The Growing Necessity of SMS Firewall Solutions in Business Communication

In today’s digital landscape, A2P SMS is a rapidly expanding sector, with countless companies leveraging it to enhance customer communication, marketing and authentication process. Amidst this growth, SMS firewall solutions have become essential components of business strategies, driven by the increasing number of market players, subscriber complaints and regulatory pressures. A managed SMS firewall offers a comprehensive approach to control SMS traffic cost-effectively, through fraud prevention to protect subscribers from threats.

The Critical Role of SMS Firewalls

The global SMS firewall market is projected to reach USD 3.0 billion by 2025, spurred by security concerns and the significant revenue share of international SMS traffic. With growing enterprise demand for fraud detection, the necessity of SMS firewalls has never been more apparent.

Enterprises aim to expand and retain their customer base, build trust, and foster loyalty. However, threats like SMS spoofing, spam, and smishing undermine trust, potentially causing brands to lose customers permanently.

According to Statista, approximately 36% of global users have experienced SMS scams. The importance of an SMS firewall solution is underscored by the proliferation of grey routes and the escalating threat of fraudsters exploiting SMS networks. Grey routes, which lack commercial agreements between senders and mobile operators, lead to revenue leakage and damage brand reputation.

Combating Security Challenges with SMS Firewalls

Managed SMS firewalls employ high-performance scanning techniques to combat threats, scrutinizing every message, originator, source, and route. Through rule-based filtering and clear traffic segregation, SMS firewalls help with fraud prevention, enabling long-term capital gains.

Some of the frauds faced by Mobile Network Operators (MNOs) and enterprises include:

  • Artificially Inflated Traffic: Bots generate one-time PIN requests to create undue costs and benefit fraudsters.
  • Flubot: Similar to a flu outbreak, Flubot spreads through fraudulent links leading users to malicious sites, infecting phones with malware.
  • Smishing: SMS phishing deceives consumers into revealing sensitive data.
  • Grey Routes: These routes bypass MNOs’ charging systems, resulting in revenue loss and leaving users vulnerable to privacy risks.
  • SMS Trashing: Unlike the other frauds, this type targets businesses and organizations, charging them for undelivered messages.
  • SIM Farms & SIM Boxes: This type of fraud utilizes a large number of SIM cards to send illegal messages.
Securing the Future of Enterprise Messaging

In the highly regulated A2P SMS sector, security has become a crucial differentiator for carriers aiming to protect their business communication, safeguard subscribers, and boost A2P revenues. Implementing a robust SMS firewall solution provides bulletproof defense against a wide range of attacks. Proactive measures, including machine learning, cloud-based deployment, fraud response frameworks, and comprehensive reporting mechanisms, are vital to combating fraud. This helps prevent revenue leakages, ultimately securing trust and enhancing experiences.

To safeguard your network and ensure innovative, secure customer communications, get in touch with us to deploy our next-gen AI-capable SMS firewall, Armour. Enable innovation #ei and keep your customers safe with our robust network security solutions.

For more information on our A2P firewall solution, read to know how we have helped Tigo Tanzania, part of the AXIAN telecom group, to tackle frauds in their network, leading to revenue losses.

 

The Future of Business Communication Why CPaaS is a Game Changer

As customer expectations continue to rise amidst increasing business costs, the quest for efficiency, and privacy challenges, companies face a crucial question: what do customers want right now? How can brands personalize, reach, and deliver communication that is interactive and engaging? Customers today demand fast, consistent, and personalized interactions every time they engage with a company. They seek exceptional products and services and show loyalty to brands that deliver. This makes it pivotal for enterprises to use Communication Platform-as-a-Service (CPaaS) to ensure seamless experiences.

What is CPaaS?

CPaaS, or Communications Platform as a Service, refers to cloud-based platforms that allow businesses to easily integrate real-time communication capabilities into their existing applications. This means you can add voice, A2P SMS, video, chatbots, email, and other functionalities into your business’s communication stack.

These platforms typically offer communication APIs, including:
Messaging APIs: For transactional and marketing messages, reminders, alerts, and two-way conversations.

  • Voice APIs: For seamless global voice calls.
  • Email APIs: To effortlessly send, receive, and track sent emails.
  • Verification APIs: For a more secure customer journey.
  • Video APIs: For top-notch in-app video experiences.

Additionally, CPaaS offers advanced features such as bots, live agent interactions, campaign management, and analytics.

The Digital Transformation with CPaaS

The future of customer engagement is digital. For many, this means turning to CPaaS to improve operational efficiencies and customer support. From conversational AI to various messaging platforms and social applications, CPaaS helps brands reach their customers through their preferred channels. This is crucial as contemporary consumers prefer real-time interactions tailored to their preferences and accessible through their chosen communication channels.

As per experts the CPaaS industry will surpass $34 billion in sales by 2026.Gartner also predicts that by 2025, 95% of global enterprises will use API-enabled CPaaS solutions to boost customer engagement.

