Europe identity verification market is expected to grow from US$ 1.46 Bn in 2018 to US$ 4.40 Bn by the year 2027. This represents a CAGR of 13.3% from the year 2018 to 2027. The growing sophistication of security information platforms and IT security-based tools & solutions is anticipated to have a profound impact on the overall management of the security ecosystem of an enterprise. The unprecedented growth in the number of cybersecurity incidents has further led to an increased need for robust security solutions across enterprises. The market demand for identity verification solutions has gained significant traction in the past few years owing to the versatile capabilities of these systems such as identity verification, data identification, fraud detection, and others. Some of the prominent benefits of identity verification include real-time ID verification, extracting data directly from IDs without any friction, active document authentication & verification, mitigate the risk of spoofing, and others. All these benefits and capabilities offered by identity verification provide long term benefits to enterprises. These versatile benefits are expected to drive the market growth of identity verification market.
Presently, most of the customers of identity verification providers belong to large enterprises, mainly due to large scale operations and faster adoption of digital and technological advancements on these businesses. Large companies worldwide are in the front of digital transformation to improve existing processes; however, small and medium-sized enterprises are still in the process of adapting to the latest technology trends. Some of the primary reasons behind this include resource constraints and lack of knowledge & awareness about the potential benefits of digital transformation. Hence, the small and medium-sized enterprises as well as organizations that are still following do-it-yourself methods for identity verification present tremendous strategic value and growth opportunity for players operating in the identity verification market. To tap this potential segment, companies are investing in marketing activities to spread awareness and generate interest in small scale businesses. The players operating in the identity verification market are now offering various low price smaller plans.
The Europe identity verification market is fragmented with the presence of several industries, and the competitive dynamics in the market is expected to change during the upcoming years. Identity verification market is a highly competitive market with the presence of some major market players as well as tire two companies.
The Europe identity verification market by deployment is segmented into cloud and on-premise. On-premise deployment refers to the resources and IT infrastructure deployed at a client's location. The on-premise deployment includes in-house server hardware, integration capabilities, software licenses, and IT workforce to handle potential issues. The growth rate of the on-premise deployment segment varies across geographies. For instance, the adoption of on-premise is high in developing regions and is being replaced by the cloud in developed regions. One of the major restraining factors for the future growth of this segment is the costs associated with installing, managing, and maintaining these on-premise systems. It is expected that during the forecast period, the identity management market will witness a massive shift from on-premise to cloud-based deployment. The on-premise deployment type segment is the traditional identity verification deployment type.
The overall Europe identity verification market size has been derived using both primary and secondary source. The research process begins with exhaustive secondary research using internal and external sources to obtain qualitative and quantitative information related to the Europe identity verification market. It also provides an overview and forecast for the Europe identity verification market based on all the segmentation provided for the European region. Also, primary interviews were conducted with industry participants and commentators in order to validate data and analysis. The participants who typically take part in such a process include industry expert such as VPs, business development managers, market intelligence managers, and national sales managers, and external consultant such as valuation experts, research analysts and key opinion leaders specializing in the Europe identity verification industry. Some of the players present in Europe identity verification market are Acuant, Inc., Authenteq, Gemalto NV (Thales Group), Idemia, Mitek Systems, Inc., Experian Information Solutions, Inc., Jumio, LexisNexis, Onfido, and Trulioo among others.