Digital Credential Management Software Market Size was valued at USD 1.8 Billion in 2022. The Digital Credential Management Software market industry is projected to grow from USD 2.1 Billion in 2023 to USD 6.3 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 15.00% during the forecast period (2024 - 2032). The growing adoption of biometric authentication is the key market driver enhancing market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Market CAGR is increasing due to the rise in cybersecurity threats, which are also significant drivers of the digital credential management software market. With cyberattacks becoming more frequent and sophisticated, organizations are increasingly recognizing the importance of robust credential management practices to protect their digital assets. Credential management software helps organizations secure access to their systems and applications by managing and controlling user credentials, such as usernames, passwords, and digital certificates. These solutions provide features such as password management, multi-factor authentication, and privileged access management to enhance security and mitigate the risk of unauthorized access and data breaches. As cybersecurity threats continue to evolve, the demand for digital credential management software is expected to grow, driving market expansion and innovation in credential management technologies.
The increasing adoption of Internet of Things (IoT) devices is driving the Digital Credential Management Software Market. As the number of connected devices grows, so does the need to securely manage the credentials used to authenticate and authorize access to these devices and the data they generate. Digital credential management software plays a crucial role in ensuring that only authorized users and devices can access IoT networks and resources, protecting against unauthorized access and potential cyber threats. These solutions enable organizations to centrally manage and monitor the credentials associated with IoT devices, implement strong authentication mechanisms, and enforce access control policies. As IoT adoption continues to expand across industries, the demand for digital credential management software is expected to rise, driving market growth and innovation in credential management technologies tailored for IoT environments.
The growing adoption of biometric authentication is a significant driver of the Digital Credential Management Software Market. Biometric authentication methods, such as fingerprint recognition, facial recognition, and iris scanning, offer enhanced security and convenience compared to traditional password-based authentication. Digital credential management software leverages biometric authentication to verify users' identities, strengthen access controls, and protect sensitive data and resources. These solutions enable organizations to integrate biometric authentication seamlessly into their credential management processes, improving security posture and user experience. As businesses increasingly prioritize security and seek to combat cyber threats, the demand for digital credential management software with biometric authentication capabilities is expected to grow. This trend is driving market expansion and innovation, with vendors developing advanced solutions to meet the evolving needs of organizations adopting biometric authentication technologies. For Instance, Microsoft has unveiled Entra, a novel product line of identity and access management solutions. This new family encompasses two fresh product classifications, Cloud Infrastructure Entitlement Management (CIEM) and Decentralized Identity, alongside established offerings such as Azure AD. Thus, driving the Digital Credential Management Software market revenue.
The Digital Credential Management Software market segmentation, based on type, includes On-Premises and Cloud-based. In 2023, the on-premises segment dominated the market, accounting for 70% of market revenue (1.44 Billion). The on-premises deployment model has captured the largest market share in the Digital Credential Management Software Market due to several factors. Many organizations prefer on-premises solutions to maintain control over their data and ensure compliance with regulatory requirements. Additionally, on-premises deployments offer greater customization and integration capabilities, allowing organizations to tailor the software to their specific needs and seamlessly integrate it with existing IT infrastructure. Moreover, some industries, such as government and finance, have strict security policies that mandate on-premises solutions for enhanced data protection and control.
The Cloud-based deployment model is experiencing the highest compound annual growth rate (CAGR) in the Digital Credential Management Software Market due to several factors. Organizations are increasingly adopting cloud-based solutions to leverage benefits such as scalability, flexibility, and cost-efficiency. Cloud-based deployment eliminates the need for extensive on-premises infrastructure, reduces IT complexity, and enables remote access to credential management capabilities. Additionally, the growing trend of remote work and distributed teams further drives the demand for cloud-based solutions.