How CPaaS is Transforming Businesses
  • Real-time Engagement: Engage with customers at the moment they need you, transforming interactions into opportunities.
  • Customized Communication: Leverage customer data to create relevant and personalized communications.
  • Efficiency and Precision: Conserve time and resources with streamlined processes.
  • Informed Decisions: Use collected customer data to make informed decisions.
Impact of CPaaS on Modern Business Communication

CPaaS is a versatile solution that embeds real-time communication channels directly into business applications using APIs, SDKs, and documentation. These capabilities include:

  • Messaging: SMS/MMS, toll-free, OTT channels (like WhatsApp and Messenger), and multi-party, multichannel conversations.
  • Voice Calling: VoIP, PSTN, and SIP trunking.
  • Video Calling: P2P, group rooms, and interactive livestreaming.
  • Email: Transactional and marketing emails.
  • Verification/Identity: One-time passcodes, strong customer authentication, and line-type lookup.

CPaaS bridges the gap between businesses and customers, facilitating interactions where and when they bring the most value to the customer experience. This omnichannel automation is beneficial serving industries such as healthcare, nonprofits, retail, real estate, travel and hospitality, education, insurance, and banking.

Agile, Meaningful Customer Communications

CPaaS has revolutionized the communications landscape, enabling brands to provide flawless, always-on customer interactions on their favorite channels. With best-of-breed solutions for messaging, voice, email, video, verification, and more, Globe Teleservices is poised to help businesses create a robust, scalable ecosystem for meaningful conversations.

Ready to learn more about how we enable innovation #ei through our CPaaS+ solution? Discover why Financial Times and Statista recognized us among the High-Growth Companies Asia-Pacific 2024. Dive into our platform and see how we can help manage and improve your customer engagement.

(link to the press release: https://globeteleservices.com/globe-teleservices-recognized-among-the-high-growth-companies.php)

 

Harnessing the Power of A2P Messaging to Revolutionize Business Communication

In today’s rapidly evolving digital landscape, businesses must constantly adapt to stay ahead. One of the most transformative tools in recent years has been A2P (Application-to-Person) messaging. This has revolutionized how businesses communicate with customers, driving engagement and streamlining operations. A2P has become crucial for all enterprises and MNOs. This has driven market growth, with projections reaching a CAGR of 3.9%, reaching an estimated value of USD 96.9 billion by 2032.

What is A2P Messaging?

A2P SMS allows companies to send messages from an application or software directly to a mobile user. With a high open rate of 98% in comparison to emails which is 20%, making it a critical tool for businesses of all sizes. It enables seamless communication between businesses and their target audiences through automated, application-driven messages. Rich Communication Services (RCS) and its multimedia capabilities have further led to personalization, further enhancing engagement.

Check out what experts have to say about the use of RCS for business communications.

(Youtube video link: RCS and Conversational Commerce | MEF India 2024 )

Common Applications for A2P Messaging

It is a versatile platform, supporting various interactions such as appointment reminders, transaction notifications, verification from e-commerce platforms, etc. These include customer service bots, providing customized and relevant content automatically, enhancing customer experience and loyalty.

How Does A2P Messaging Work?

It operates by sending messages optimized for mobile display through specialized gateways that work with mobile carriers. These gateways ensure secure delivery to the recipient’s devices, presenting the text messages in familiar formats. Optional automated responses can further improve engagement. Real-time reporting allows the sender to track progress as needed.

9 Ways to Leverage A2P Messaging for Business Growth
  • Two-factor Authentication (2FA): Send one-time passwords to strengthen account security and prevent unauthorized access.
  • Appointment Reminders: Reduce no-shows with allow easy rescheduling to improve service efficiency.
  • Billing Updates: Notify customers of upcoming dues or changes, creating a smoother billing experience.
  • Purchase Notifications: Provide instant confirmations of online purchases, including event details for tickets complete with links.
  • Reservation reminder: Ensure timely arrival or cancellation for reservations at hotels or restaurants.
  • Shipping Notifications: Keep customers informed about package delivery statuses.
  • Unusual Activity Alerts: Automatically alert customers to potential security threats or best practices, fostering trust and safety.
  • Marketing Notifications: Keep your customers informed about ongoing promotions, sales and special offers, boosting sales.
  • Customer Feedback & Complaints: Collect real-time customer feedback through automated surveys and response prompts to enhance service quality.

A2P messaging is one of the most effective ways to reach your customers, regardless of the services you offer. By leveraging Globe Teleservices’ A2P messaging platform, you can launch secure and impactful marketing campaigns, ensuring enhanced reach and minimal disruptions. Embrace to improve customer service, increase efficiency, and achieve greater ROI in your business operations.

Messaging – Latest Trends, Influences, And Technologies To Watch

Circa December 1992, a test engineer sent a Christmas greeting SMS to his colleague. That was the first SMS sent to someone ever. Since then, SMS has become one of the most widely used forms of communication. It remains popular and continues to grow despite being there for 30 years and the advent of different messaging apps like WhatsApp. Data Bridge Market Research shows that the SMS market will grow at a CAGR of 21.26% by 2030.

While SMS is widely known for person-to-person interactions, a staggering number of enterprises use application-to-person (A2P) messaging to interact with customers for an array of important applications. They send automated messages from applications to individuals to inform or promote new offers or send transactional messages, they use it to authenticate and onboard new customers and for several other reasons.

In fact, it is so effective that enterprise communication over SMS receives 20x more read rates and 30x more call-to-actions than Emails.

No wonder, the market size of A2P messaging is predicted to become $78.2 billion by 2028.

