12 Jan CPaaS Market Experiencing Explosive Growth
The Communications Platform-as-a-Service or CPaaS market is proving to be one of the quickest growing telecom markets of this decade. In fact, according to a report by Mordor Intelligence LLP, the CPaaS market is expected to grow a CAGR of 34.3% during the forecast period (2020-2025). While this upward trend may seem to have come out of left field, there are many reasons why CPaaS experienced this sudden and explosive growth.
When comparing CPaaS to its market alternatives, it’s clear to see that CPaaS offers more versatility, flexibility, and affordability. These key points make it a stand-out solution that deserves a spot amidst your communications offering and can prove to be profitable to your business in the upcoming years.
Why is the CPaaS Market exploding?
Uncertainty Breeds Innovation
While COVID-19 caused a major decline in CPaaS use among such industries as travel and transportation, the healthcare and food industries massively increased their usage of the solution. We would even argue that 2020 was the year of CPaaS. With CPaaS, organizations have the ability to embed real-time communication tools into their existing technology. This kind of flexibility allows businesses to evolve with their ever-changing landscapes. So, is it any wonder why the CPaaS market is exploding in popularity?
In fact, as travel and transportation (among other industries) bounce back, a Gartner report states, “by 2023, 90% of global enterprises will leverage API-enabled CPaaS offerings as a strategic IT skill set to enhance their digital competitiveness, up from 20% in 2020.”* Consequently, pegging the CPaaS market at a value of over $25 billion by 2025, according to a Juniper Research study.
Because of the uncertainty surrounding social and economic landscapes, team collaboration tools are quickly emerging as a necessity within the business arena. Many organizations are beginning to use CPaaS as a means to facilitate team collaboration. Additionally, as companies learn to function with remote employees, the popularity of remote work has increased. Studies show that remote workers are more productive than their in-office counterparts.
Moreover, as legacy systems swiftly reach the end of life, companies and enterprises alike are in need of flexible and cost-effective ways to upgrade their systems. CPaaS conveniently offers all of the latest and greatest communication tools and provides an easy transition to the cloud. Thereby opening up several avenues of digital transformation through APIs and SDKs.
With so much growth, the idea of adopting CPaaS may seem like a no-brainer for most businesses. Yet, the somewhat new solution tends to intimidate many organizations. As with any of the many acronyms in telecom, CPaaS does come with its share of technical aspects. However, CPaaS providers have developed different models depending on their customers’ skill sets.
You don’t have to be a developer to start using CPaaS.
It’s true, the CPaaS market at first focused on developers. Now, however, low-code and no-code options have skyrocketed in popularity among customers without developer skills. Service providers and businesses have two routes to take when choosing their CPaaS offering: the self-service model and the developer model.
In the self-service model, the vendor provides an intuitive web interface that houses the core communication needs. This model allows organizations to get started instantly with easy, self-service features, such as SMS and MMS. Ultimately eliminating technical complexity. Organizations within such industries as retail and healthcare (and others without a team of developers) choose this model because it offers more support from their vendor and requires little to no coding skills.
In the second model, geared more towards developers, the vendor provides APIs, SDKs, a central location for development, and documentation. All allowing the developer to add communications capabilities to their application as they see fit. This provides organizations with much more freedom for customization,. Without having to work alongside the vendor to build their perfect product.
While either model could work for any business, both bring the flexibility and versatility that CPaaS offers. Additionally, with seemingly endless integration options, it is a much more cost-effective solution compared to what else the telecom market offers.
Now is the time to get in on the CPaaS Market!
With only 20% of global enterprises utilizing CPaaS today, now is your chance to buy in with the knowledge that by 2023 that number will reach 90%. A sure-fire way to rev up your revenue over the next few years, the demand for CPaaS is there and analysts agree that it will only continue to grow. So, what are you waiting for?
Brightlink’s CPaaS solution is packed full of features to build customer relationships that’ll stick around. Our plug-and-play solution will have you growing your customer count; while helping yourself to a bigger piece of the CPaaS market pie.
We can help you capture a variety of businesses. Whether they have the technical capabilities to program their own APIs or need more assistance. Our CPaaS Platform is the perfect affordable solution for any business looking to ramp up their communications. Rest assured that you’ll have the perfect product for any business.
What’s stopping you from getting into the CPaaS market? We would love to open up your business to this exciting solution! Contact Brightlink today at 1-888-871-4575 or send us an email at email@example.com.
*Gartner, Market Guide for Communications Platform as a Service, October 2020