Australia A2P SMS Market to Grow at a CAGR of 6.8% to reach US$ 828.3 Mn from 2018 to 2027

Australia A2P SMS Market to 2027 - Country Analysis and Forecasts by Type (Traditional & Managed Messaging Services, Cloud API Messaging Platform); Business Model (Large Enterprise and SMEs); Application (Pushed Content Services, Interactive Services, Promotional Campaigns, CRM Services, and Other Services); and End-user (BFSI, Media & Entertainment, Travel & Transport, Hospitality, Retail, and Others)

Publication Month : Dec 2019

  • Report Code : TIPRE00007902
  • Category : Technology, Media and Telecommunications
  • Status : Published
  • No. of Pages : 119
Inquire Before Buy

PRICING

$3000

$1800

The Australia A2P SMS market is estimated to account US$ 470.5 Mn in 2018 and is expected to grow at a CAGR of 6.8% during the forecast period 2018 – 2027, to account to US$ 828.3 Mn by 2027.

Australia is among the wealthiest countries present in the APAC region and is still focusing on economic expansion. Australia is a significant market for MNCs; a stable political and business environment; a well-educated, skilled, and multi-lingual workforce; with a competitive market. These factors offer the right environment, which allows several MNCs to drive technology and innovation. The power of SMS to spread awareness and social welfare is being used to a great extent. In Australia, mobile commerce is changing the traditional methods of purchasing items and daily financial transactions. A2P SMS is finding a huge application for authentication and promotional campaigning purposes, thus, bolstering the A2P SMS market in the country. Increasing demand, growing business models, changing customer lifestyle, and high adoption rate of mobile are the major factors supporting the enhancement individual investments on mobile applications. The ubiquitous nature of SMS guarantees the frequent and quick reach out to customers who are staying in the far-off places, which has encouraged marketers to opt for this communication channel. The sturdy inclination towards SMS for marketing and other associated activities has been proved effective and subsequently been implemented by various industry verticals. Growing adoptions of A2P SMS is resulting in the growth of revenues generated by A2P SMS compared to P2P SMS. The significance of promotional and marketing campaigns has cheered marketers to find different communication channels for businesses and therefore, A2P SMS has become one of the primary revenue sources with high adoption rates. These factor is upsurge the growth of the revenue size of Australia A2P SMS market. This as a result has positively impacted Australia A2P SMS market

Australia A2P SMS Market Insights

Ubiquitous Nature of The SMS Resulting in Direct Reach to The End Customer

The evolution of smartphones coupled with the emergence of Over-The-Top (OTT) messaging platforms such as WhatsApp and Hike have reduced the usage of conventional message system.  The revenues earned by the Mobile Network Operator (MNO) companies through the traditional messaging platform termed as Peer-to-Peer (P2P) messaging has witnessed a sharp downfall and as of today, is almost on the verge of getting diminished. Although, the P2P messaging market has fallen down sharply, the market for Application-to-Person (A2P) SMS has experienced parallel rise in the last few years in Australia. The ubiquity offered through SMS service and its capability to reach the last mile customer is today being utilized by the marketing companies and many other organizations to ensure maximum customer reach resulting in the unprecedented growth of this market. Thus, drive the Australia A2P SMS market.

Creation of Business-as-a-Service (BaaS) Platform by A2P Messaging Vendors

Specialized A2P SMS companies have the capacities to bring the technology and the business model to operators in a partnership that enables operators to deploy an A2P SMS platform with no CAPEX or OPEX and soon start enjoying the benefits of A2P SMS.  In this arrangement, the platform provider takes care not only of the technology but integration and platform maintenance and customer support. Despite the opportunities presented to them, operators sometimes aren’t capable to take advantage of A2P SMS. Therfore, creating huge opportunity for the Australia A2P SMS market in the forecast period.

