Mobile Network Operators Losing Five Billion US Dollars Each Year To ‘Grey’ Messaging

Dialogue Group launches global SMART initiative to help operators fight back

16 October 2014, Mexico - Dialogue Group – the longest established international SMS messaging company with almost 21 years’ experience across the industry worldwide – will next week unveil a global A2P (Application-to-Person) SMS initiative to support MNOs (Mobile Network Operators) to win a share of $5US billion* in annual revenues currently being lost to the grey route messaging market.
At the GSMA BARG 84 (Billing and Roaming Group) event in Cancun, Mexico (October 20-23), Dialogue is to launch its A2P SMART (Secure Monetisation of Application Related Traffic) Hub to support 250 of the largest mobile operators who have yet to address the significant revenue drain being caused by both the current presence and potential further growth of ‘grey’ messaging.
“The ‘grey route’ market not only destroys the significant revenues that should rightfully flow to the mobile operators, but the rock bottom pricing it permits leads to disorderly markets, damaging levels of spam, and potential security threats, all of which are sources of poor customer experience and increased churn. Ultimately we’re looking to deliver ‘zero shades of grey’ - 100% on-net SMS traffic delivery,” explained Perry Offer, CEO of Dialogue Group.
An A2P message delivered via a “grey route” connection is originated from a source outside of the operator’s own network, typically using a channel ordinarily reserved for carrying P2P communications. A ‘grey route’ A2P message can be sent when access to P2P channels is open for third parties to deliver A2P messaging, often without the recipient network even realising this is the case. As the P2P connections can carry no fee, they are extremely profitable for the sending third party when used to deliver A2P. This is because they charge a transaction fee for each message they deliver to their customers against which there is no cost from the recipient operator.
With Dialogue’s SMART approach to managing A2P traffic, this loss of revenue can be eliminated for the recipient network. Dialogue deploys its SMART services to help operators eliminate ‘grey route’ traffic enabling the recipient network to generate and keep the revenues it deserves. Simply put – control equals cash – and significant amounts as the process develops and more and more traffic is monetised.
“This loss of revenues is unnecessary and needs to stop. 25% of the world’s operators have already realised the enormous benefits they can gain from managing this problem and are working diligently to stop grey routes and monetise their A2P traffic, but 250 of the largest operators in the world have not yet taken action. In most cases this is because they do not realise the extent to which ‘grey route’ messaging passes through their network, and the loss of income and damage to customer satisfaction that it is causing”.
“Dialogue has already formed successful partnerships with a number of operators to protect their network and unlock these revenues. But starting as of now, we are on a mission to help this fantastic industry regain control of its networks and services and enjoy a more successful future based on moving forward with our expert support,” added Offer.
He continued: “Not only will this benefit operators in terms of increased revenue, but also enterprises, banks and handset manufacturers in terms of quality of service. With two factor verification being used as an added security feature, the 100% on-net SMART A2P hub we are launching will ensure that messages reach the recipient in a timely manner; enterprises will no longer have to face the risk of messages being delayed due to grey routes being ‘blocked’, so it’s ‘win win’ for all. Dialogue invites operators, aggregators and customers to join the A2P SMART HUB and reap the financial rewards it brings.”
Dialogue Group, which enters its 21st year of business this month, has extensive knowledge and experience of all aspects of the A2P market and next week will launch its A2P SMART HUB – a totally unique solution that guides operators through all the processes they need to filter their ‘grey route’ traffic to realise millions of dollars in additional revenues each year.
For more information about this major development, please view this video with CEO, Perry Offer:http://www2.dialogue.net/pr/interview_perry.
Please contact Brian Dolby at [email protected] or call +44 (0) 7899 914168, if you would like more information or would like to speak with Dialogue Group. Alternatively go to http://www.dialogue.net/a2p-monetisation/ or follow @dialogue_tweets on Twitter.
*Figures are based on Dialogue Group’s calculation of 200 billion A2P messages being sent each year, which could be charged at an average of 2.5 cents per message