This popularity has led to enterprises experimenting with new forms of messaging for greater customer engagement, tighter security, and easier operations.

Here are a few trends enterprises must know to unlock the full potential of messaging.

Five Trends Of Messaging Enterprises And Mobile Operators Must Know
  • Customers “want” messages from enterprises

As customers become wary of the incessant barrage of app notifications, enterprises find SMS becoming even more effective in communicating with customers. They are non-intrusive and have a better response and open rates than emails and other forms of communication. Evidently, customers seem to prefer SMS messages. According to a survey, 42% of customers found messaging to be a non-intrusive form of communication with enterprises. 41% of customers thought it was a great way for enterprises to inform them about new offerings and opportunities.

As more customers and enterprises prefer messaging, businesses will continue to prioritize its use. One trend that’s likely to surge in the next year is enterprises using SMS for better lead generation and conversion.

  • AI-based SMS is coming

According to an Infosys survey, 78% of customers prefer purchasing from brands with offers targeted to their interests and preferences. It helps in increasing conversions and improving customer loyalty. But typically, enterprises use the spray-and-pray method while sending bulk SMS to customers. Such messages receive sub-optimal responses from customers. To improve open rates and conversions, enterprises will begin to personalize messages. AI-powered SMS can do that.

AI-driven SMS technologies analyze customer data and help enterprises send tailored messages to customers. For example, marketers can analyze a customer’s purchasing history and use AI to send cross-sell or upsell offers over SMS to them. This will enhance content relevance, customer engagement, and response rates.

  • SMS becomes a prime customer service channel

According to Gartner, 80% of customer service-focused enterprises will abandon native mobile apps in favor of messaging by 2025. No doubt, driven by the knowledge that most customers prefer using SMS and messaging apps like Facebook Messenger and WhatsApp over service apps. Customers also find it more convenient than calling the customer service number.

Considering the customer’s preferences, enterprises and mobile operators will focus on using messaging to inform customers seeking service. SMS can be used to send reminders and follow-up messages to customers, get feedback, and send transactional messages in real-time.

  • Authentication services are the fastest-growing segment

With the rise in fraud, enterprises, and mobile operators have been relying on authentication services to prevent fraud. They authenticate the user’s credentials through two-factor authentication (2FA) or one-time password (OTP). This provides an additional security layer and establishes secure and reliable communication with the recipient. It reduces the risks of unauthorized access, prevents data loss, and provides a safe messaging experience to customers. The Banking, financial services and insurance (BFSI) sector is one of the most active users of authentication services due to the sensitivity of transactions. Enterprises and mobile operators will invest more in authentication services to validate customers’ identities and secure data.

  • Conversational SMS is becoming popular

Although customers prefer messaging over calls, they find spam messages and one-way communication overwhelming. Sometimes, customers ignore messages where they see no scope for interaction. Conversational SMS can solve this problem. Conversational SMS mimics human conversations between people. Enterprises and mobile operators can use it to collect feedback, increase participation in quizzes, surveys, and polls, and improve engagement. It can also be used to authorize a customer’s identity.

The Growing Concerns In Messaging And How Can You Alleviate Them

The sustained popularity of SMS has also given rise to security concerns. Rising threats like grey routes and fake traffic bots erode mobile operators’ and enterprise revenue. Recently, Elon Musk revealed that X (earlier Twitter) was scammed and lost $60 million a year through SMS texts. Musk said X could ascribe about a third of its reported total losses in 2021 to these scams.

Only technologies like SMS firewalls, artificial intelligence, and machine learning (AI/ML) solutions can alleviate these issues.

At Globe Teleservices, we have been building A2P SMS communication solutions and products to help enterprises and mobile operations enhance security.

A2P SMS solutions, for instance, help enterprises and mobile operators enhance security, customer experience, and compliance.

Our products, like Armour, help mobile operators eliminate all types of SMS fraud originating from local and international market sources. It uses deep machine learning to prevent fraud like SIM farming, interconnect scams, and secure networks.

If messaging is your primary form of communication with customers, consider using these solutions. They will secure customer communication, protect revenue, and provide a great experience to your customers.

Contact us to know more about how to realize the full potential of messaging securely. We will be happy to help.

Trends & Technologies Enabling User Authentication and Onboarding

As the world has gone digital, user authentication has become one of the most challenging areas in the customer journey. Many enterprises have been trying to simplify this important stage of the customer lifecycle. From simple passwords to more innovative techniques like A2P SMS and Flash Calls, the user authentication journey has started evolving significantly. But obviously, security and customer experience must go hand in hand if enterprises are to succeed in a digital-first world.

Why Has User Authentication Moved Away from Just Passwords?

Businesses are looking to out-do each other in delivering hassle-free experiences for their customers. But for this, every aspect, like verifying consumer authenticity, speed of service, secure transactions, data exchange, etc., needs to play well together.

A decade ago, passwords were the default trend for user authentication login. Mixing numbers or special characters and strict adherence to character length did the job quite easily.

But over the years, using passwords alone for user authentication has become a risky proposition for businesses. Studies show that 80% of data breaches are linked to bad practices used in password creation and management by users.

With faster internet speeds, consumers want to quickly dive into the action with minimal clicks and typing. This need for a faster, more secure, and intuitive user authentication experience has made passwords an obsolete entity. They are now on their way out of the good books of people.