Type Segment Insights

The Australia A2P SMS market by type is segmented into traditional and managed messaging services, and cloud API messaging services. Traditional and managed messaging services provide end users with an ability to efficiently manage operational services and develop infrastructure, along with helping enterprises to focus on their business processes. The ease of integration onto the consumer platforms has ensured high demands for this type of solution. These factors resulted in the steady growth of Australia A2P SMS market.

Business Model Segment Insights

The Australia A2P SMS market, by business model, is segmented into large enterprise and SMEs. A2P SMS forms a distinct part of communication processes of large enterprises and have significant impact over the company’s technology systems and infrastructure, including existing server center networks. Moreover, large enterprises need to comply with stringent regulatory compliance rules regarding data protection, and business stability and security, which drives these companies to adopt messaging solutions provided by handful of notable players. Demand for excessive time, resource, and investments from messaging vendors makes large enterprises a potential revenue generator for players in the highly fragmented Australia A2P SMS market.

Australia A2P SMS Market by Business Model

 Australia A2P SMS Market
  • Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.
  • Request discounts available for Start-Ups & Universities

Customize Research To Suit Your Requirement

We can optimize and tailor the analysis and scope which is unmet through our standard offerings. This flexibility will help you gain the exact information needed for your business planning and decision making.

Australia A2P SMS Market: Strategic Insights

australia-a2p-sms-market
Analyst Image

Naveen

Have a question?

Naveen will walk you through a 15-minute call to present the report’s content and answer all queries if you have any.

Analyst Image  Speak to Analyst

Some of the market initiatives were observed to be most adopted strategy in the A2P SMS market. Few of the recent market initiatives are listed below:

2019:

Infobip announced its partnership with AmBank, to launch lBizM.A.T.E (Multi-partner, Actionable, and Technologically Efficient Solutions) together with 16 other partners.

2018:

Twilio expanded its presence in Australia and selected Richard Watson as a regional country director in Australia. The Australian office aims to develop jobs in sales, customer experience, and service & support in Melbourne and Sydney..

2016:

Twilio Inc. partnered with T-Mobile by launching a wireless bandwidth platform with the help of T-Mobile. Twilio Programmable Wireless, the new platform will enable developers to have the flexibility to create the applications around cellular data without relying on Bluetooth, short range networks and Wi-Fi.

Australia A2P SMS MARKET SEGMENTATION


Australia A2P SMS Market – By Type

  • Traditional & Managed Messaging Services
  • Cloud API Messaging Platform

Australia A2P SMS Market – By Business Model

  • Large Enterprise
  • SMEs

Australia A2P SMS Market – By Application

  • Pushed Content Services
  • Interactive Services
  • Promotional Campaigns
  • CRM Services
  • Other Services

Australia A2P SMS Market – By End-user

  • BFSI
  • Media & Entertainment
  • Travel & Transport
  • Hospitality
  • Retail
  • Others

Australia A2P SMS Market - Company Profiles

  • 3mDigital Networks Pvt. Ltd.
  • Infobip Ltd.
  • MessageBird
  • Modica Group
  • RedCoal Pty Ltd.
  • Sinch
  • Singtel Optus Pty Limited (Optus)
  • SpaceEdge Technologies Pvt. Ltd.
  • Twilio Inc.
  • Vodafone Group Plc.
Report Coverage
Report Coverage

Revenue forecast, Company Analysis, Industry landscape, Growth factors, and Trends

Segment Covered
Segment Covered

This text is related
to segments covered.

Regional Scope
Regional Scope

North America, Europe, Asia Pacific, Middle East & Africa, South & Central America

Country Scope
Country Scope

This text is related
to country scope.

Frequently Asked Questions


What are reasons behind A2P SMS market industry growth?

