Driving Business Through
A2P Messaging

White Paper

This white paper, authored by Juniper Research, provides a comprehensive overview of how Mobile Network Operators, OTTs and Enterprises can use A2P messaging and its associated use cases to drive business and realize increased revenues.

Key findings include:

  • Consumer affinity with text messaging now extends to its A2P incarnation suggesting that the market has been seeded for additional use cases.
  • A2P messaging provides MNOs with an opportunity to plug a growing cost-revenue deficit being caused by declining core revenues from voice, P2P messaging and data and increasing capex and opex costs from network upgrades. 
  • While A2P messaging generated traffic worth nearly $36.3 billion in 2016, 31 percent of that traffic was grey route and not monetized, totaling nearly $11.9 billion in lost revenues to Mobile Network Operators.
  • OTT players are heavy users of A2P messaging, generating billions of traffic per annum in their use of A2P messaging for 2FA (two-factor authentication) and to re-engage users who have abandoned their messaging application or changed device.  
  • The greatest financial benefit that A2P messaging can deliver to OTTs that provide content is in the form of an alternative billing mechanism with the value of digital content paid for via carrier billing projected to increase from $16.5 billion in 2016 to nearly $56.2 billion in 2021, an average annual growth of 28 percent.
  • Legal requirements in many countries that consumers opt-in to advertising services means that A2P is an ideal bearer, as it is regulated in a clear and transparent manner.
  • Consumers prefer SMS as a means of communicating with companies over other channels including OTT messaging apps, Facebook/Skype and push notifications direct to a company’s app.

To find out how Mitto can help you drive business with A2P messaging visit www.mitto.ch.

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