Study: Operator-Sponsored RCS Will Win Consumer Hearts and Brand Budgets
March 12 2020 - 9:15AM
The United States is a market primed for operator-sponsored, brand-
targeted advanced messaging based on Rich Communications Services
(RCS), according to focus group conversations conducted by
Synchronoss (NASDAQ: SNCR). After bringing together dozens of U.S.
consumers of all ages to discuss their mobile messaging habits,
Synchronoss is able to show the value of RCS to operators and
brands to increase subscriber engagement and create new revenue.
RCS is an easy-to-use, feature-rich, interactive
cross-operator advanced messaging platform that will be available
on all mobile devices. This evolution of operator-led SMS messaging
not only incorporates advanced multimedia capabilities into text
messages but also gives users the ability to accomplish everything
they currently do across multiple apps from a single messaging
platform and with a single contact list for friends, family and
services.
RCS also serves as a powerful, private-by-design
direct marketing ecosystem that operators can offer to brands.
Brands will be able to leverage a new secure, permission-based,
personalized communications channel and take advantage of SMS’s
higher open, response and click-through rates. At the same time,
operators will gain an opportunity to grow their revenue outside of
traditional lines of business and further solidify their own
reputations as protectors of subscriber privacy.
Synchronoss, a global leader and innovator of
cloud, messaging, digital and IoT products and the provider behind
the RCS-based +Message service launched by three major Japanese
operators in May 2018, asked focus group participants about their
current messaging behavior and introduced them to RCS capabilities.
The resulting discussions demonstrated a clear demand for
operator-sponsored RCS, with convenience and operator trust at the
heart of participants’ excitement for this new form of mobile
communication.
“When asked about their perception of messaging
services today, participants perceive a clear distinction between
‘messaging’ and ‘texting’,” said Glenn Lurie, President and CEO,
Synchronoss. “‘Messaging’ is reserved for messaging applications,
such as Facebook Messenger, WhatsApp or Instagram, while ‘texting’
is considered to sit outside of this messaging arena and is a
different activity entirely. For consumers, texting is
foolproof.”
For operators, this is good news. While
consumers may use multiple messaging applications for different
purposes, nearly everyone texts and they text a lot. Consumers
trust traditional texting service because they consider it secure
and reliable, and they know their personal contacts all have access
to texting – which isn’t necessarily the case with messaging apps.
In fact, the most commonly used messaging app is the native,
pre-loaded application that integrates both SMS and device-centric
messaging services, such as iMessage or Android Messages. This
preference for and trust in SMS demonstrates a clear opportunity
for operator-sponsored RCS to build on the allegiance consumers
already have to text messaging.
RCS capabilities are wide-ranging. They include
basic person-to-person chat as well as “mobile-app”-like
experiences, such as booking and scheduling services or purchasing
goods directly from the RCS application. Focus group members were
receptive to the idea of living their digital lives in a single,
one-stop messaging application that includes friends, family and
favorite brands. They liked the prospect of being able to eliminate
multiple apps and streamline their mobile communications into one
all-encompassing tool. This removes the user-friction caused by the
sometimes clunky and inconvenient separate messaging apps and the
tendency of those apps to occupy a lot of device memory.
In addition to gaining a better understanding of
consumers’ mobile messaging preferences, the research also produced
some key findings for operators.
“Three lessons emerged from our research,” said
Lurie. “First, operators must prioritize person-to-person
communications to ensure RCS is seen as an app used for day-to-day
texting as well as messaging. Second, operators should quickly
launch application-to-person functionality to make it easy for
consumers to control interactions with the brands they like. And
finally, operators must prioritize privacy and security so that RCS
becomes the app consumers trust for everything. RCS is an
incredible opportunity for operators and brands. Consumers love its
capabilities, and brands love its potential as a safe, engaging
marketing channel.”
The findings from the focus groups can be found
in a whitepaper entitled ‘How operator-sponsored RCS can win
consumer hearts and brand budgets’, and can be downloaded here:
https://synchronoss.com/operator-sponsored-rcs/
About Synchronoss Technologies,
Inc.
Synchronoss (NASDAQ: SNCR) transforms the way
companies create new revenue, reduce costs and delight their
subscribers with cloud, messaging, digital and IoT products and
platforms supporting hundreds of millions of subscribers across the
globe. Synchronoss’ secure, scalable and groundbreaking new
technologies, trusted partnerships and talented people change the
way TMT customers grow their businesses. For more information,
visit us at www.synchronoss.com.
Investors: Joseph Crivelli
Synchronoss 908-566-3131 investor@synchronoss.com Media
Contacts:Anais Merlin CCgroup (International) T: +44 20
3824 9200 E: synchronoss@ccgrouppr.com
Diane RoseCCgroup (North America)T: +1
202-350-2469E: diane@ccgrouppr.com
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