What is the Future Scope of Electronic Signature Market in the United States

The favorable online environments supporting digital signature admissibility and legal acceptance coupled with the rising production and use of tablets and smartphones are going to fuel the growth of digital signatures. According to the Fortune Business Insights report, the digital signature market in North America was $297.3 million in 2018. Looking at the market trend by component, the services took the bigger chunk accounting for 18 percent of the digital signature market. Many eSignature solution vendors have been launched some of which provide electronic signature free to allow businesses, individuals, and other parties to be able to take advantage of this technology to ensure the document signing process is done faster, efficiently, and securely online without incurring a lot of expenses. This can prove useful to the small businesses and startups who are financially constrained and looking for a cheap or free option of eSignature services.

According to a report by Mordor Intelligence, the digital signature market has a value of $3.06 billion in 2018 with projections of reaching $5.7 billion by 2024 in the global scale. This is at a CAGR of 21.5 percent in the forecast period. North America accounts for the largest market of digital signatures. Enterprises are today shifting from the use of traditional signatures to using digital signatures since it helps reduce the risks of having legal disputes while providing stronger evidence. The boom in e-commerce, as well as online banking activities, call for a consistent need to have data security when conducting transmission of sensitive information. Free eSign can come handy in promoting financial transactions and legal agreements.

It is important that companies engaging in online business secure their networks so that they gain confidence with customers. The need to enhance online security when transacting and transmitting information has resulted to a greater need for faster adoption of digital signatures. These signatures act as the personal seal of authenticity for the sender over electronic documents. Use of signature involves getting private and public keys in addition to digital certificate by making payment for the service. While commercial CAs are reliable, they may create financial hindrance among small and medium businesses.

Segmenting of the Digital Signature Market

The digital signature market is segmented in different blocks, for example, deployment on cloud and on-premises or offering segmentation that comprises of service, hardware, and software. There is also the end-user industry segmentation which involves the healthcare, government, BFSI, oil and gas as well as military and defence. The market is also segmented into geography where you have North America, Asia Pacific, Europe, Latin America, and the Middle East and Africa.

What’s Fueling the Growth of eSignature Market

A digital signature acts as an encrypted electronic stamp that allows authentication in the use of digital documents like PDF files, word files, and online documents. eSignatures allow organizations and businesses or users to sign a document using digital platforms without having the obligation to save the signed documents through third-party servers. This helps maintain security as well as control over data. The market for smartphones has been increasing and so is the tablets’ market. Many businesses and individuals are now using the internet to engage in business transactions and other legal agreements like the use of payment processors or even enrolling in colleges. The use of tablets and smartphones is fueling the digital signature market growth in any parts of the world including North America, Europe, and Asia.

Use of free software to create digital signature means that many organizations, individuals, and businesses are able to access and use the eSignature services without paying. This takes away the financial hindrance that may be caused by the use of paid eSignature services. The number of businesses and individuals using eSignature services will continue to rise as more free eSignature software tools are provided in the market. It also gives the businesses an opportunity to try out this promising technology and realize its benefits. The businesses are able to realize that the traditional way of signing documents is far too way costly and inefficient. Besides, just because a document bears a digital signature doesn’t mean that it’s not legally binding. You can use that document in a court of law to defend yourself or to make a claim.

With more than 7 billion mobile devices distributed across the globe, it would mean that users are relying on these gadgets to carry out their online activities, according to WeAreSocial. Besides, the cloud-based platforms for digital signatures are offering uninterrupted workflow something that is expected to increase the growth of the digital signature market in the world. Other factors that are propelling the growth of eSignatures markets are such as the rising e-Commerce activities. Today, people are shopping online and many businesses and startups are being set up to participate in online trading. The growth on the internet, as well as penetration of smartphone, is considered another factor that has seen the increasing use of the eSignatures.

Benefits of eSignature Market Growth

Businesses are seeing organized workflows from the use of digital signatures something that is boosting the world market. There is improved efficiency in businesses as well as reduced cost of operations. Today, businesses do not have to use paper signed documents to engage in contracts. A business deal can be signed within a very short time while ensuring that there is legal protection of the deal.

Besides, businesses have reduced their cost of production because they don’t have to use the traditional paper document signing which cost enterprises a lot of money. In the past, businesses would use services such as hiring individuals to take important documents for signing. This would mean the businesses would pay for those services, something that stretched the operational costs. eSignature enrich customer experience because it ensures there are no complexities or disputes in signing documents. It is time-saving for the customers.

The Future of eSignature Market in the US

The future of signature app services is bright and more and more entities are beginning to take advantage of the digital signature technology. The market for digital signatures in North America including the United States and Canada is expected to continue growing. In 2017, North America had the biggest share of the market with 40 percent usage of digital signatures. The implementation of new regulations and rising demand for innovative technologies within the digital signature sphere are allowing the North America market to continue expanding its use of eSignatures.

The U.S. law supports and permits the implementation of eSignature technology, almost in every state. In Canada, the supreme court has allowed the admissibility and acceptance of documents that are digitally signed to be provided as evidence in courtrooms for crime and dispute cases. All these factors are projected to help boost the growth of the U.S. and Canada digital signature market.

A report by Transparency Market Research that presented forecasting for the global digital signature market from 2018 to 2026 showed that there was an expected CAGR of about 27 percent within that period which would see the global value of the eSignature market stand at $6,911 million. This translates to about $7 billion. North America is a big contributor to this digital signature market in terms of revenue. The high adoption of digital signature technology, as well as the presence of different vendors in the region, are some of the things helping in the growth of the eSignature market in Canada and the US.