Mobile’s reach is greater than ever, and its continuing adoption is driving not just consumer behaviors but also business strategy. More and more companies are declaring that they are going mobile first. Yet what is mobile? It is an industry that has phenomenal momentum and scale.
Short messaging services versus instant messaging
Value versus volume
It might be supposed that the growth in MIM is coming at the expense of SMS and mobile carriers. However despite the burgeoning volumes of messages carried over MIM services, we expect SMS to generate more than $100 billion in 2014, equivalent to approximately 50 times the total revenues from all MIM services. So MIM services may win the battle for volume in 2014, but SMS will be victorious in revenue terms.
Text messaging’s heyday is approaching but in 2014 it should still generate significant margin for the mobile industry, and its importance should not be underestimated. There are several ways for operators to respond to the negative long-term outlook for SMS.
- Try to create an operator-owned messaging service to rival existing providers.
- Incorporate MIM-type features into SMS, such as group distribution lists and audio/video clips.
- Encourage adoption of MIM services to drive take-up and usage of mobile data.
- Promote SMS as a vehicle for application-to-person messages (A2P).
Standalone MIM service providers aiming to maximize revenues may need to diversify their revenue streams — perhaps by becoming content providers.
People make Deloitte one of the best places to work. What’s great about the people? That’s an easy answer. They are exceptional. Each person is unique and valued for that, among the best and brightest in the business, and takes pride in his or her achievements and the success of others.