The Shift in Trends

With password-based user authentication slowly disappearing from the limelight, businesses have been looking for a replacement. But it must be newer, safer, and, most importantly, intuitive in verifying customers.

Over 60% of the global internet population comes online from their smartphones. As a result, businesses are rapidly transforming their digital channels by launching dedicated smartphone apps. These apps leverage much of the underlying device’s network capabilities for various functions. This has led to the dawn of a new breed of innovative user authentication experiences.

Let us explore the top 3 trends that dominate the user authentication journey in modern enterprise applications.

Silent Authentication

Silent authentication is an excellent way for enterprises to simplify the user authentication login process, especially during account creation. It works by leveraging the user’s smartphone network.

The mobile operator will automatically verify the customer’s credentials based on the data connection used. Data available with the mobile operator’s customer data vault is matched against smartphone signals generated on the user’s established connection. This brings a great deal of convenience and added security to the user authentication journey. By eliminating the need for OTPs and textual password inputs, the chances of fraud are minimized and users have to worry less about its impact.

No customer response needed means there is no need to fear modern phishing or social engineering scams. Such scams usually trick people into revealing OTPs or verification texts. Contrarily, the above approach completes user authentication in seconds, with zero customer input. The only downside is that users must have a good data connection as silent authentication doesn’t work over Wi-Fi.

A2P SMS

Application-to-person messaging, or A2P SMS, is a common business messaging system used for user authentication today. It is a communication link between an application and a user’s device powered by the underlying mobile network.

Carriers globally treat A2P and P2P traffic differently, allowing businesses to use A2P to authenticate their customers safely. P2P messages may be screened and rejected by carriers owing to potential scams or safety threats.

A2P messages can be configured with the right tools to ensure a clear distinction. They can be used to deliver OTPs straight to the user device’s app interface. This allows automatic verification even if the user doesn’t open the text message containing the OTP. A2P is designed to work in a scenario where a user isn’t expected to reply to the text.

Flash Calls

Flash calls — yet another user authentication login method where customers don’t have to do anything. Flash calls make for the easiest verification system used today.

A customer is authenticated from their mobile phone by a missed call to a specific number allotted to the business. Any transactional activity, like signing up for the services, user validation, etc., is done by leveraging unique digital codes. The codes would be embedded in the incoming calls to the business’s flash call programmed number. These codes act as virtual passwords and instantaneously authenticate users without any additional input.

The biggest benefit of flash calls is that they automatically handle the entire process without causing any inconvenience for customers. The call is intercepted, the password processed, and the user is verified through a series of automated tasks. These tasks are handled by the flash call solution implemented. This is a great way to engage customers by reducing hassles in their app user journey.

Faster, Safer, and Seamless Is the Way Forward

The user authentication journey for modern digital enterprises considers speed, security, and ease of use as core metrics for success. Enterprises must find the right technology to:

  • Tap into consumer mobile networks
  • Carry out their authentication process seamlessly and accurately
  • Deliver risk free experiences faster
  • Build more efficient communication channels

This is where our suite of enterprise offerings in the user authentication space becomes a great option. Contact us to explore how our solutions powered by advanced analytics, AI, and more can redefine the user authentication journey. Talk to our experts to know more.

The Must-Haves of an “Excellent” A2P SMS Solution

The soaring digital adoption is driving more companies to communicate with their customers through digital channels. It’s here that the focus on A2P messaging intensifies. Short for Application-to-Person SMS, A2P SMS is now used for a range of use cases including two-factor authentication, customer notifications, and marketing purposes. The solution’s prominence is significantly reflected in the 2023 Rocco Research report that highlights the business impact of effective A2P SMS solutions and provides a detailed analysis of the leading A2P SMS solutions in the market.

The report rates the various solution providers across over 30 KPIs. Over the past decade, Rocco has adopted a market research approach based on:

  • Vendor benchmarking – where MNOs rate their solution vendors for services like A2P SMS
  • Market intelligence – where the Rocco team discusses product offerings with each vendor along with their views on a specific service

Global Teleservices has secured a Tier 1 rating for two KPIs: “Value for Money” and “Transparency.” As part of the portfolio of international messaging services, Globe Teleservices has been offering high-quality A2P SMS services to a global clientele and ensuring unmatched reliability.

But why is an A2P SMS solution important in today’s business environment, and what are its “must-have” functionalities? Let’s answer these questions in this blog.

Importance of A2P SMS Solutions

A2P messaging accounted for 70% of global messages in 2020. In fact, the number of yearly A2P messages is projected to cross 1.9 trillion by 2025.

According to Gartner, the open and response rates for A2P SMS are high at 98% and 45%, respectively. Contrarily, emails witness quite low open and response rates at 20% and 6%. This means customers are more responsive to A2P SMS than to business emails.

Besides, with A2P SMS, enterprises have a more cost-efficient mode of directly marketing their products to their customer base. A2P SMS solutions also enable enterprises to reach a wider audience, thus further reducing operational costs.