Increasing demand, growing business models, changing customer lifestyle, and high adoption rate of mobile are the major factors supporting the enhancement of individual investments on mobile applications. The ubiquitous nature of SMS guarantees the frequent and quick reach out to customers who are staying in far-off places, which has encouraged marketers to opt for this communication channel.
The sturdy inclination towards SMS for marketing and other associated activities has been proved effective and subsequently been implemented by various industry verticals. Growing adoptions of A2P SMS is resulting in the growth of revenues generated by A2P SMS compared to P2P SMS. The significance of promotional and marketing campaigns has cheered marketers to find different communication channels for businesses and therefore, A2P SMS has become one of the primary revenue sources with high adoption rates. Hospitality, media and Entertainment industry, travel and transport industry, and retail industry are the major users of A2P SMS for CRM (Customer Relationship Management) services, interactive services, and promotional campaigns.

Which type segment generates the highest revenue?

The A2P SMS market is segmented on the basis of two types-traditional and managed messaging services, and cloud API messaging services. Cloud API messaging services are low in cost and easy to integrate, which contribute to the higher adoption of these services; the factors are also anticipated to propel the segment toward dominance by the end of the forecast period.
The high degree of customization offered by cloud API platforms is another major factor driving the growth of the market for this segment.

What are market opportunities for A2P SMS?

Specialized A2P SMS companies have the capacities to bring the technology and the business model to operators in a partnership that enables operators to deploy an A2P SMS platform with no CAPEX or OPEX and soon start enjoying the benefits of A2P SMS. In this arrangement, the platform provider takes care not only of the technology but integration and platform maintenance and customer support. Despite the opportunities presented to them, operators sometimes aren’t capable to take advantage of A2P SMS.
There would be a lot to offer for service providers rather than merely providing a connection of existing infrastructure to an operator’s network. In this case, the specialized messaging provider would provide the entire messaging platform along with the managed services. Instead of working as separate entities, messaging specialists partnering directly with operators lies in the future for A2P SMS. They would be benefited from the infrastructure of the messaging provider and the experience of the messaging provider in the particular domain. As SMS reaches nearly 6 billion mobile devices across the world being the only communication tool to boast those numbers, this will provide the operators once again earn the benefits of this ubiquitous and versatile technology.

The List of Companies

  1. Infobip Ltd.
  2. Vodafone group plc
  3. Twilio, Inc.
  4. MessageBird
  5. Modica Group
  6. RedCoal Pty Ltd.
  7. Sinch
  8. 3mDigital Networks Pvt. Ltd.
  9. Singtel Optus Pty Limited (Optus)
  10. SpaceEdge Technologies Pvt Ltd.

The Insight Partners performs research in 4 major stages: Data Collection & Secondary Research, Primary Research, Data Analysis and Data Triangulation & Final Review.

  1. Data Collection and Secondary Research:

As a market research and consulting firm operating from a decade, we have published many reports and advised several clients across the globe. First step for any study will start with an assessment of currently available data and insights from existing reports. Further, historical and current market information is collected from Investor Presentations, Annual Reports, SEC Filings, etc., and other information related to company’s performance and market positioning are gathered from Paid Databases (Factiva, Hoovers, and Reuters) and various other publications available in public domain.

Several associations trade associates, technical forums, institutes, societies and organizations are accessed to gain technical as well as market related insights through their publications such as research papers, blogs and press releases related to the studies are referred to get cues about the market. Further, white papers, journals, magazines, and other news articles published in the last 3 years are scrutinized and analyzed to understand the current market trends.

  1. Primary Research:

The primarily interview analysis comprise of data obtained from industry participants interview and answers to survey questions gathered by in-house primary team.

For primary research, interviews are conducted with industry experts/CEOs/Marketing Managers/Sales Managers/VPs/Subject Matter Experts from both demand and supply side to get a 360-degree view of the market. The primary team conducts several interviews based on the complexity of the markets to understand the various market trends and dynamics which makes research more credible and precise.

A typical research interview fulfils the following functions:

  • Provides first-hand information on the market size, market trends, growth trends, competitive landscape, and outlook
  • Validates and strengthens in-house secondary research findings
  • Develops the analysis team’s expertise and market understanding

Primary research involves email interactions and telephone interviews for each market, category, segment, and sub-segment across geographies. The participants who typically take part in such a process include, but are not limited to:

  • Industry participants: VPs, business development managers, market intelligence managers and national sales managers
  • Outside experts: Valuation experts, research analysts and key opinion leaders specializing in the electronics and semiconductor industry.

