The global digital signature market is projected to grow from an estimated USD 5.5 billion in 2022 to USD 25.2 billion by 2027, at a Compound Annual Growth Rate (CAGR) of 35.6% from 2022 to 2027.
Some of the factors driving the market growth include implementation of stringent regulatory standards, and the requirement for enhanced security with controlled and seamless workflow. However, lack of awareness about legality of digital signatures and variation of digital signature rules and regulations across regions is expected to hinder the market growth.
SMEs segment to grow at highest CAGR during the forecast period
SMEs majorly adopt digital signature solutions and services to protect their organizations from unauthorized access, vulnerabilities, and attacks.One of the prime motives of attackers targeting SMEs is to access the customers’ sensitive data, including personal information, payment details, and other confidential information.
SMEs face several constraints including possessing limited resources and having budget constraints.The manual and traditional process of signing documents is time-consuming.
SMEs find digital signature software a simple, intuitive, low-cost, hassle-free, and secure solution to meet their growing needs.Governments take initiatives to protect SMEs in their respective countries.
Different laws in different countries, such as the eIDAS regulation in the EU, UETA and ESIGN Act in the US, and Information Technology Act, 2000 in India regulate the use of electronic signatures for SMEs. SMEs are more prone to cyber-crimes due to limited resources, availability of IT personnel, and budget constraints; therefore, they are looking forward to adopting digital signature software for saving their money, time, resources, and assets. Hence, to help organizations fight against various cyber threats and challenges, digital signature software and hardware providers deliver innovative solutions to secure businesses from cyber threats and attacks. Vendors serving SMEs include companies such as Adobe, DocuSign, and DigiCert.
BFSI segment to hold the largest market size during forecast period
The BFSI vertical is witnessing increasing digitalization.With the increasing digitalization comes the risk of fraud and cybercrimes.
With the process of mitigating the risk of fraud, digital signature solutions help provide protection to the sensitive customer data.BFSI organizations need to provide good customer experiences based on digital consumer behavior and preferences.
Digital signatures help increase efficiency and allow businesses to collaborate across borders.Digital signatures help eliminate paper-based processes; identify internal users or workflow processes; enable signing of a huge volume of documents; provide authenticity, traceability, and control; reduce time delays, and increase accuracy of completion rates.
Digital signature solutions help speed up transactions and maintain audit trails of signed agreements and consent forms. Financial institutions need to maintain compliance with regulations and laws implemented across regions. Initiatives are being taken by governments in these countries related to digital signatures. In 2021, ETSI unveiled ETSI TS 119 182-1, a specification for digital signatures supported by PKI and public key certificates which authenticates the transactions’ origin, that helps make the originator accountable and further access to sensitive resources can be controlled. This standard will be useful for some 4,000 banks that were using various signing algorithms for their APIs to secure their online transactions.
Asia Pacific to grow at the highest CAGR during the forecast period
Asia Pacific is one of the major contributors to the digital signature market.Across Asia Pacific, digital technology is transforming various aspects of the life of citizens.
These changes have been affecting governments, businesses, and communities.The region is witnessing a rising deployment of information technology, which is enhancing the growth of the digital signature market.
According to the World Bank, the internet usage percentage in Asia Pacific in 2020 was 67%.The region is transformed by technologies, including AI, big data, mobile connectivity, and high-capacity electronic networks.
Enterprises are deploying digital signature solutions to protect their critical information and systems from hackers. The major driver for the digital signature market in this region includes huge demand from enterprises and SMEs for secure transactions on the internet and the adoption of secure digital document solutions. The COVID-19 pandemic has strengthened the digital signature market as businesses increasingly move online and adopt digital tools. Several regulations by governments across countries in the region control the digital signature market in the region. Vendors offering solutions in the digital signature market in Asia Pacific include companies such as Secured Signing and SigniFlow.
Breakdown of Primaries
The primary sources from the supply side included various industry experts, including Chief Executive Officers (CEOs), Vice Presidents (VPs), marketing directors, technology and innovation directors, and related key executives from various key companies and organizations operating in the digital signature market.
• By Company Type: Tier 1: 25%, Tier 2: 40%, and Tier 3: 35%
• By Designation: C-level Executives: 30%, Directors: 35%, Others: 35%
• By Region: North America: 15%, Europe: 25%, Asia Pacific: 30%, Latin America:20%, MEA:10%
The major digital signature market vendors include Adobe (US), OneSpan (US), Thales (France), DocuSign (US), Ascertia (UK), Zoho (India), GlobalSign (US), Entrust (US), DigiCert (US), IdenTrust (US), Secured Signing (New Zealand), Symtrax (US), AlphaTrust (US), Notarius (US), Actalis (US), ComSignTrust (Israel), SignWell (US), SIGNiX (US), RNTrust (UAE), Bit4id (Italy), LAWtrust (South Africa), SigniFlow (UK), vintegrisTECH (Spain), Signicat (Norway), and Signority (Canada).
The report segments the digital signature market and forecasts its size, by component (solutions, services), solution (software, hardware), deployment mode (cloud, on-premises), organization size (SMEs, large enterprises), vertical (BFSI, government and defense, healthcare and life sciences, legal, real estate, education, IT and ITeS), and region (North America, Europe, Asia Pacific, Middle East and Africa, and Latin America).
The study also includes an in-depth competitive analysis of the key players in the market, along with their company profiles, key observations related to product and business offerings, recent developments, and key market strategies.
Key Benefits of Buying Report
The report is expected to help the leaders/new entrants in this market with information on the closest approximations of the revenue numbers for the overall digital signature market and sub-segments.It will help stakeholders understand the competitive landscape and gain more insights to position their businesses better and plan suitable go-to-market strategies.
The report will also help stakeholders understand the pulse of the market and will provide them with information on key market drivers, restraints, challenges, and opportunities.