The global digital transaction management market is expected to generate around $53,339.4 million revenue in 2030, progressing at a CAGR of over 23.4% during 2021–2030. The steady increase in the adoption of cloud-based solutions and the surge in consumer propensity toward digital banking solutions are positively impacting the market potential.
Moreover, businesses can use digital transaction management software to capture legally compliant electronic signatures, track and manage the flow of documents between contractual parties, and secure information storage and document-based transactions. Thus, these factors are propelling the demand for digital transaction management solutions, globally.
BFSI Category Holds the Largest Market Share
The BFSI category accounted for the largest revenue share, of approximately 29%, in the market in 2021, based on end use. BFSI companies are vigorously adopting cloud-based digital transaction management solutions to improve and streamline their transaction management processes. The various challenges posed by increasing competition, demanding customers, and an evolving regulatory environment, are particularly compelling banks and financial institutions to pursue digital transformation, thereby driving the market growth in this category.
Workflow automation is expected to emerge as the fastest-growing category, advancing at a CAGR of 30.1% from 2021 to 2030, based on the solution segment. To ensure easy, convenient, safer, and faster business processes, digital transaction management software typically leverages built-in capabilities such as digital authentication, workflow automation, and electronic signatures. Furthermore, the workflow automation capability enables all tasks performed in relation to a document to be executed and handled efficiently. For instance, Kofax Inc. provides workflow automation solutions. Moreover, the company's intelligent automation platform assists businesses in transforming information-intensive business processes, lowering costs, increasing customer engagement, and decreasing manual work and errors.
Geographically, North America has a substantial market share, owing to the increasing shift of enterprises toward cloud adoption, exponential mobile adoption, and the presence of major players with a sizable market share. Furthermore, government initiatives related to electronic signatures, such as the Uniform Electronic Transactions Act (UETA) and the Electronic Signatures in Global and National Commerce Act (E-SIGN), allow the use of electronic signatures for every transaction, thereby driving the demand for digital transaction management solutions in the region.
Furthermore, trade agreements, such as the United States–Mexico–Canada Agreement (USMCA) are also promoting the use of electronic signatures, which is thereby augmenting the growth of the digital transaction management market in the region.
Acquisitions and Partnerships Are Most-Effective Strategic Measures
Players in the industry have been involved in acquisitions and partnerships to remain competitive in the market. For instance:
- In May 2021, Mitratech acquired ContractRoom, a provider of contract lifecycle management (CLM) solutions. Mitratech's end-to-end portfolio of legal and compliance solutions has been expanded with this acquisition, which includes enterprise legal management (ELM) products for managing core legal functions, TAP Workflow Automation, and VendorInsight for mitigating third-party vendor risk.
- In Jun 2021, Wipro and Finastra established a partnership to help corporate banks in the APAC region to speed up their digital transformation. Wipro's entire digital services catalog will be combined with Finastra's front-to-back trade finance and cash management solutions to create a unique offering.
Some of the major players operating in the digital transaction management market are Adobe Inc., DocuSign Inc., Nintex Global Ltd., DocuFirst, Kofax Inc., OneSpan, Ascertia, Entrust Corporation, and Namirial S.P.A.