How to Become a Successful A2P SMS Aggregator in the Market?

SMS remains a highly prevalent communication tool employed by businesses to disseminate their sales, marketing, and product or solution information to consumers. With the colossal volume of SMS messages transmitted every day across mobile networks, it has emerged as one of the most promising modes of communication.

Juniper Research forecasts a considerable 55% growth in A2P SMS message delivery, rising from around 2.2 trillion in 2024 to 3.4 trillion in 2028, highlighting the persistent strength of this communication method for businesses.

In terms of revenue, the global application-to-person (A2P) SMS market is anticipated to be dominated by North America, with approximately 19.82 billion U.S. dollars in revenue, as depicted in the graph below.

Table of Contents

A2P SMS Revenues from 2020 to 2025, by Region

Source- Statista

What is the Role of A2P SMS Aggregator?

Among the various business models related to the SMS industry, SMS Aggregator tops the list.

An SMS Aggregator acts as a connector between the brands and the subscribers of telecom carriers. As an A2P SMS aggregator has agreements with multiple MNOs to send and receive messages between their system and the MNO’s SMSC, it proves a great help to businesses. Imagine the hassle brands had to face if they needed to go through all the procedures of signing separate agreements with operators. Thanks to SMS Aggregators, things are now quite simple.

A2P SMS Aggregators do the job of aggregating SMS traffic by negotiating better prices from multiple mobile network operators, which helps businesses to use SMS services at much lower rates.

How does an A2P SMS Aggregator Work?

Here’s an outline of how an SMS Aggregator works:

A business or brand creates an SMS campaign for marketing or promotional purpose and sends SMS messages to an SMS aggregator platform along with the database of mobile numbers of intended recipients.
The SMS aggregator analyzes and sorts the messages by checking the destination phone number and coverage area of the carrier network. It then selects the most suitable networks to route the messages.
The carrier networks delivers the message on the recipient’s mobile device directly.
Once the message is delivered, the aggregator provides analytics and reporting data related to the SMS campaigns.

Benefits of Becoming an A2P SMS Aggregator

There are several benefits of becoming an A2P SMS aggregator, the most important ones are as mentioned below:

A Lucrative Business Opportunity

Becoming an A2P SMS Aggregator is a great opportunity to generate revenue by delivering SMS services to businesses and companies. Aggregators can send SMS services in the form of various A2P messages such as promotional messages, alerts, notifications, etc.

A2P SMS Aggregators are directly connected to multiple operators. This allows them to offer their services across different global locations and select the best SMS delivery routes and thus offer improved delivery rates, which increases their demand among businesses.

Be a Part of the Booming SMS Industry

As already discussed, the SMS industry is registering consistent growth, which makes it profitable for aggregators and will ensure them a positive future.

According to verified Market research, Globally, A2P SMS generated 68,905.01 Mn in 2021 sales are expected to reach 118,441.04 Mn in 2030, growing at a compound annual growth rate (CAGR) of 5.65%.

It is very important for SMS business enthusiasts to join the league as early entrants can strengthen their foothold in the market compared to late-comers.

A2P SMS Market Growth & Opportunities

While the A2P SMS market is bound to grow, some of the key growth drivers are as mentioned below:

Rise in the usage of Mobile Phones and Smartphones
Skyrocketing growth of e-commerce and m-commerce
Higher demand for mobile banking and financial services
Constant Emergence of New Technologies

Opportunities for Businesses in A2P SMS Market

A key opportunity in the A2P SMS Market is the growing trend of mobile marketing via messaging. Businesses can use A2P SMS campaigns to engage their customers in many ways such as appointment reminders, delivery notifications, feedback and surveys, emergency notifications, and 2 FA, etc.

Things Required to Become an A2P SMS Aggregator

As the SMS industry is growing, many enthusiasts are starting their own bulk SMS Aggregator businesses. Some voice-calling providers are also getting inclined to this business model. However, if you want to start an A2P SMS Aggregator business and grow in the same then there are a few points, you need to keep in mind.