Below is the breakup of our primary respondents by company, designation, and region:

Research Methodology

Once we receive the confirmation from primary research sources or primary respondents, we finalize the base year market estimation and forecast the data as per the macroeconomic and microeconomic factors assessed during data collection.

  1. Data Analysis:

Once data is validated through both secondary as well as primary respondents, we finalize the market estimations by hypothesis formulation and factor analysis at regional and country level.

  • 3.1 Macro-Economic Factor Analysis:

We analyse macroeconomic indicators such the gross domestic product (GDP), increase in the demand for goods and services across industries, technological advancement, regional economic growth, governmental policies, the influence of COVID-19, PEST analysis, and other aspects. This analysis aids in setting benchmarks for various nations/regions and approximating market splits. Additionally, the general trend of the aforementioned components aid in determining the market's development possibilities.

  • 3.2 Country Level Data:

Various factors that are especially aligned to the country are taken into account to determine the market size for a certain area and country, including the presence of vendors, such as headquarters and offices, the country's GDP, demand patterns, and industry growth. To comprehend the market dynamics for the nation, a number of growth variables, inhibitors, application areas, and current market trends are researched. The aforementioned elements aid in determining the country's overall market's growth potential.

  • 3.3 Company Profile:

The “Table of Contents” is formulated by listing and analyzing more than 25 - 30 companies operating in the market ecosystem across geographies. However, we profile only 10 companies as a standard practice in our syndicate reports. These 10 companies comprise leading, emerging, and regional players. Nonetheless, our analysis is not restricted to the 10 listed companies, we also analyze other companies present in the market to develop a holistic view and understand the prevailing trends. The “Company Profiles” section in the report covers key facts, business description, products & services, financial information, SWOT analysis, and key developments. The financial information presented is extracted from the annual reports and official documents of the publicly listed companies. Upon collecting the information for the sections of respective companies, we verify them via various primary sources and then compile the data in respective company profiles. The company level information helps us in deriving the base number as well as in forecasting the market size.

  • 3.4 Developing Base Number:

Aggregation of sales statistics (2020-2022) and macro-economic factor, and other secondary and primary research insights are utilized to arrive at base number and related market shares for 2022. The data gaps are identified in this step and relevant market data is analyzed, collected from paid primary interviews or databases. On finalizing the base year market size, forecasts are developed on the basis of macro-economic, industry and market growth factors and company level analysis.

  1. Data Triangulation and Final Review:

The market findings and base year market size calculations are validated from supply as well as demand side. Demand side validations are based on macro-economic factor analysis and benchmarks for respective regions and countries. In case of supply side validations, revenues of major companies are estimated (in case not available) based on industry benchmark, approximate number of employees, product portfolio, and primary interviews revenues are gathered. Further revenue from target product/service segment is assessed to avoid overshooting of market statistics. In case of heavy deviations between supply and demand side values, all thes steps are repeated to achieve synchronization.

We follow an iterative model, wherein we share our research findings with Subject Matter Experts (SME’s) and Key Opinion Leaders (KOLs) until consensus view of the market is not formulated – this model negates any drastic deviation in the opinions of experts. Only validated and universally acceptable research findings are quoted in our reports.

We have important check points that we use to validate our research findings – which we call – data triangulation, where we validate the information, we generate from secondary sources with primary interviews and then we re-validate with our internal data bases and Subject matter experts. This comprehensive model enables us to deliver high quality, reliable data in shortest possible time.

Your data will never be shared with third parties, however, we may send you information from time to time about our products that may be of interest to you. By submitting your details, you agree to be contacted by us. You may contact us at any time to opt-out.

Trends and growth analysis reports related to Australia A2P SMS Market