. The trend is clearly outlined and on an upward trajectory.

The result of this commercialisation is the emergence of Application-to-Person messaging (A2P), or the so-called enterprise SMS. A2P is any message that aids a service like automatic notifications, 2-step verification, payment reminders, balance statements, anti-fraud and other alerts, and so on.

Advantages of A2P

A2P messaging’s most obvious advantage is that it is a cost-effective, efficient method of increasing customer retention rates and adding value to a service. Another advantage is its extremely high readability rate—an almost perfect 98%! Compare this to e-mail’s only 20% readability, and you will get a clearer picture of how much potential there is in A2P messaging!

Automated messaging linked to a service to which a customer has subscribed is non-intrusive. It is, rather, complementary. It is also a very secure way to transmit sensitive information as the service goes straight from the provider to the recipient, with no points in between that could jeopardize the information.

Spread of A2P

A2P is expected to snowball in popularity. It has already penetrated many major industries, including finance, healthcare, retail, etc. It is anticipated that it will soon find use in education and other counter-intuitive industries as well. Growth is happening. There’s no doubt. And with it, more and more businesses will be subscribing to high-grade SMS platforms to deliver this value-boosting service to their customers.

One region of the world where this has been especially relevant in Asia. Countries like China and India, for example, contributed to almost half of the global A2P messaging traffic in 2015 (based on data by Transparent Market Research). Thanks to the increase in smartphone usage, volumes have risen significantly in this and other regions. For Asia, A2P is likely to remain a key driver for the transformation of customer service, and we expect further growth.

Quality SMS platforms: Growth in parallel

To take advantage of this boom, businesses require a quality A2P messaging platform. MediaCore SMS is an award-winning Bulk SMS solution with a complete set of functionalities that guarantees an exceptional A2P messaging service, as part of a wider package of SMS services. The platform covers all aspects of the SMS business and includes billing, routing, and switching modules. It can be used as a stand-alone platform that can be integrated with any third-party system like ERP, CRM, etc.

To learn how you can integrate an A2P messaging service into your business and create a new venture, enquire about MediaCore SMS at software@speedflow.com