Europe Digital Signature Market Size, Share & Industry Analysis, By Deployment (On-premises and Cloud), By Level (Advanced Electronic Signatures (AES) and Qualified Electronic Signatures (QES)), By Enterprise Type (Large Enterprises and Small & Medium Enterprises (SMEs)), By Industry (BFSI, IT & Telecommunication, Retail, Healthcare & Life Science, Government, Defense & Legal, Retail/e-commerce, Real Estate and Others), and Country Forecast, 2024-2032

The Europe digital signature market size was valued at USD 1.67 billion in 2023. The market is projected to grow from USD 2.43 billion in 2024 to USD 42.08 billion by 2032, exhibiting a CAGR of 42.8% during the forecast period.

Digital signatures deliver a better experience for both employees and customers, in the office or at home. They offer the ease of signing vital documents wherever the customer or the signee is situated. They also allow the sender to verify the details within the file and guarantee that it cannot be altered in transit. In Europe, around 72% of organizations use a mix of paper and electronic documents and some departments within organizations are more likely to be 100% digital. When organizations switch to e-signature, one of the advantages they realize is the reduction or complete removal of agreement cost. E-signature helps save between USD 4 and USD 10 per document and around 1,280 pages of paper per agreement on average.

During the COVID-19 pandemic, companies were finding methods to adapt to the new normal and the demand for a contactless way of receiving and sending documents increased, which ensured safety and security for all. Businesses started looking for more operational and efficient methods of signing and deploying documents and electronic signature played a huge role during this period. Also, the dependence on digital tools created a heavy flow of online business applications and usages. Many companies became dependent on their digital assets as they help in increasing their working efficiency and boosting their business management system. To protect the privacy of business documents, e-signature solutions were used by several legal firms, banks, financial institutions, the healthcare sector, and other businesses.

Europe Digital Signature Market Trends

Use of Mobile Device for Signing Document to Augment Market Growth

Mobile penetration across Europe is around 90% and increasing reliance on mobile devices for conducting daily tasks is creating demand for digital signature solutions that can be easily accessed and used on these devices. Mobile compatibility helps users sign documents anywhere and anytime. This flexibility is especially beneficial for remote workers who need to sign and share documents from outside the office. Another advantage of it is the capability to enhance customers’ experience. By providing a simple and convenient signing process, businesses can improve their brand reputation and build customer loyalty. Also, it is cost-efficient as it cuts on expenses associated with paper-based processes, such as printing, mailing, and storing physical documents.

Many people find it more convenient and comfortable to sign documents using their mobile devices instead of traditional methods. Recent advancements in mobile device security, such as biometrics and two-factor authentication have addressed concerns about the security of mobile signatures, which may hinder their widespread adoption.

Europe Digital Signature Market Growth Factors

Enterprises Shifting Toward Digitalization to Aid Market Growth

As the world settles into new post-pandemic patterns, digital transformation is one of the key priorities among enterprises across European countries. According to Eurostat, in 2022, around 70% of European businesses adopted basic level of digitalization. Companies are adopting e-signature as part of their digital transformation plans as it helps streamline operations, ensures compliance with strict regulations, and boosts efficiency. Electronic signatures are used for signing digital contracts or agreements among enterprises by IT & legal teams. These teams are often responsible for managing digital agreements, and many organizations rely on them to lead the internal adoption of e-signature solutions. According to DocuSign, around 70% of organizations entrust one of these two teams with this responsibility. Many organizations have initiated their agreement digitalization efforts by implementing an e-signature tool. By improving the agreement processes, companies across various industries can fundamentally transform the way they conduct their business and eliminate frustrating inefficiencies.

The transition toward digitalization has decreased tolerance for bottlenecks, errors, and delays that are common in traditional workflows. Employees benefit from efficient customer-centric processes. Teams using simple, fast, and more connected workflows witness cost savings and revenue gains. Santander U.K. is a prime example of a digital trailblazer, being a large retail and commercial bank that recognized the potential of utilizing new technologies to address customer pain points. To achieve this, Santander digitized and automated both the onboarding and loan fulfillment processes. The bank utilized integrations and APIs to establish a fully connected digital loan workflow, resulting in an 83% reduction in loan application time. Santander's digital-first environment attracted modern customers, leading to a 10x increase in loans processed.