1. Learn About the A2P SMS Aggregator Industry

Before you put your feet into this industry, one of the most foundational steps is to know how things work under the hood. This understanding will help you make smarter decisions, communicate with partners confidently, and deliver superior service.

The first thing you need to understand is the protocols: SMPP, HTTP, and SS7/ SIGTRAN. These protocols are the languages and methods that your SMS platform uses for the transmission of SMS messages.

Here’s a brief:

SMPP (Short Message Peer-to-Peer)

A high-speed, binary protocol used to exchange SMS between your SMS gateway and mobile operators (or other aggregators).

HTTP (HyperText Transfer Protocol)

A simpler, REST-based way to send SMS messages via web API.

SS7 (Signaling System 7)/ SIGTRAN

The protocol telecom operators use to handle SMS, voice, and roaming across networks.

Besides this, try studying routing (Direct, Grey, and White), delivery, and latency. A good grasp of these technical processes will help you understand the working of SMS routing, not just technically but also strategically.

Additionally, you need to be aware of the fact that A2P SMS traffic is heavily regulated. Different countries have their own regulations and compliance requirements. Non-compliance can result in your routes getting blocked by carriers, being flagged as spam, and bearing penalties.

2. Purchase or Renting an SMS Gateway

An SMS Gateway allows sending and receiving SMS text messages in large volumes at once over a global telecommunication network. Modern SMS Gateways usually route SMS text messages to the mobile operator’s networks through HTTP and SMPP interfaces. An SMS gateway is available in both licensed and hosted models. You can start your SMS business by making a monthly investment of 200 USD to rent an SMS Gateway.

If you have the required budget then licensing is a better option, which saves the monthly platform cost.

3. Identifying All Required Features in SMS Gateway

When selecting an SMS Gateway for SMS aggregator business, you need to take care of the features of the platform. Some of the required features for running this business are:

Short Message Peer to Peer (SMPP)
Easy rate management
HTTP to SMPP Conversion
Invoicing and Billing Management
White Label Reseller
Inbound and Outbound SMPP
Dynamic Routing
Content Whitelisting
SMS Translation
Two Way SMS
Real-Time Reporting
Wholesale and retail business opportunity
Campaign Module
Profit Loss Analysis

Talk to your SMS platform provider and check if the required features are available on the platform. Taking a free demo of the platform is always advisable to prevent a bad decision.

4. Finding a Route Provider

Once you have decided to buy an SMS platform for your aggregator business, the next step is to find an SMS route provider. There are various types of routes such as Grey Routes, White Routes etc. Out of these two, White Routes are high quality in terms of security and delivery. Check with your A to Z route provider regarding the availability of routes for particular locations.

Global A2P SMS messaging forecasts by country for the period of 2017-2022 show that grey-route traffic was surpassed by white-route messaging traffic in 2017, accounting for 52.3% of total A2P SMS traffic volume. In 2022, white-route traffic is forecasted to contribute to 85% of total SMS traffic, as telecom operators invest in next-generation SMS revenue assurance platforms.

5. Setting up a Dedicated Support

A dedicated support team is the face of business, which will keep your SMS Aggregator business running. You should offer Omni-channel support through Live Chat, Email, Phone, and also Social Media. This will help your potential customers reach out to you and you will never lose a possible opportunity.

Here’s a quick checklist:

What You Absolutely Need	Why It’s Key
Direct Links to Phone Carriers (MNOs)	Gotta have deals & tech connections (like SMPP) with networks (think Jio, Airtel, Vi here in India, etc.). This is your pipeline!
A Powerful Tech Platform (SMS Gateway)	Your “engine room” to manage messages, routes, reports & client APIs. Needs to be reliable & scalable.
Serious Tech & Telecom Know-How	You need to deeply understand SMS, networks, and regulations (like TRAI’s). It’s technical!
Solid Business Setup & $$ Investment	Need a registered company, legal contracts, and significant cash upfront for tech, connections & operations. It’s not cheap.
24/7 Operations & Support	Messages don’t sleep! Need round-the-clock monitoring and support for clients & network issues.

