2020 is just around the corner – an outlook

The year 2019 is drawing to a close. In fact, it is just one month to the turn of the year (and the beginning of a new decade). So it’s high time to take a look back at the past year – and, of course, an outlook for 2020.

For sms77, 2019 was an important turning point in the company’s history. With the move to the new premises in the city centre of Kiel, the course has been set for a successful future. The new office gives us the space and creativity to work efficiently and innovatively. But we don’t just want to talk about ourselves…

What happened in 2019

RCS is developing

Rich Communication Services, RCS for short, has been considered the “next level” of text messaging for several years. Simply put, RCS is a hybrid of SMS and messenger apps like Whatsapp. For years, there have been various approaches to making this new standard widely available. However, most of them failed due to a lack of coordination. In June, Google announced that it wanted to push the implementation of RCS itself from now on. This didn’t seem to please some network operators who would like to develop their own apps for it. In October the situation became more complicated again.

Era of Relevance

Basically, the forecast that Harvard Business Review makes is an outlook in itself: The Era of Loyalty in marketing is coming to an end, as the Era of Relevance begins with the new decade. For us as CPaaS, this is of course good news: relevance also means that customers want personal contact and personalized offers. To this day, there is no generally accepted communication channel that can compete with the “good old” SMS in this respect. Accordingly, SMS is as popular as ever in marketing. New developments, especially in the area of RCS, naturally also play a major role in relevance marketing.

SMS keeps growing as a market

The trend that has been emerging since around 2017 continued this year. After a period of stagnation, SMS is growing primarily in the A2P segment. In addition, there are ever new studies that show that customers prefer text messages when in contact with companies. In the context of relevance this means: Write SMS to your customers and make it as personal as possible. While in private messaging the focus is mainly on Whatsapp and Co., SMS is still worthwhile, especially wherever automated messages are to be sent – and where the message is to reach the recipient regardless of the Internet connection.

What we can look forward to in 2020

5G Development in Germany

There are still some things to be sorted out until it really starts, but the first frequencies are auctioned off and the plans to build new radio masts are gradually taking shape. Super-fast mobile Internet will of course be really exciting when RCS is no longer just a poorly coordinated gimmick, but a true new communication standard. And while we’re on the subject…

What happens next with RCS?

Whether we can look forward to RCS news in 2020 depends on how the situation develops. Coordination between different parties would be desirable, especially between Google and the network operators. A joint approach would be optimal. And then, of course, there’s the question of whether Apple will make its iMessage compatible with RCS. That alone can decide the success or failure of RCS. We should therefore remain interested.

Era of Relevance

As mentioned above, the Era of Relevance in marketing has begun. Especially in connection with the (possibly) wider availability of RCS, this can be exciting. RCS makes it possible to send customized and truly personal messages that offer the recipient real added value. An example would be to display the weather data for the destination directly in the message instead of just confirming the booking of a flight.

Internet of Things

More and more smart devices in our lives want to communicate with us or with each other. This is one of the reasons why the 5G development is being pushed forward. According to some experts, there could be up to 100 billion smart devices by the end of 2020. For us at sms77, the IoT is particularly interesting when these devices communicate with their users via A2P SMS.

And what happens at sms77?

After this somewhat general outlook for 2020 in the communications business, an outlook for our own development in 2020 cannot be left out. One of our major goals is to become even more international and to gain more customers outside our “core area” in the DACH region. And of course we will not stop constantly improving and expanding our service. You can therefore look forward to new and more sophisticated features. The course has been set for company growth and now we have to tackle our goals. We are looking forward to 2020!

Best regards
Your sms77 team
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