Additionally, an A2P SMS solution has a variety of use cases, including:

  • Sending One-Time passwords (OTPs) securely for authenticating any online transaction.
  • Sending timely updates for confirmation about hotel booking, airline tickets, or the status of shipped products.
  • Gathering the customer’s feedback after a delivered service in the form of easy scores.
  • Notifying the customer about emergencies in the form of canceled flights, unplanned service downtime, or a canceled order.
  • Delivering a personalized or special offer to selected customers.

Thanks to the emergence of A2P SMS, businesses can reach their customers directly and instantly. Furthermore, they can receive immediate responses from their customers. However, not all A2P SMS solutions have the same functionalities. Here are some features that deliver business value to customers.

Key Features to Look for in an A2P SMS Solution

The global A2P SMS market is projected to reach $78.2 billion by 2028. With a host of providers to choose from, companies often struggle to pick the right solution provider that can satisfy their business requirements.

Here are four must-have features to look for in A2P SMS solutions:

1. Two-Way Messaging

A majority of A2P messaging solutions allow one-way SMS sent by the enterprise to the mobile user. In this mode, the recipient is not allowed, nor expected, to respond to the received message. With the emergence of rich communication services (RCS), A2P solutions can now feature two-way communication. RCS enables recipients to respond to their messages with a single touch.

Two-way messaging also benefits a host of advertisers and marketers with a personalized and interactive mode of communication. With two-way messaging, companies can instantly measure customer satisfaction.

2. Real-Time Analytics

Data-driven real-time analytics is now essential for organizations to measure the effectiveness of their marketing campaigns and related activities. Using analytics and reporting, A2P solutions can provide user engagement data with respect to metrics including:

  • Message open rates
  • Delivery statistics
  • Click-through rates

With these data insights, enterprises can personalize their A2P messages and optimize their messaging strategy for the best results.

3. Regulatory Compliance

Consumer fatigue is a real challenge to A2P SMS providers. This can occur from a large volume of spam messages or even “phishing” messages sent from unknown entities. While evaluating A2P SMS solutions, ensure that they comply with data security and privacy regulations. Additionally, check if the solution provider has taken measures to protect sensitive data and message content.

By adhering to industry regulations, enterprises can reduce customer fatigue and avoid compliance-related violations resulting in financial losses.

4. Global Coverage

Enterprises with an international clientele need an A2P SMS solution that features global coverage and intelligent routing capabilities. With such extensive coverage, organizations have a direct connection with telecom operators across the world – thus ensuring an optimized delivery mode of messaging across countries. Similarly, intelligent routing enables the most efficient and dependable route or channel for transmitting messages.

Apart from these essential features, an excellent A2P SMS solution possesses capabilities like:

  • Failovers to ensure high delivery rates for transmitted messages
  • Scalability features that can adapt to rising volumes of messages over time
  • Customized messages to tailor each message to the user’s preferences, thus improving engagement
  • Support for multiple types of A2P SMS, including transactional messages, marketing campaigns, and interactive messages

Find all these and more in Globe Teleservices’ reliable and cost-effective A2P SMS solution. Using low-latency direct routes, we ensure faster delivery of messages and customer responses. Our A2P SMS solution enables enterprises to grow their subscriber base and build brand loyalty. Get in touch with us today to learn more!

 

The Menace of Flash Calls (and How to Stop Them)

Authenticating users to ensure genuineness is a top priority for modern businesses, especially app-based B2C brands. The better they can cater to actual customers, the greater will be their ROI for marketing and service quality initiatives. Traditionally, such businesses relied on SMS-based OTP services to enable this authentication. Today, however, there is a new entrant in the market that is quickly becoming a darling of app-based businesses but a real threat to the revenue streams of telecom companies.

We are talking about flash calls – the missed call-based user authentication service that leverages an MNO’s network to place a call to the device where the business app is installed. Upon receipt of the call, the app terminates the call without answering while authenticating the user in the background. It is estimated that businesses worldwide will be making over 128 billion flash calls yearly by 2026.

When SMSs were used for multi-factor authentication of apps, users had to open the message and enter the OTP, or the app would auto-fetch the OTP from the device. Either way, it resulted in a billable use of the telecom’s network. With flash calls, however, there is not even a need to answer the call, resulting in zero billable transactions on the telecom network.

This has been a huge boon to businesses, especially growing B2C brands that have to constantly authenticate users for safety and other credible reasons. But telcos haven’t been happy about flash calls.

Why Are Flash Calls a Menace for Network Operators?

Despite becoming a darling of businesses, telcos are having a hard time adjusting to the growth of flash calls. Let us explore 3 reasons why telcos consider flash calls a menace:

Loss of Revenue

The ultimate buzz-kill for flash calls is that they do not bring in any revenue for a traditional telecom operator. End users do not answer the authentication calls, and in most cases, they rarely feel the incoming call as the app handles the call quickly in the background. Without actual call connections being realised, there is no way for telecom operators to monetise such calls. While the earlier practice of text message-based OTP systems allowed them to charge businesses for each SMS. This shift to flash calls leads to a significant loss of revenue.

Scams and Spams

As with any new initiative, there are imposters who hop onto the flash call bandwagon to try and dupe people into scams and illegitimate business transactions, thereby making them suffer monetary losses. In most cases, telecom operators have no control over these calls, and there are several flash call service providers who offer cheap and inexpensive facilities that can be used for committing fraud on end-users.
Due to the practice of call-based authentications happening across all popular consumer apps, users will be less suspicious about handling incoming calls from unknown numbers in anticipation of an authentication process. This becomes a key vulnerability for fraudsters to exploit in different ways.

