Global Premium Messaging Market (Applications, Technology, Origin or Termination of messages and Geography)

Size, Share, Global Trends, Company Profiles, Demand, Insights, Analysis, Research, Report, Opportunities, Segmentation and Forecast, 2012 - 2020
Category : ICT Media
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Premium messaging is a value added service provided by network operators. These premium messages are segmented into two types, namely PSMS and PMMS. The global premium messaging market is expected to grow at a promising CAGR from 2013 to 2020. Telecom operators are focusing more on this segment as there has been a decline in profits due to increasing competition in the market. This scenario resulted in decline in the rates for voice and data services. Therefore, value added services such as premium messaging is acting as a supplementary source of revenue. A detailed analysis of premium messaging market and factors affecting it such as the challenges, opportunities, market trends and current scenarios are been discussed.

These premium messages are charged above the standard SMS rates, yet consumers opt for them as they are easy to use service and carry exciting offers, which act as driving forces for the market. The increase in number of smart phone and tablet users would be an opportunity to be considered by the premium messaging market. However, rise in the competition of telecom sector acts as a restrain for these companies. In order to overcome this challenge, companies have reduced their tariff for premium massages.

Premium Messaging Market by Application
Premium messaging market by application is categorized into mobile marketing, subscriber services, ring tones and wallpapers, news updates, information on demand, reality show voting, billing and others. Mobile marketing is the fastest growing segment, as it helps marketers to target niche market. SMS voting is another segment, which is growing due to the increase in popularity of reality shows. These applications provide value added service to telecom consumers i.e. something extra other than voice and data service. These value added services are expected to generate additional revenue for the telecom companies.

Premium Messaging Market by Technology
Based on technology, premium messaging market is segmented into PSMS and PMMS. Premium SMS include promotion SMS, TV show voting, SMS chat, etc., whereas, Premium MMS include sending or receiving of text, images, sounds and videos. These premium messages are charged above the standard SMS rates by the companies.

Premium Messaging Market by Origin and Termination of Messages 
Depending on the origination and termination, premium messaging is segmented into A2P (Application to Person) and P2A (Person to Application) messages. A2P premium messages are used more than P2A premium messages due to rise in mobile marketing. It is economical for companies to use it for commercial purposes rather than a consumer using it for personal use. Another reason for the same would be the high cost attached with sending premium SMS or MMS and also mobile compatibility issues.

Premium Messaging by Geography
Geography market for premium messaging is segmented into North America, South America, Asia Pacific, Europe, Middle East and Africa. There are certain factors in each and every geographical market that have an impact on Premium messaging segment, for example, the rule passed by TCPA (Telephone Consumer Protection Act) for unsolicited call and messages. According to this rule, if a company fails to comply, it will be penalized for the statutory damages ranging from $ 500 to $ 1500.

Competitive Analysis  
Dominant market players in telecom industry are majorly concentrating on research and development of telecom technology by adopting various strategies such as mergers, acquisitions and new product launches. Tata Telecommunications and NTT Docomo combined their resources together to penetrate into Indian telecom sector. They were the first to launch 3G service in India. In another such similar acquisition, Japan based telecom company Softbank acquired 70% stake of Sprint, a U.S mobile operator. This move helped the company to enter into the American telecom market.

High Level Analysis 
The analysis gives an overview about global premium messaging market and its key concerns. The global market analysis using Porter’s five force model and SWOT analysis helps in giving a better understanding about various opportunities, bargaining power of buyers, threats and substitutes. There is tough competition in telecom industry, as there are many service providers catering their service to consumers. As the consumers have a wide range of options for selecting the service provider, they ultimately have a higher bargaining power.  
 Another such threat involved would be the threat of substitution as the switching cost involved for customers is less.  Therefore, customers can easily switch from one service provider to another.


  • This report gives an insight on the premium messaging technology and its applications
  • Detail analysis of drivers and constraints of premium messaging market have been discussed
  • Porter’s five force and SWOT analysis would facilitate decision makers in making strategic decisions by providing them insight on current market conditions and important factors
  • Analysis of key market players and their strategies are been discussed in the report in order to help them in understanding the competition in a better way
  • Market segmentation is been conducted based on application, technology, geographic location and origin and termination of messages which would assist companies in deciding on the segments to concentrate on
  • Analysis of current market scenario as well as the future estimations through 2013-2020 would assist the decision makers understand the future prospects of the market. 

The global premium messaging market is been categorized into four segments namely, application, technology, geography and origin and termination of messages.


  • Mobile Marketing
  • Subscriber Services
  • Ringtones and Wallpapers
  • News Updates
  • Billing
  • Reality Show Voting


  • PSMS
  • PMMS


  • Application to Person (A2P)
  • Person to Application(P2A)


  • North America
  • South America
  • Europe , Middle East and Africa
  • Asia Pacific
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