E-signing Market Size, Trends, Drivers, and Challenges
According to research agencies reports on electronic market trends, the global e-signature market is expected to grow at a CAGR between 25 to 38% during the upcoming period. One research shows that the market size is estimated to grow from USD 662.7 Million in 2016 to USD 2.65 Billion by 2021, at an expected Compound Annual Growth Rate (CAGR) of 32.0% from 2016 to 2021. Another research exhibits an even bigger expectation of market growth, which predicts CAGR of 34.7% during the forecast period, to reach $9,073.1 million by 2023.
It is expected an important growth in demand for e-signatures and use of it in many activities. This is all due to increased security concerns among companies, growing government focus towards eliminating paperless work together with growing e-commerce market and increasing online transactions across the globe.
The global e-signature market is driven by factors such as the increase of online shopping and online documentation, penetration of internet and the growing acceptance of e-signatures in the BFSI (Banking, Financial Services and Insurance) sector. Other important market drivers for the growth of the e-signature market, are the increased demand for security, workflow efficiency and supply chain enhancement incorporates.
The biometric-based signature technology is considered as a most protected measure in order to precede the authentication and identification process of an individual. The pattern of a signature cannot be replicated or stolen. This is the main factor that creates awareness and interest about this among companies across the world.
The e-signatures use shown in number of transactions, solely in 2014, was around 210 million transactions electronically signed worldwide.
The current market challenges happening in the digital signatures market are:
- Implementation of stringent norms by the government authorities leading to uncertainties regarding electronic and digital signatures;
- redundant technology adopted in the development of digital signature
- inconsistency among various technologies of these signatures