Therefore, the above-mentioned factors are boosting the Europe digital signature market share.

RESTRAINING FACTORS

Regulatory Issues and Security & Privacy Concerns to Hamper Market Growth

Enterprises are facing legal and regulatory challenges due to lack of standardized laws and regulations related to electronic signature. Regulatory bodies and governments often have rules and guidelines regarding this type of signature. This makes it difficult for enterprises to comply with various legal requirements that may apply.

Security and privacy concerns are another challenge that restrict the market growth. It is critical to confirm that digital signatures are safe as they can be altered or tampered and this can compromise the document’s legitimacy. Security concerns rise from the fact that these signatures depend on sensitive information, such as private keys to operate. There is a risk that these keys could be hacked, leading to the illegal use of the signature.

Therefore, the above-mentioned factors are hampering the Europe digital signature market growth.

Europe Digital Signature Market Segmentation Analysis

By Deployment Analysis

Adoption of Cloud-based Digital Signature for Secure Authentication to Boost Segment Growth

By deployment, the market is segmented into cloud and on-premises.

The cloud segment dominated the market in 2023 and is estimated to register the highest CAGR during the forecast period. Cloud signatures are completely secure as the authentication is done through one-time password and biometric data and only specific users can access the certificate and be authenticated. These signatures allow companies to reduce the cost associated with transport, papers, and others.

The on-premises segment is estimated to grow significantly during the forecast period as on-premises signature solutions need huge amounts of resources from the business in terms of time, professional services, and money.

By Enterprise Type Analysis

Demand for Digital Signature to Grow Among SMEs to Reduce Administrative Costs

By enterprise type, the market is segmented into large enterprises and SMEs.

The SMEs segment is estimated to showcase the highest CAGR during the forecast period as these enterprises are adopting e-signature for eliminating paperwork and automating the workflow across all the departments. Electronic signature helps SMEs reduce the administrative cost by 30% by eliminating material and shipping costs. For instance, Europe Yousign is targeting SMEs to offer them digital signature solutions so that they can be aware of the e-signature solutions and their benefits.

The large enterprises segment dominated the market in 2023. Electronic signatures help these enterprises significantly reduce costs associated with paper, storage, and printing and also helps in streamlining workflows and minimizing delays associated with paper-based processes.

By Level Analysis

Popularity of Qualified Electronic Signature to Rise Due to Its High Integrity

By level, the market is segmented into advanced and Qualified Electronic Signatures (QES).

The Qualified Electronic Signature (QES) segment is estimated to register the highest CAGR during the forecast period as this form of signature provides the highest level of integrity and confidence to all internally created and signed documents. Also, QES provides more legitimacy than a handwritten signature. It uses cryptographic technology to provide a unique digital identifier for the signer and ensure that the signed document has not been tampered with.

The Advanced Electronic Signature (AES) segment dominated the market in 2023. AES is secure and reliable as it is legally binding in most countries and provides a higher level of safety with an electronic seal attached to the e-signature of every signer.

By Industry Analysis

Organizations in BFSI Sector Are Using Digital Signature to Prevent Fraud

By industry, the market is segmented into BFSI, IT & telecommunication, government, healthcare & life science, defense & legal, retail/e-commerce, real estate, and others.

The BFSI segment dominated the market in 2023 and is estimated to register the highest CAGR during the forecast period as digital signature has many benefits for this sector. These include enhanced security & fraud prevention in banking transactions, streamlined customer onboarding & account opening process, workflow automation & efficient document management, regulatory compliance & auditability in banking operations, convenience in financial services, and improved customer experience.

The healthcare & life science segment is expected to grow significantly during the forecast period as securing sensitive patient information and pharmaceutical data is of utmost importance and handwritten signatures on paper documents can be forged. So digital signatures are used for adding a layer of security.

