Gartner Report: Twilio SWOT Analysis

Gartner's report, “SWOT: Twilio, Worldwide,” provides an independent analysis of Twilio’s status in the worldwide CPaaS market.

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Gartner Report: Twilio SWOT Analysis

Improving the customer experience is a top priority for enterprises thinking about digital business outcomes. For many, customer experience is more than a priority; it’s mission critical.

The experience a customer has with an enterprise organization can be dramatically improved by adding voice, SMS, MMS, chat, video, authentication, and proactive notifications into apps, services, and business processes. Where, when, and how you communicate with customers through the applications they use matters.

Using APIs, developers can now add these real-time communications features into their own applications without needing to build backend infrastructure and interfaces. Communications Platform as a Service (CPaaS) adoption is shifting the ways in which enterprises develop products and services.

The Communications Platform as a Service (CPaaS) Shift

In addition to changing the way businesses develop products and services, CPaaS is shifting the ways in which enterprises communicate with and service customers. By embedding communications into their digital processes, enterprises are improving engagement and creating better customer experiences.

CPaaS adoption is growing rapidly. A recent Gartner Market Trends report projected that by 2020, 30% of enterprises will embed communications into digital processes using APIs from CPaaS vendors, up from less than 5% in 2017. Gartner predicts end-user spending on CPaaS will grow at a compound annual growth rate (CAGR) of 49.6% to reach $4.63 billion by 2021.

CPaaS, then, represents a huge opportunity. Communications, and particularly customer engagement communications, remain incredibly fractured as many companies have barely begun to understand what’s possible with a modern communications platform. So, where do enterprises begin? And how?

Twilio: Strengths, Weaknesses, Opportunities, and Threats

A good starting point could be Gartner’s “SWOT: Twilio, Worldwide.” This report provides an independent analysis of Twilio in the worldwide CPaaS market by Gartner analysts, Gyanee Dewnarain and Daniel O'Connell.

Gartner’s SWOT analysis provides an independent, informed view of Twilio’s strengths, weaknesses, opportunities, and threats. This report can be a useful tool for enterprise organizations that are evaluating the CPaaS market and considering how to become more customer-focused by embedding communications into digital processes using APIs.

Here are some of the report’s key findings about Twilio:

  • Strengths: Twilio is a scalable, reliable, and high-quality platform with a strong ecosystem of over two million developers on the platform as well as a thriving network of channel partners.
  • Weaknesses: Twilio has built up a great reputation in the developer community, but has put fewer resources into sales and marketing that targets other enterprise teams.
  • Opportunities: Twilio has a disruptive business model that continues to innovate by adding new platform capabilities and services.
  • Threats: While Twilio does have strong competition, it remains the leader in CPaaS globally.

Choosing the Right CPaaS Provider

In the past, enterprises bought mature, off-the-shelf solutions from established vendors. Now, they see software development - and CPaaS - as key to digital differentiation. Choosing the right CPaaS solutions to implement in your business requires research, comparison, and strategy.

We believe Gartner’s in-depth SWOT report can help technology product management leaders and others responsible for CPaaS or communications-enabled digital solutions assess the capabilities and advantages of Twilio.

Source: Gartner SWOT: Twilio, Worldwide, Gyanee Dewnarain, Daniel O’Connell, 13 April 2017

Disclaimer: Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.