Digital Signature refers to the data contained in the electronic form of the data message and attached to identify the signer’s identity and indicate that the signer approves the content. In other words, an electronic signature is a digital signature of an electronic document through cryptographic technology. It is not a digital image of a written signature. It is similar to a handwritten signature or seal. It is an electronic code; the recipient can easily verify the identity and signature of the sender online. It can also verify whether the original text of the file has changed during transmission.
Global digital signature market size valued at USD 2.24 billion in 2019, which expected to reach USD 9.25 billion by 2027, growing at a CAGR of 16.78 % from 2020–2027. The primary factors are increasing investment of governments and enterprises in electronic documents and digital signatures for data security. The rising need for valid authentication, data security, control, and integrity is anticipated to fuel the demand for digital signature across the globe in the coming years. Additionally, the surge in demand for biometrics in the BFSI industry, along with growing efforts to eliminate paperwork and support government policies, is anticipated to boost the digital signature industry’s growth. Also, the digital signature applications to improved operational efficiency at reduced costs enhanced security, and organized workflow will spur the global digital signature market share in the forecast period.
Moreover, the upsurge in the use of digital signatures for various digital media, such as office documents, AutoCAD drawings, pictures, videos, and audios for authentication, will augment the robust growth of the global digital signature industry in the upcoming periods. Also, the digital signature solution enables more comfortable and quicker cross-referencing and validation which helps in businesses enhance customer service and cuts down expenditure. These factors are strengthening market growth. Furthermore, the upsurge in usages of digital signature across enterprises to certify and approve contents of digital documents such as PDFs, emails, and Word documents is expected to witness remarkable growth of the market during the analysis period.
Digital signatures allow customers or individuals to sign important documents anywhere. The recording can turn off at the entrance channel step. It is perfect, especially in remote areas and small towns, providing improved and customized management. Customers have the opportunity to connect with the organization from anywhere, and undeniably make the service and organization simple, fast, and user-friendly. Government initiatives such as awareness programs for different industries could help increase consumer awareness about the legality of digital signatures.
The high demand for digital signature in cross border business such as with less delay, computerized signatures ensure a better mastery of workflow. Monitoring and tracking records become easier, including less effort and time. Cross-border e-commerce platform companies, logistics companies, payment companies, and other companies involved in cross-border e-commerce retail import business are using digital signature applications for fast business activities.
As the Covid-19 pandemic continues to swing the globe, the various governments worldwide are utilizing the applications of digital signature governments, which include biometrics, during the pandemic to prove the identity of individuals and institutions’ representatives who may be in isolation for two weeks or longer. The biometrics are using by the enterprise, and even in government level documents, and in authenticating, it allows people to sign with their face, voice, iris, and fingerprint without sharing any of their data.
Based on the deployment type, the global digital signature market bifurcates into On-premises and Cloud-based. The cloud-based segment occupied the maximum digital signature market share in 2019. It is attributable to the cloud, including data exchange between the signing-enabled cloud environment and the signer. It also provides solutions to end-users and offers companies multi-channel signatures services.
The on-premises will capture lucrative CAGR during the forecast period because it offers high flexibility and control and can be easily regulated by clients and assures higher security, flexibility, and data control.
Based on the solution, the global digital signature market segregated into Software, Hardware, and Services. The software segment accounted for a higher revenue share in 2019 and projected to dominate the digital signature market by 2027. It is primarily attributed to the rising digital signature implementation across different industry verticals for the more significant end-user benefit and improved compliance.
The services segment will grow with a lucrative growth rate in the forecast period. It is due to digital signature services provides users with signer identity validation, content integrity, and trusted timestamps.
Based on application, the global digital signature market classified into BFSI, Government & Defense, Legal, Real Estate, HR, Manufacturing & Engineering, Healthcare & Life Sciences, and Others. The BFSI segment will hold higher market potential by 2027. It is due to the surge in the digital signature adoption, which provides agility, security, automation, visibility, and compliance of business processes for the growing number of online frauds, data breaches, and cyberattacks in BFSI institutions.
The Legal segment held a significant market share in 2019. It is due to the increasing demand for digital signature for improving compliances, reduced document turn-around time, and fast invoice process.
Based on geography, the global digital signature market segmented into North America, Europe, Asia Pacific, South America, and Middle East & Africa. North America is slated to account for a significant share by 2027 in the digital signature market. The growth in the region can be attributed to massive investments made by the government, private, and public sectors for enhancing data security, along with digital signature provide the seamless workflow, data security, and paperless work.
Europe is projected to provide significant growth opportunities in the forecast period. Due to the initiatives undertaken by governments to create opportunities for organizations to conduct cross border business and enterprises, spreading awareness about the legality of digital signatures encourages users to adopt digital signatures.
Companies such as Adobe, OneSpan, Gemalto, Ascertia, DocuSign, Entrust Datacard, SIGNiX, Secured Signing, Identrust, Kofax, RPost Technologies, HelloSign, MultiCert, GlobalSign, RightSignature and Zoho Corp are the key players in the global digital signature market.
By Deployment Type