Figure 1: Digital Credential Management Software Market, by Type, 2023 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The Digital Credential Management Software market segmentation, based on application, includes Large Companies and Small and Medium-Sized Companies. In 2023, the large companies category generated the most income (60%). Large companies have captured the largest market share in the Digital Credential Management Software Market due to several factors. These organizations typically have complex IT environments with a large number of users and diverse systems and applications, necessitating robust credential management solutions to ensure security and compliance. Moreover, large companies often have greater resources to invest in advanced credential management technologies and are more likely to prioritize cybersecurity initiatives, driving the adoption of digital credential management software.
Small and Medium-Sized Companies (SMEs) are experiencing the highest compound annual growth rate (CAGR) in the Digital Credential Management Software Market due to several factors. As cyber threats become more prevalent and regulatory requirements tighten, SMEs recognize the importance of robust credential management solutions to safeguard their digital assets and ensure compliance. Additionally, the increasing affordability and accessibility of digital credential management software make it more attractive for SMEs seeking to enhance their cybersecurity posture and protect sensitive data.
By region, the study provides the market insights into North America, Europe, Asia-Pacific and the Rest of the World. The North American Digital Credential Management Software market area will dominate this market. A high level of awareness about cybersecurity threats drives the demand for digital credential management solutions. North America has captured the largest market share in the Digital Credential Management Software Market due to several factors. The region is home to a large number of technology companies and enterprises that prioritize cybersecurity measures. Additionally, stringent data protection regulations and a high level of awareness about cybersecurity threats drive the demand for digital credential management solutions. Moreover, the presence of key market players and technological advancements further contribute to North America's dominance in the market.
Further, the major countries studied in the market report are the US, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: DIGITAL CREDENTIAL MANAGEMENT SOFTWARE MARKET SHARE BY REGION 2023 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe Digital Credential Management Software market accounts for the second-largest market share due to the strong focus on cybersecurity contributing to the widespread adoption of credential management solutions. Europe has secured the second-largest market share in the Digital Credential Management Software Market due to several factors. The region's stringent data protection regulations, such as GDPR, drive the adoption of digital credential management solutions to ensure compliance and data security. Additionally, Europe's highly developed IT infrastructure and strong focus on cybersecurity contribute to the widespread adoption of credential management solutions. Moreover, the presence of key market players and increasing investments in cybersecurity further support Europe's position as a significant market for digital credential management software. Further, the German Digital Credential Management Software market held the largest market share, and the UK Digital Credential Management Software market was the fastest growing market in the European region
The Asia-Pacific Digital Credential Management Software Market is expected to grow at the fastest CAGR from 2024 to 2032. The Asia Pacific region is experiencing the highest compound annual growth rate (CAGR) in the Digital Credential Management Software Market due to several factors. Rapid digitization efforts, increasing adoption of cloud technologies, and rising cybersecurity threats are driving the demand for robust credential management solutions in the region. Additionally, the expanding IT infrastructure, growing awareness about data security, and regulatory initiatives to enhance cybersecurity further accelerate the adoption of digital credential management software, contributing to the region's rapid market growth. Moreover, China’s Digital Credential Management Software market held the largest market share, and the Indian Digital Credential Management Software market was the fastest growing market in the Asia-Pacific region.
Leading players in the Digital Credential Management Software Market are focusing on enhancing their product offerings, expanding their geographical presence, and strengthening their partnerships and collaborations. They are investing in research and market developments to develop innovative solutions that address evolving customer needs and emerging cybersecurity threats. Additionally, leading players are prioritizing customer engagement and satisfaction by providing value-added services and personalized solutions, maintaining their competitive edge in the market landscape.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the Digital Credential Management Software industry to benefit clients and increase the market sector. In recent years, the Digital Credential Management Software industry has offered some of the most significant advantages to large companies. Major players in the Digital Credential Management Software market, including IBM Corporation, Microsoft Corporation, Oracle Corporation, SAP SE, RSA Security LLC, Okta, Inc., Ping Identity Corporation, ForgeRock, Inc., Entrust Datacard Corporation, HID Corporation and others, are attempting to increase market demand by investing in research and development operations.