Top 5 Tips for Long-Term Success in A2P SMS Aggregator Business

Throughout the blog, we have covered the role of SMS aggregators, why they matter, and how you can start your own SMS aggregator business. Now, let’s learn some useful tips to achieve long-term success as an A2P SMS aggregator.

1. Always Focus on Quality

It might look lucrative to win clients by offering your services at extremely low rates, which often means routing traffic through grey routes. However, this isn’t the right approach. Make sure you prioritize route quality, uptime, and DLR accuracy over lower rates. Remember that customers seek reliability more than saving a few cents per message.

2. Invest in Marketing & Sales

The market is highly competitive. To gain an edge, you need to reach out to businesses in your target niches through various offline and online marketing channels. Always emphasize your strong areas, i.e., your platform’s reliability, customer support, and compliance in your marketing efforts. To attract potential clients, try offering free trials or demos so that they can try your services before committing.

3. Provide Value-Added Services and Features

It is important to understand that your role as an SMS aggregator is not just an intermediary for SMS transmission; rather, you are a communication enabler. Therefore, you need to ensure that you are facilitating your customers with value-added services to boost customer loyalty and improve your margins. What can you do? Here are some points:

Offer automation features to your clients to help them create drip messages and auto-replies.
Enable your clients to segment their contact lists for targeted messaging.
Offer seamless integration with other marketing and CRM platforms.
Offering two-way messaging can also help them achieve enhanced communication.

4. Provide Excellent Customer Service

As mentioned before, ensure a dedicated support team to offer responsive and knowledgeable technical support to your clients. Provide them with the flexibility to contact through multiple support channels such as phone, email, and chat. You may also facilitate new clients with comprehensive training and onboarding so that they can effectively use your platform.

5. Invest in Fraud Protection

Like every other industry, fraud is rampant in the A2P SMS business. Modern threats include bots that consume SMS credits, pretend to be users, the generation of fake DLRs, and a lot more. Therefore, it is essential to invest in effective fraud prevention measures like real-time analytics that help you block suspicious Sender IDs, detect route degradation in real-time, and maintain compliance and trust with clients.

So, What’s the Takeaway?

From all that we have discussed and learned in this post, certainly, becoming a successful A2P SMS aggregator is not about plugging into an SMS gateway and sending messages; rather, it’s about building a robust, reliable, and scalable communication infrastructure that enterprises can trust.

In other words, it’s about shifting from being a vendor to becoming a strategic partner for your clients. Whether you are enabling a fintec company to deliver time-sensitive messages or an e-commerce brand to reach thousands of customers with the latest promotions, it is your reliability, transparency, and adaptability that will define your success.

We at REVE have already supported several in establishing a successful SMS aggregator business.

Frequently Asked Questions

Why are delivery reports or DLRs important in the SMS aggregator business?

DLRs or delivery reports help in tracking the delivery status of an SMS message, i.e., whether a message has reached the recipient or not.

What different types of audience SMS aggregators should target?

Banks, eCommerce brands, healthcare providers, logistics companies, and any business that needs to send alerts, OTPs, or promotional texts.

How can SMS aggregators price their SMS services?

Pricing can be per message, tiered by volume, or bundled with value-added services like analytics or marketing tools.

Are open-source SMS platforms safe for SMS aggregation business?

You can use open-source sms gateways; however, be informed that they require extensive technical expertise to manage and scale securely.

Can an SMS aggregator start small and scale later?

Absolutely. Many aggregators start with one or two routes and scale by adding MNOs, improving their gateway, and expanding globally.

If you want more information about the SMS Aggregator business model, you can watch this webinar.

Contact for Free Demo

How to Become a Successful A2P SMS Aggregator?