A2P Messaging Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Component (Platform, and A2P Service), By Deployment (On-Premises, and Cloud), By Application (Authentication Services, Promotional and Marketing Services, Pushed Content Services, Interactive Messages Services, Customer Relationship Management Services, and Others), By SMS Traffic (National Traffic, and Multi-Country), By End-Users (BFSI, Retail and Ecommerce, E-Governance, Hyperlocal Businesses, Healthcare, Travel and Hospitality, and Others), By Region, Competition 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 87.84 Billion
CAGR (2026-2031)	5.93%
Fastest Growing Segment	Healthcare
Largest Market	North America
Market Size (2031)	USD 124.11 Billion

Market Overview

The Global A2P Messaging Market will grow from USD 87.84 Billion in 2025 to USD 124.11 Billion by 2031 at a 5.93% CAGR. Application-to-Person (A2P) messaging involves the automated transmission of short messages from enterprise software applications to mobile subscribers for purposes such as identity authentication, transactional alerts, and marketing campaigns. The primary driver supporting this market’s growth is the critical imperative for secure two-factor authentication within the banking and digital service sectors, alongside the rising demand for reliable, real-time customer engagement channels. According to the Mobile Ecosystem Forum, in 2024, 91% of smartphone users across 15 surveyed countries received commercial messaging, demonstrating the unparalleled ubiquity that fuels enterprise adoption of this communication medium.

However, the sustained expansion of the global A2P messaging market is significantly impeded by the prevalence of Artificial Inflation of Traffic, also known as SMS pumping fraud. This illicit practice generates massive volumes of fake traffic that inflate costs for businesses and erode trust in the ecosystem, forcing operators to implement rigorous security measures that can complicate service delivery and increase operational expenses.

Key Market Drivers

The Rising Adoption of Rich Communication Services (RCS) is fundamentally reshaping the global A2P messaging landscape by addressing the functional limitations of traditional SMS. Unlike standard text messaging, RCS supports verified sender branding and interactive rich media, which significantly enhances user trust and engagement rates. This evolution has been accelerated by broader ecosystem support, enabling enterprises to deliver secure, app-like experiences directly within native messaging inboxes. According to GSMA, in March 2025, the integration of RCS support by major mobile operating systems contributed to a fivefold increase in global RCS traffic over the preceding year. This surge underscores the market’s rapid pivot towards communication channels that combine the unparalleled reach of telecommunications with the interactivity of OTT applications.

Concurrently, the Growing Enterprise Focus on Personalized Mobile Marketing and Engagement is driving substantial value and volume in the A2P sector. Businesses are increasingly leveraging advanced messaging APIs to transition from generic notifications to conversational interactions that drive sales and improve customer retention. This shift is validated by the superior performance of rich messaging formats, which offer a higher return on investment for marketing campaigns compared to legacy methods. According to Infobip, in March 2025, campaigns utilizing RCS rich cards achieved up to 70% higher conversion rates than those using traditional multimedia messaging. Reflecting the immense scale of this modern digital engagement, Infobip analyzed more than 530 billion business-to-consumer interactions on its platform in 2024, highlighting the critical role of automated messaging in sustaining global commerce.

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Key Market Challenges

Artificial Inflation of Traffic, commonly referred to as SMS pumping, poses a severe threat to the economic viability of the Global A2P Messaging Market by aggressively inflating operational costs for enterprises. This fraudulent mechanism drains marketing and authentication budgets as businesses are forced to pay for millions of undelivered or fake verification messages. As these costs spiral without generating genuine customer engagement or conversions, enterprises lose confidence in SMS as a cost-effective utility. This erosion of trust prompts businesses to reduce their reliance on A2P SMS, diverting traffic toward closed-loop ecosystem alternatives like WhatsApp or push notifications, which directly suppresses the revenue potential of the traditional A2P market.

The magnitude of this financial leakage is substantial enough to alter market behavior. According to the Mobile Ecosystem Forum, in 2024, Artificial Inflation of Traffic accounted for approximately 5% of all international Application-to-Person traffic, resulting in billions of dollars in losses for brands. This persistent revenue drain hampers market growth by discouraging new enterprise adoption and forcing existing players to limit their messaging volumes to control exposure to fraud.

Key Market Trends

The Convergence of SMS and Over-The-Top (OTT) Channels into Unified Omnichannel Platforms is reshaping market strategies as enterprises seek to optimize delivery rates and user engagement. Rather than relying solely on SMS, businesses are adopting CPaaS solutions that intelligently route traffic across a mix of traditional cellular networks and internet-based apps like WhatsApp or Viber, ensuring message resilience and cost-efficiency. This hybrid approach allows brands to utilize the ubiquity of SMS for time-sensitive alerts while leveraging rich media channels for interactive campaigns. According to Sinch, December 2024, in the 'BFCM 2024: Connecting Brands & Shoppers With Omnichannel' report, the company delivered 7.68 billion interactions across SMS, MMS, RCS, and OTT apps during the Black Friday peak, illustrating the massive scale of this diversified communication infrastructure.

