The global digital pen market is expected to reach $2,098.1 million by 2023 at a CAGR of 18.4% during the forecast period (2018–2023). The growing demand for advanced features offered by digital pens and increasing use of digital pens for eliminating paperwork are the key factors driving the market.
Insights on Market Segments
On the basis of application, clinical documentation is expected to be the fastest growing category in the digital pen market during the forecast period, registering a CAGR of 21.3%. This would be due to the increasing demand for digital healthcare technologies and surging need for improving the healthcare infrastructure. Further, the growing healthcare industry in Asia-Pacific (APAC) region, particularly in India, and China is further driving the clinical documentation market.
APAC is expected to grow fastest in the forecast period
APAC is expected to be the fastest growing digital pen market over the forecast period. The major factors driving the growth of the market in the region include the increasing internet penetration and growing number of consumer electronics users in countries such as China and India. Further, the improving healthcare infrastructure in the region is resulting in an increasing demand for digital health technologies. The increasing investments by electronic device manufacturing companies are also contributing to the growth of the market. This can also be attributed to the low manufacturing cost and easy availability of skilled manpower in the region.
Increasing adoption of digital pens in art and design works is a key market trend
Digital pens are used in design and art-related works, such as in drawing and sketching work, as they provide an enhanced experience to users, by facilitating development of freehand illustrations and designs, which can be modified once they are transferred to a computer. Digital pens with a character recognition software are useful in presentations, as well as the text being written can be converted into a typed form and recorded in a device. Hence, due to the various advantages offered by digital pens in art and design work, the adoption of digital pen has become a key trend in the digital pen market.
Increasing use of digital pens to eliminate paperwork is the key growth driver
A digital pen helps reduce the amount of time involved in form filling for various purposes. For instance, in countries such as Germany and the U.S., police officers and other public officials use these pens for filling incident and crime reporting forms and recording information about missing people. In the banking sector, digital pens help reduce the operational costs and improve customer services in areas such as loan application and new account creation, by reducing the response time. Also, digital pens help insurance companies save money by reducing the cost linked to paper processing, thereby increasing the revenue by preventing the loss of clients during the extended approval processes. Hence, owing to the increasing initiatives for eliminating paperwork, the digital pen market is growing globally.
Digital Pen Market Competitiveness
The global digital pen market has a consolidated structure, with the top two companies accounting for around 70.0% share of the market in 2017. The high growth rate of the market has been prompting industry participants to increase their investment in technology and become OEM partners for touch-based device manufacturers, to grab the existing and forthcoming opportunities. The leading players in the market are increasingly introducing new products to increase their presence across the world. For instance, in 2018, Apple Inc. launched a 9.7-inch iPad with support for Apple Pencil Plus. This iPad and Apple Pencil offer its users the ability to become more creative and productive in expressing their ideas such as sketching their ideas, and jotting down handwritten notes to mark up the screenshots.
Some of the key players in the digital pen market are Apple Inc., HP Inc., Microsoft Corporation, Anoto Group AB, Wacom Co. Ltd., Toshiba Corporation, Canon Inc., STAEDTLER Mars GmbH & Co. KG, Hanwang Technology Co. Ltd., NeoLAB Convergence Inc., Luidia Inc., and Moleskine S.p.A.
Digital Pen Market Segmentation
Market Segmentation by Compatibility
Market Segmentation by Technology
Market Segmentation by Application
Market Segmentation by Region