IBM Corporation is a prominent player in the Digital Credential Management Software Market, offering a comprehensive suite of identity and access management solutions. Leveraging its extensive expertise in cybersecurity and data protection, IBM provides digital credential management software designed to help organizations secure and manage user identities, credentials, and access privileges across diverse IT environments. IBM's solutions include identity governance, single sign-on, multi-factor authentication, and privileged access management capabilities, enabling organizations to strengthen their security posture, ensure regulatory compliance, and mitigate cyber risks. With a presence, a strong focus on innovation, and a commitment to delivering value-driven outcomes, IBM is a trusted partner for businesses seeking to safeguard their digital identities and assets in an increasingly complex threat landscape.
Microsoft Corporation is a key player in the Digital Credential Management Software Market, offering a range of identity and access management solutions under its Azure Active Directory (Azure AD) platform. Azure AD provides comprehensive digital credential management capabilities, including single sign-on, multi-factor authentication, identity governance, and privileged access management. Microsoft's solutions leverage advanced technologies such as machine learning and behavioral analytics to detect and respond to security threats effectively. With seamless integration with Microsoft's cloud services and productivity tools, Azure AD enables organizations to secure their digital identities and data across on-premises and cloud environments. Microsoft's strong brand reputation, extensive customer base, and commitment to innovation position it as a leading provider of digital credential management solutions for businesses of all sizes.
January 2023: Simeio, a prominent provider of specialized identity and access management services, disclosed its acquisition of PathMaker Group (PMG), headquartered in Texas, recognized for its pioneering identity management services and solutions. Simeio is distinguished by its comprehensive range of services spanning advisory, development, and management of identity security solutions, in contrast to many boutique system integrators in the industry. This strategic acquisition aligns with Simeio's organic expansion strategy, broadening its reach into different industries and talent markets while augmenting capabilities in identity orchestration and automation.
October 2022: The Ministry of Digital Development, Innovations, and Aerospace Industry, along with the Foreign Investors' Council Association, initiated a pilot project to enhance the effectiveness of commercial transactions involving Kazakh and global enterprises by utilizing international digital signatures.
On-Premises
Cloud-based
Large Companies
Small and Medium-Sized Companies
North America
US
Canada
Europe
Germany
France
UK
Italy
Spain
Rest of Europe
Asia-Pacific
China
Japan
India
Australia
South Korea
Australia
Rest of Asia-Pacific
Rest of the World
Middle East
Africa
Latin America
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 1.8 Billion |
| Market Size 2023 | USD 2.1 Billion |
| Market Size 2032 | USD 6.3 Billion |
| Compound Annual Growth Rate (CAGR) | 15.00% (2024-2032) |
| Base Year | 2023 |
| Market Forecast Period | 2024-2032 |
| Historical Data | 2019-2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Type, Application, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The US, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | IBM Corporation, Microsoft Corporation, Oracle Corporation, SAP SE, RSA Security LLC, Okta, Inc., Ping Identity Corporation, ForgeRock, Inc., Entrust Datacard Corporation, HID Global Corporation |
| Key Market Opportunities | Increasing adoption of biometric authentication methods such as fingerprint recognition and facial recognition |
| Key Market Dynamics | Rise in Cybersecurity Threats and Increasing Adoption of IoT Devices |
Frequently Asked Questions (FAQ) :
The global Digital Credential Management Software market size was valued at USD 2.1 Billion in 2023.
The global market is projected to grow at a CAGR of 15.00% during the forecast period, 2024-2032.
North America had the largest share in the global market
The key players in the market are IBM Corporation, Microsoft Corporation, Oracle Corporation, SAP SE, RSA Security LLC, Okta, Inc., Ping Identity Corporation, ForgeRock, Inc., Entrust Datacard Corporation, HID Global Corporation Company.
The on-premises category dominated the market in 2023.
The large companies had the largest share in the global market.
Team Lead - Research she holds an experience of about 6+ years in market research and business consulting, working under the spectrum of information communication technology, telecommunications and semiconductor domains. aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.
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