Congestion on Networks

Unlike an SMS-based authentication system, flash calls result in the usage of a significant bandwidth of the carrier’s network spectrum depending on the volume of calls placed. While one or two app businesses using them may not be a big deal, imagine the situation in the future, as explained above, when billions of calls happen over traditional phone networks.

This will result in severe network bandwidth congestion, forcing end-users to experience delayed services, poor network quality, and other significant network hurdles. This can lead to really unpleasant customer experiences. It can further hurt the business prospects of telecom providers if they aren’t able to scale their infrastructure to accommodate the extra space needed for large volumes of flash calls. And they must do all this without even an opportunity to monetise these calls.

How Can Telecom Operators Transform Flash Calls from a Menace into an Opportunity?

Yes, you heard it right! Despite its popularity for being a dampener on revenue, flash calls can become a potential new revenue stream for telecom operators if they can implement the right technology to manage them.

Today, there are AI-enabled flash call management systems that enable telecom providers to seamlessly identify flash call traffic within their network and put controls in place. The AI and machine learning capabilities of such solutions can help in understanding the patterns of potential flash calls and intercept them in the network before they manage to land on an end-user device.

By gating flash calls, telecom operators can demand a fee from businesses to enable the further transfer of the flash call to an end-user device for authentication. This allows them to build a completely new revenue stream that was previously thought to be impossible. Besides, such solutions can also help block spammy and suspicious flash calls and protect users against newer and emerging threats.

As you can see, leveraging the right technology can help transform flash calls from an enemy into a telecom operator’s best friend. But it requires the use of the right solutions from trusted vendors. This is where Globe Tele Services comes into the picture.

Get in touch with us to know more about how our AI-powered flash call management platform is the ideal solution for your telecom business to embrace flash calls without risk.

 

Why A2P SMS Is Back in the News

As more companies switch to digital strategies, it’s expected that they will communicate more with their customers through digital channels. With the increase in mobile subscribers, there is a growing demand for text-based messages (or SMS). As compared to business emails, text messages have a higher open rate of 98%. What’s even better is that 9 out of 10 mobile users open and read their text messages.

These are some of the factors driving the adoption of Application-to-person (A2P) SMS in 2023. According to Juniper Research, A2P business messages are expected to reach 3.5 trillion in 2023. Grand View Research values the global market for A2P messaging at $66.84 billion in 2022. This is expected to grow at a CAGR of 4.9% till 2030.

Latest Trends in A2P SMS Marketing in 2023

In simple language, A2P SMS is any form of text message sent by an application to a subscribed mobile user. Users can opt to subscribe to text messages from business applications.

What makes A2P marketing useful for business enterprises? Besides being cost-effective, A2P messaging is useful for sending different types of messages, including:

  • Marketing messages or campaigns
  • Appointment or subscription renewal reminders
  • Alerts or notifications
  • Surveys and voting
  • One-time passwords (OTPs) as part of two-factor authentication

Thanks to technology trends like the emergence of shortcodes, enterprises can now send out a larger volume of A2P messages to their subscriber base. For telecom operators, A2P SMS is beneficial as they know immediately if the message has been delivered or not. This helps them maintain and refresh their database of active mobile numbers.

How can A2P SMS services benefit businesses in 2023? Let’s discuss that next.

Benefits of A2P SMS in 2023

In 2023, enterprises across industry verticals like healthcare, travel, and eCommerce will send A2P SMS messages to build customer relationships. To this end, here is why A2P messaging is beneficial:

1. Cost-Effectiveness

SMS-based messaging is among the most cost-effective modes of communicating with customers. Besides, enterprises can now send the same promotional offers or campaign-based messages to thousands of customers simultaneously.

2. Immediate Delivery

With A2P SMS, digital marketers can now send important messages immediately to their consumer base. On average, 90% of mobile users read their messages within 3 minutes of receiving them. On the other hand, email users can take hours or days to read & respond to their email messages.

Besides, customers are 4.5% more likely to respond or act upon brand SMSes than emails. On average, it takes them 90 seconds to respond to an SMS and 90 minutes to respond to an email.

3. Secure Access

In recent years, issues like data breaches have prompted the development of better security standards for enterprises. As online transactions increase, businesses realise the importance of one-time passwords or transaction alerts for their customers. Due to time sensitivity, OTPs or password resets delivered through A2P SMS mode are most effective.

Besides, methods like two-factor authentication and OTP encourage more mobile users to switch to digital transactions – thus generating more business revenue.

4. On-time Alerts and Notifications

Healthcare and insurance companies are also using the A2P SMS system to automatically send out reminders for medical appointments and payment of insurance premiums.

Likewise, with the growth of OTT platforms, subscribers no longer must check out their subscription renewal date. SMS notifications provide them with ample time to complete the renewal if they wish to.

Challenges Facing A2P SMS in 2023

Despite increasing competition from other marketing approaches, SMS is still the preferred tool for most enterprises. However, the A2P messaging service also has its share of challenges, which make it difficult to realise its complete potential in today’s competitive environment.