The Rise of Conversational Commerce Enabling In-Chat Transactions is transforming A2P messaging from a one-way notification tool into a comprehensive sales channel. Brands are increasingly integrating payment gateways and product catalogs directly into messaging apps, allowing consumers to browse, select, and purchase goods without leaving the conversation window. This friction-free experience significantly shortens the sales cycle and capitalizes on the immediacy of mobile communication to drive revenue. According to Infobip, March 2025, in the 'Messaging Trends Report', the platform recorded a 41% increase in brands using WhatsApp for marketing purposes, a surge driven largely by new features that support seamless in-stream purchasing and automated commercial interactions.

Segmental Insights

The Healthcare segment is emerging as the fastest-growing vertical in the Global A2P Messaging Market, driven by the sector's rapid digital transformation and the increasing demand for remote patient engagement. Medical providers utilize these messaging services to automate critical communications, including appointment reminders, test results, and prescription alerts, which significantly improves operational efficiency. Additionally, strict regulatory standards regarding data privacy, such as HIPAA, compel institutions to adopt secure verification methods like Two-Factor Authentication for accessing patient portals. This critical need for compliant, timely, and secure information delivery is accelerating the adoption of A2P solutions across the healthcare industry.

Regional Insights

North America leads the global A2P messaging market due to the widespread adoption of mobile communication tools across the banking, retail, and healthcare industries. The region is supported by established telecommunications infrastructure which facilitates the delivery of high volumes of transactional and promotional messages. Furthermore, adherence to industry best practices established by the CTIA ensures a secure environment for application-to-person traffic, significantly reducing spam and increasing delivery reliability. This structured approach builds enterprise confidence in SMS channels for customer engagement and identity verification, thereby sustaining the market dominance of the region.

Recent Developments

• In February 2025, Salam, a telecommunications company, announced a strategic partnership with Mada Communications to enhance its international Application-to-Person (A2P) messaging services. Through this collaboration, Mada was selected to manage Salam’s international A2P traffic, including two-factor authentication (2FA) and automated notifications. The partnership aims to leverage Mada’s expertise to improve customer experience, ensure reliable delivery of critical transactional messages, and drive revenue growth from messaging services. This agreement highlights the increasing focus on securing and monetizing international messaging traffic within the telecommunications sector to support digital transformation initiatives in the Middle East region.
• In September 2024, Vonage, a global cloud communications provider, launched its Rich Communication Services (RCS) solution to transform business messaging globally. This new offering, available through the Vonage Messages API and as a low-code turnkey option, enabled businesses to engage customers with verified, branded messages containing rich media such as images and video. The solution was designed to address the growing market demand for secure and interactive communication channels beyond traditional SMS. by providing verified sender identities, the platform helped enterprises build consumer trust and protect against fraud while improving engagement rates across key markets in North America, Europe, and South America.
• In September 2024, Twilio introduced a new identity verification feature known as "Authentication+" for public brand registrations within the A2P 10DLC (10-Digit Long Code) ecosystem. This security enhancement required brands to provide a verified email address associated with their domain and complete a two-factor authentication process during registration. The initiative was developed to combat brand impersonation and reduce fraud types such as smishing and spoofing. This product update underscored the company's commitment to strengthening compliance and restoring consumer trust in the Application-to-Person messaging landscape by ensuring that only legitimate businesses could send traffic to United States mobile subscribers.
• In August 2024, Telecom Egypt signed a multi-year commercial agreement with Mada Communications, establishing the company as its preferred strategic provider for international Application-to-Person (A2P) messaging services. This collaboration was focused on managing and monetizing international messaging traffic terminating on Telecom Egypt’s network to ensure high-quality service delivery for enterprise clients. The deal was intended to secure the network against unauthorized or grey-route traffic while maximizing revenue streams from the increasing volume of A2P SMS, such as authentication codes and marketing alerts. This partnership reflected a broader industry trend where mobile network operators collaborate with specialized aggregators to optimize traffic management.

Key Market Players

• Sinch AB
• Infobip Ltd.
• Twilio Inc.
• Comviva Technologies Limited
• Route Mobile Limited

By Component	By Deployment	By Application	By SMS Traffic	By End-Users	By Region
Platform and A2P Service	On-Premises and Cloud	Authentication Services Promotional and Marketing Services Pushed Content Services Interactive Messages Services Customer Relationship Management Services and Others	National Traffic and Multi-Country	BFSI Retail and Ecommerce E-Governance Hyperlocal Businesses Healthcare Travel and Hospitality and Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global A2P Messaging Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• A2P Messaging Market, By Component:

• Platform
• and A2P Service

• A2P Messaging Market, By Deployment:

• On-Premises
• and Cloud

• A2P Messaging Market, By Application:

• Authentication Services
• Promotional and Marketing Services
• Pushed Content Services
• Interactive Messages Services
• Customer Relationship Management Services
• and Others

• A2P Messaging Market, By SMS Traffic:

• National Traffic
• and Multi-Country

• A2P Messaging Market, By End-Users:

• BFSI
• Retail and Ecommerce
• E-Governance
• Hyperlocal Businesses
• Healthcare
• Travel and Hospitality
• and Others

• A2P Messaging Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE