The emergence of digital signatures has enabled secure communication among organizations & government institutions. In line with various government initiatives for digital transformation across different industries, several businesses have switched from the traditional hand-written signatures to electronic or digital signatures that offer numerous benefits like enhanced operational efficiency, time savings, reduced expenses, etc. As a result, the coming years project lucrative prospects for the demand for digital signature solutions across the BFSI, government, healthcare, IT & telecommunication, & retail sectors, among others.
The Global Digital Signature Market is projected to grow at a CAGR of around 28% during the forecast period, i.e., 2022-27. Most of the market expansion would be driven by the rapid digital transformation of major industries worldwide, coupled with the mounting need for robust data security, streamlined workflow, & improved operational efficiency across organizations and ensuring superior customer experience.
|Study Period||Historical Data: 2017-20|
|Base Year: 2021|
|Forecast Period: 2022-27|
|Regions Covered||North America: USA, Canada, Mexico|
|Europe: Germany, The UK, France, Russia, Germany, Italy|
|Asia-Pacific: China, Japan, India, South Korea|
|South America: Brazil, Others|
|Middle East : Saudi Arabia, UAE, Qatar, Turkey, Others|
|Key Companies Profiled||
Adobe, Onespan, Gemalto, Ascertia, Docusign, Entrust Datacard, Signix, Secured Signing Limited, Identrust Kofax
|Unit Denominations||USD Million/Billion|
Besides, the rapidly expanding BFSI sector and various initiatives by governments of different countries worldwide toward eliminating paper usage from industries would further augment the growth of the global market through 2027.
Several organizations worldwide are increasingly adopting cloud-based security solutions, including digital signature software, owing to its flexibility, scalability, unlimited data storage, etc. Most individuals electronically sign their financial documents for bank account opening, loans, investments, etc., especially with the advent of Covid-19, which has also led to the burgeoning utilization of digital signature solutions in recent years.
In addition, the surging need for data security, especially across the healthcare & BFSI sectors while sharing sensitive information, is another prominent aspect projected to notably contribute to the overall growth of the global digital signature market in the coming years.
Key Trend in the Global Digital Signature Market
Operations across hospitals & healthcare clinics involve immense paperwork like registration, patient consent for treatment, discharge documents, prescriptions, & invoices. All of this requires a lot of paper to gather patient signatures.
Digital signatures help eliminate paper usage & speed up the entire process while reducing the possibilities of fraud & theft. As a result, the healthcare sector is increasingly adopting digital signature solutions for easy & anytime data sharing while keeping it confidential, enhancing cost & time savings, and providing an overall improved patient experience.
Impact of Covid-19 on the Global Digital Signature Market
In 2020, while the advent of Covid-19 catastrophically impacted most businesses, it notably promoted the expansion of the Global Digital Signature Market amidst the crisis. With a paradigm shift to remote working, governments & several private sector organizations increasingly adopted digital signatures & verification solutions to maintain social distancing and reduce paper-based transactions.
The global pandemic has compelled different industries worldwide to embrace online platforms, where the BFSI sector is the most prominent one that has been increasingly deploying digital signature solutions for user authentication to minimize the risks of fraudulent transactions. Likewise, the retail & healthcare sectors also started using e-signatures for benefits like hassle-free contract signing, reduced turnaround time, etc. Hence, the digital signature market witnessed significant expansion amidst the crisis, and the same trend is expected in the years to come.
Based on Deployment:
Amongst both, the cloud-based digital signature solutions are more likely to dominate the Global Digital Signature Market during 2022-27. It attributes to the advantages of cloud services like robust security, cost-effectiveness, scalability, flexibility, anytime & anywhere data access, unlimited storage, etc.
Nowadays, numerous companies are increasingly adopting cloud-based digital signature solutions to leverage various benefits of the SaaS (Software-as-a-Service) distribution model. With this, organizations attain the freedom of adding or removing signers as and when needed, coupled with sharing something with only those considered crucial. Hence, these aspects project remunerative prospects for the digital signature market through 2027.
Based on End-User:
Here, the BFSI (Banking, Financial Services, & Insurance) sector is the largest revenue generator in the Global Digital Signature Market. It owes to the burgeoning adoption of digital signature solutions for e-payments, enhanced security in financial docs, improved cost-efficiency, & record simplification on account of the increased focus of governments of several countries on the digitalization of economies.
Digital signature services enable BFSI firms to streamline complex operational processes by providing customers with enhanced security & improved TAT (turnaround time). Moreover, these solutions help accountants & tax specialists quickly obtain user signatures for various legal necessities.
Nevertheless, the mounting use of online financial services like internet banking, mobile banking, & stock trading is also surging the demand for integrating digital signatures across these services, owing to benefits like robust security, protected identities, & easy management of regulatory compliances. Hence, these aspects are likely to fuel the growth of the digital signature market across the BFSI sector in the coming years.
Geographically, the Global Digital Signature Market expands across:
North America, the hub for most MNCs & numerous small-scale enterprises, is the largest Digital Signature Market globally. The surging utilization of e-signatures to reduce online frauds, especially across the BFSI, legal, the government, & healthcare sectors of the US and Canada, coupled with the early adoption of advanced technologies across the region, are the prime aspects driving the digital signature market across North America.
In 2020, the advent of Covid-19 that led to stringent movement restrictions for voters prompted the US government to adopt digital voting, which, in turn, positively influenced the demand for digital signature solutions and led to the government collaborating with numerous signature verification developers.
With a rapid rise in concerns over securing critical IT infrastructure & sensitive data in recent years, organizations are massively investing in data security. Moreover, government mandates to secure digital documents with e-signatures have significantly boosted the integration of digital signature technology in the previous few years.
In addition, the mounting adoption of cloud-based services among organizations, the growing penetration of smartphones, and the extensive presence of leading digital signature solution providers are other prominent aspects projected to contribute significantly to the market growth across North America over the coming years.
Key Driver: Rising Investments by Governments & Private Organizations in Electronic Documentation
Many governments & corporates worldwide are shifting toward paperless operations as they greatly benefit the environment. Various offices have started using electronic documentation, i.e., helping them save a tremendous amount of paper, enhance overall business efficiency, & reduce operational costs. It, in turn, is leading to massive investments by various companies & governments in integrating digital signature solutions with business applications to achieve benefits like cost-efficiency, time savings, enhanced security, & better customer experience. Hence, these aspects are likely to boost the adoption of digital documentation and drive the Global Digital Signature Market through 2027.
Possible Restraint: Lack of Consumer Awareness Regarding Legitimacy & Advantages of Digital Signatures
For many individuals & businesses, digital signatures are still untested & illegal. The overall adoption rate of electronic signatures across a few emerging countries is quite lower than in developed ones, principally due to the lack of awareness regarding their benefits. Many organizations are reluctant to deploy these solutions, owing to numerous regulations associated with them, and, as a result, they do not want to take risks. Moreover, the increasing prevalence of cyberattacks is raising numerous data security concerns, i.e., another reason behind the restricted adoption of digital signature solutions worldwide. Hence, these aspects might limit the expansion of the Global Digital Signature Market during 2022-27.
Key Questions Answered in the Market Research Report:
Frequently Asked Questions
A. The Global Digital Signature Market is projected to grow at around 28% CAGR during 2022-27.
A. The rapid digitalization across different industries worldwide, coupled with the mounting need for seamless workflow, enhanced security, & overall improved operational efficiency, are the prime aspects projected to drive the Global Digital Signature Market through 2027. On the other hand, the lack of awareness among people about the significance & benefits of digital signatures entwined with the increasing number of cyberattacks worldwide might restrain the growth of the global market in the years to come.
A. The Healthcare sector is projected to generating lucrative prospects for the leading players in the Global Digital Signature Market over the forecast years.