Here are some of the challenges that enterprises face with A2P SMS service:

1. SMS-related Frauds and Malpractices

As is the case of any digital medium, A2P SMS messaging also has its share of “bad” actors and fraudulent intermediaries. For instance, intermediary companies do find a way to send fraudulent messages to genuine customers. Besides, bad actors indulge in SMS-related malpractices like grey routing, masking, and SIM farming.

2. Extreme Variations in Price

Global enterprises have to deal with challenges like country-specific regulations and price variations. Depending on the country, local partners can charge different rates, thus making it unsustainable to maintain SMS services.

3. Poor Customer Experience (CX)

Illegitimate SMS traffic can lead to poor CX, which is another challenge in A2P SMS services. Also, a legitimate A2P SMS from an unknown sender can create customer fatigue. Often, mobile users have to deal with issues like poor-quality text and below-par messaging.

The Globe Teleservices Advantage

Despite advanced digital marketing tools, enterprises continue to rely on the SMS medium as a fast, cost-effective, and reliable form of marketing. As outlined in this article, in 2023, A2P SMS offers a host of benefits as compared to business email marketing.

Globe Teleservices provides its customers with effective A2P SMS solutions with features like:

  • Global or international coverage
  • Compliance with local or regional industry regulations
  • Enhanced CX by eliminating any grey routes
  • Faster and reliable message deliveries

Want to know how to leverage A2P SMS for your business success? Get in touch with us.

 

The Must-Have Features of a Modern SMS Firewall

Across industries, SMS marketing is eventually outpacing several other mediums to become the most trusted customer communication channel worldwide. That’s why enterprises are increasingly relying on SMS firewall solutions to bolster their marketing abilities allowing them to bring in leads through messaging.

However, the dilemma for leaders lies in selecting the right SMS firewall system. Most leaders are unaware of the features they must evaluate before investing in an SMS firewall system.

To make it easier, this article looks at the top 5 features that a modern SMS firewall must guarantee to help enterprises succeed in their SMS-driven customer approaches.

Proactive Security

The number one feature that an SMS firewall must have today is proactive security analysis and threat mitigation in the SMS traffic an organization handles daily. From common spam texts to intelligent text phishing or fraudulent routing, the landscape of threats that today’s businesses face with their SMS ecosystem is enormous. For an SMS firewall system, they must ensure a safe and spam-free environment for both end-users as well as mobile operators.

In the past, the security of SMS firewall systems had to be managed manually, which necessitated the hiring of dedicated security engineers to cater to SMS traffic alone. Today, however, there are AI and ML-powered SMS firewall solutions, like the Armour SMS Firewall, that offer 360-degree network protection for SMS traffic to and from an organization. This helps prevent fraud and stop revenue leakage, ultimately contributing to rising profitability.

Global Connectivity

Modern SMS firewalls must not be restricted in usage support for local markets. Businesses with ambitious expansion plans internationally will find globally supported SMS firewall solutions to be a core asset in their market penetration efforts. SMS is a trusted communication medium for most consumers, offering brands an opportunity to expand into new markets through seamless SMS marketing campaigns.

An SMS firewall provides a critical digital environment and assets to ensure that the end-user gets the right message at the right time — thus, leading to better conversions.

Better A2P Monetization

It is estimated that the global market for A2P messaging will exceed USD 72.8 billion by 2025. Several new internet-driven businesses are increasingly leveraging A2P as an additional or even their primary revenue channel.

An SMS firewall must be able to offer uninterrupted support and adaptability to new business models that leverage the underlying A2P messaging service. From seamless integration with multiple systems involved in completing the revenue cycle to enabling efficient reporting, the areas of interest are immense.

Flexible Rules Engine

Consumers flock to new devices running different operating systems every now and then. It is impossible for businesses to smoothly manage their SMS marketing initiatives that are heavily dependent on end-user device characteristics.

An SMS firewall should work independently and offer flexibility in rule customization, new policy implementation, and device-agnostic SMS traffic management. Avoid delays in software or hardware updates on end-user devices to stay ahead of the competition. Moreover, the SMS firewall must support all standard rules and best practices that have been proven to be effective in SMS-driven marketing worldwide.

Ease of Use

Features offered by a modern SMS firewall become irrelevant if the user isn’t able to leverage it easily to drive campaigns. The usability of the SMS firewall system is a huge factor that should be evaluated before investing.

Since an SMS firewall forms a critical part of marketing, businesses should integrate the SMS firewall system into their strategies. Once done, they can deploy new configurations on the go from easy-to-use dashboards rather than manual and obsolete interfaces.

The Bottom Line

Protecting subscribers and telecom operators from fraud while enabling better revenue potential in existing channels are perhaps the two most important features from the list we have discussed today. Nevertheless, enterprises must strive towards investing in solutions that offer as many of these top five features as possible.

Alternatively, you can check out our Armour SMS Firewall, designed and developed for future-ready SMS-driven customer outreach experiences for businesses in any sector. Talk to us to learn more.

The various aspects a call anti-fraud solution must cover

Security breaches and fraud are not new in the telecom industry. As technology gets sophisticated, hackers and fraudsters too get smarter. They are on the constant lookout for vulnerabilities and are relentless in testing firewalls for cracks and weaknesses. Scammers and fraudsters attack, take their profits, and leave before they can be stopped.

