To the uninitiated, RCS may seem like just another telecom TLA (three-letter acronym), putting it into the category of buzzwords that you only ‘kinda’ need to know about. However, these three letters spell huge value for an evolving mobile ecosystem — and for the end users that are hungry for even more communications capabilities.
Rich Communication Services (RCS) are a lot more than a trend. In fact, they’re likely heralding somewhat of a new era for messaging and mobile communications, and they should be regarded carefully as such. While expanded RCS opportunities are driving next-generation results, they also pose some important questions for the enterprises, MNOs and CSPs looking to provide them. For example, how can the complex routing requirements of RCS be met, and how can providers overcome the costs associated with incorrectly terminating rich omnichannel messages?
Ultimately, as we steadily head toward an RCS-inclusive communications landscape, knowing exactly what awaits on this journey toward richer capabilities is key to avoiding pitfalls while remaining on the path to success.
Getting to know rich communications
Rich Communications Services represent an innovative messaging protocol that builds on traditional SMS and MMS functionality to present a host of value-laden opportunities across the entire spectrum of messaging — on both the end user and business sides of the equation. RCS is, in essence, a next step in the mobile messaging evolution, and it’s causing a stir because it enables providers to meet demands for more tailored, engaging, versatile and exciting communications opportunities.
On the individual user side, RCS allows for higher resolution image and video sending — and much, much more. Among RCS’s many talents is the ability to enable read receipts, encryption, location sharing and more. Plus, it doesn’t restrict usage to only those with a specific app, which is a common function of some popular internet-based messaging applications. All a user needs in order to harness these assets is a carrier that supports RCS, which explains why the carriers are all clamoring to accommodate that growing demand. Notably, the global market for RCSwas valued at around $780 million in 2019. Today, it’s expected to grow at a compound annual growth rate (CAGR) of 35.4% from 2020 to 2027.
Of course, all that value isn’t being driven solely by the promise of sending higher-resolution memes to friends — there are big benefits for enterprises too. RCS-enabled Application-to-Person (A2P) messaging and omnichannel opportunities are becoming a highly sought-after method for businesses that are looking to more effectively reach consumers with tailored, branded messaging — the bread and butter of building brand loyalty in a competitive market. Just think about it: Where is a better place to reach a target consumer than through their most relied-upon device that remains (sometimes literally) attached to their hip at all times? It’s efficient, it’s more likely to be seen, and communicating across a more intimate channel does offer an enhanced feeling of comfort and satisfaction for customers. Not to mention, it opens up a two-way conversation between customers and brands since recipients can easily respond to business messaging or offers in the same way they would respond to a friend. All of this reinforces predictions that by the end of 2022, the market for A2P will reach an estimated $66 billion.
Of course, it must be acknowledged that with this great power comes great responsibility. If enterprises are going to start reaching directly into the pockets of their consumers, they must certify that the new level of trust (and new points of personal data used to establish it) aren’t compromised. That brings us to the more complex considerations surrounding RCS implementation in the mobile ecosystem.
What’s the hitch on RCS?
Theodore Roosevelt once famously said that nothing in the world is worth having or worth doing unless it means effort, pain, or difficulty. Others have simply said, ‘nothing good ever comes easy.’ The former is a bit dramatic for what’s at hand with RCS, but the latter does have its applications to the current situation that carriers and communications providers now find themselves in.
Complexity and capability often have a direct relationship in the world of mobile communications. As one goes up, so does the other and vice versa. So, inevitably, when we’re looking to build even richer experiences for users, there are some hurdles to jump. As referenced above, there are some security and trust considerations that come hand-in-hand with leveraging an individual’s most private mobile realm for business contact. Another major challenge comes with ensuring routing can retain simplicity and stay streamlined despite the added layers of complexity from RCS. The RCS ecosystem is undoubtedly complex, and the presence of alternative providers, in addition to mobile carriers, can make architecting a successful RCS solution difficult. This complexity has implications on underlying RCS routing, and carriers and RCS hubs must now be able to determine the right destination for RCS messages: the native carrier or an alternative provider’s platform.
The solution to these complexities and challenges lies in data — how it’s gathered and applied to vet, verify and navigate the new communications ecosystem efficiently and reliably. When MNOs and CSPs have access to accurate, up-to-date, easy-to-integrate routing data, they can deliver RCS messages to end users effectively, quickly and accurately by correctly identifying RCS-enabled devices. Not to mention, with quicker and more accurate routing, messages can be delivered with minimum latency. These reduced delivery times not only improve end-user response rates, but they ensure the end-user experiences are consistently superior. Plus, this phone number intelligence data helps keep messaging more secure too.
In summation, data is clearly at the core of building next-generation capabilities through RCS — but not just any data will do. Constantly refreshed, normalized, accurate and comprehensive phone number intelligence data is a necessary resource for navigating and deriving value from the new world of mobile messaging.