COUNTRY INSIGHTS

The digital signature market is witnessing robust growth across European countries owing to the adoption of remote working policies, favorable government laws, increasing volume of online documentation processes, and cost-effectiveness of e-signature. Organizations across Europe have started adopting e-signature as a result of the pandemic and digitalization helped organizations and institutions establish contractual relationships with their employees or customers without the need to be present physically in the office.

Among key countries, the U.K. dominated the European market in 2023 owing to the surge in use of digital signatures in the country for digital identification. In June 2022, the U.K. government introduced the U.K. Digital ID and Attributes Trust Framework to regulate the use of digital IDs as an alternative to physical documents. In the U.K., a Government Ministerial Statement was issued at the start of March 2020 as the country went into lockdown. The statement supported the Law Commission’s ‘Electronic Execution of Documents’ report’s finding that “electronic signatures can be used to execute documents provided that there is an intention to authenticate and that any execution formalities are satisfied.”

France is estimated to register the highest CAGR during the forecast period. Since 2000, the country has legally recognized electronic signatures and under the French law, qualified electronic signatures come with the assumption of consistency. It means that the signature is assumed reliable unless the party challenges to prove that it isn’t reliable.

List of Key Companies in Europe Digital Signature Market

Major Players to Focus on Adopting Advanced Technologies to Strengthen Market Positions and Enhance their Presence

Key players operating in the market constantly engage in acquisitions of prominent technology providers to offer their clients advanced and enhanced tools. Along with acquisitions, these high-performing companies regularly enter strategic collaborations and partnerships to improve their product knowledge and marketing capabilities.

These strategies enhance overall product functionality, expand product portfolio, and, most importantly, enhance client experience. Players also adopt this strategy as the end product combines the best of their concepts and capabilities with the expertise of acquired partners and technologies available in the market.

LIST OF KEY COMPANIES PROFILED:

• D-Trust GmbH (Germany)


• Skribble (Switzerland)


• Tinexta (Italy)


• Yousign (France)


• Alohi (Switzerland)


• CM.com (Netherlands)


• Box, Inc., (U.S.)


• EDICOM (Spain)


• Autenti (Poland)


• Sproof GmbH (Austria)

KEY INDUSTRY DEVELOPMENTS:

• February 2024: Alohi announced that it had updated its Sign.Plus platform to provide seamless document-related services. The latest enhancements include a new product identity, launch of scan.plus integration, identity verification, enhanced date annotation field, Single Sign-On (SSO), office integration, bulk send, enhanced file upload options, zapier integration, and resend reminders, among others.


• January 2024: Box, Inc. revealed that its e-signature tool, Box Sign, received support for compliance with the FDA 21 CFR Part 11 regulations for e-signatures.


• July 2023: Tinexta’s subsidiary InfoCert S.p.A. acquired over 65% of the share capital of Ascertia Limited. With this, the company expects to strengthen its geographic presence, expand into untapped markets, and integrate the acquired company’s Public Key Infrastructure and Electronic Signature solutions with InfoCert’s existing Digital Trust products.


• June 2023: Alohi introduced a new enterprise plan for its corporate clients under its premium eSigning solution, Sign.Plus. The latest model has 14-day free trials for all plans, enabling customers to experience the solution’s abilities at scale.


• September 2022: Box, Inc. added new enhancements to its e-signature tool, Box Sign. These include enhanced sign-relay integration, signature framing, enhanced signer navigation, ready-sign link, and revised signature request, among others. The aim of adding upgrades is to help its end users move a majority of their transactions to the cloud. With this, the company also announced that the product will be available for all its users at no additional cost.


• August 2021: CM.com was selected as the official supplier of e-signatures in Kenya. This indicates that CM.com was licensed to issue digital certificates and could authenticate signatories. The company also ensured the integrity of digital documents, giving all parties confidence in these transactions.

REPORT COVERAGE

The report provides a detailed analysis of the market and focuses on key aspects, such as leading companies, product types, and top applications of the product. Besides, it offers insights into the latest market trends and highlights the competitive landscape. In addition to the factors mentioned above, the report encompasses several factors that have contributed to the growth of the market in recent years.

Report Scope & Segmentation