In 2021, total global telecom revenues stood at approximately USD 1.8 Trillion. But the amount of telecom revenue loss due to fraud stood at $39.89 Billion. Fraud losses increased by 28% or approximately USD 11.6 Billion between 2019 and 2021.

Voice fraud is one of the top inter-carrier fraud cases. Voice fraud burdens subscribers with huge bills and affects MNOs and their residential and commercial subscribers. Some of the common types of voice fraud are IRSF (International Revenue Share Fraud), False Answer Supervision (FAS), Number Hijacking, Interconnect bypass, and Roaming Fraud. Call Forwarding Fraud, Wangiri fraud (a Japanese term for one (ring) and cut), SIM Box fraud, and PBX hacking are some of the other kinds of voice fraud that are making the chamber of horrors for telecom operators.

IRSF (International Revenue Share Fraud)

IRSF fraud assumes a backdoor revenue-sharing agreement between an IPRS or a communications provider. The fraudster manipulates the telephone service and receives compensation for the traffic. IRSF fraud generates anything between $4 and $6.1 billion in damages.

Standard monitoring solutions fail to identify this kind of fraud easily as it is very hard to sift through large volumes of daily traffic to identify anomalies.

False Answer Supervision (FAS)

False Answer Supervision (FAS) can be of two types. The first kind is the Early Answer fraud where a call connection takes place before the subscriber answers the phone. The second kind is the Late Disconnect fraud where the call remains active and the billing clocks even after the subscriber hangs up.

Number hijacking is also another kind of FAS fraud. Here the fraudulent operator keeps the customer waiting for the connections for as long as possible or until the maximum call timer runs out.

Interconnect bypass or SIM Boxing

Interconnect bypass fraud allows fraudulent operators to profit from the spread between low retail prices for on-net and off-net calls and higher international interconnect rates. This fraud enables the unauthorized insertion of traffic onto another carrier’s network. It is also called SIM Boxing.

The fraudulent party replaces the expensive international interconnect with a cheaper, practically free, routing channel and pinches the difference.

Wangari Fraud

Wangari fraud is a call-back scam. Wangari is a Japanese term that means one ring and cut. The fraudsters give a missed call to unsuspecting subscribers to call back to fraudulent premium numbers. CSPs incur direct and indirect losses because of Wangari fraud.

However, the lack of timely threat intelligence and the lack of a platform to exchange data in real-time impede operator capabilities to identify Wangari Fraud proactively.

PBX hacking

PBX and VoIP hacking is when fraudsters hack into telecom networks and pump up significant traffic levels for an IPRS. PBX hacking is a common and well-known form of telecom fraud and can lead to enormous revenue losses. According to the Communications Fraud Control Association (CFCA), in 2019 PBX hacking was the number 1 telecom fraud method, causing a global fraud loss of $3.64 billion.

CDR-based anti-fraud systems cannot break active calls and hence are not well-suited to prevent PBX hacking. They also perform poorly with traffic disguised with statistical patterns. PBX attacks can last for hours and go undetected in the absence of the right anti-fraud systems.

Grey Calls

Grey routes have been giving telecom operators sleepless nights for decades. Grey calling routes bypass licensed carriers by terminating international calls onto domestic telecom networks using unlicensed and illegal telecom setups.

The illegal operators host their equipment at places where their calls can reach multiple cell sites for the calls to get widely dispersed. They also employ multiple SIM boxes, rotate SIM cards, manipulate calling patterns, etc. to outfox traditional fraud detection systems.

SIM Box fraud is illegal since the operators running these setups do not have the required government licenses. These networks not only lead to huge revenue losses but can also impact national security because these routes can be easily exploited by terrorists and anti-national elements.

The solution

Traditional fraud detection systems often do not provide the depth of scanning needed to combat the growing sophistication of telecom hackers and fraudulent agents. Telcos now need to be able to proactively prevent potential fraud by developing their capability to identify suspicious inbound and outbound traffic streams based on behavioural patterns and anomalous traffic.

Fraud detection systems that use technologies such as AI and ML make the telecom security perimeter more airtight. AI-ML-powered detection systems help detect fraud calls in real-time based on various parameters.

Parameters such as behavioural analysis (from a single Calling Line Identification), call volume, the time gap between two calls, number length, adjacent number checking, call distribution working and after working hours, and the number of unique destination numbers in a given period and consecutive attempt gap of a failed call attempt are some such areas to configure.

The right anti-fraud solution leverages machine learning algorithms for faster and proactive anomaly detection and navigating challenges like Interconnect bypass or SIM Boxing.

These solutions protect the subscribers from fraud, quality fluctuation, and surprise bills and can be fully configurable to meet specific business needs. AI and Machine Learning algorithms make proactive and continuous scanning of traffic routes possible and easily point to anomalous traffic.

In Conclusion

Voice fraud has been and shall continue to remain a lucrative criminal activity. As technologies advance, so does hacker and fraudster sophistication. A comprehensive anti-fraud detection system thus emerges as a critical investment to secure networks and revenue. By strengthening the security perimeter and establishing powerful firewalls driven by AI and ML, telecom providers can minimize fraud risks and prevent revenue and reputation leaks. Talk to us to see how to win against the fraudsters.

 

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