Europe Digital Transaction Management (DTM) Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

Europe Digital Transaction Management (DTM) Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The Europe Digital Transaction Management (DTM) Market (henceforth, referred to as the market studied) is expected to register a CAGR of 27.32 % during 2022-2027 (henceforth, referred to as the forecast period). The ongoing focus on automation of businesses is expected to provide lucrative opportunities for market growth. The adoption of digital transaction management is significantly driven by the clients’ requirements for business automation. Basic e-signatures can substantially reduce the time taken to get contracts signed. It is also crucial to automate the entire document lifecycle, to fully digitalize business processes to get faster outcomes.

Key Highlights

• Vendors provide digital transaction management solutions closely integrating with business automation solutions. For instance, Intesa, an IBM company, provides digital transaction management solutions to dematerialize critical business processes. The company offers a single platform that enables automating, maintaining transactional and documental flows, and guaranteeing their legal validity with the electronic signature, thus managing the entire document lifecycle.
• DTM use is accelerating, and it is predicted to replace numerous aspects of paper documentation eventually. To boost income and profitability, most businesses are turning to digital platforms. Salesforce, for example, used digital transaction management and saw a USD 20 per-document savings and a 60 percent reduction in turnaround times. The company also included electronic signatures into their sales process, which reduced deal closing times from an average of two days to about 90% of deals closing in one day and 71% of deals closing in one hour.
• The advancement in technology is further paving the way for more secure data transaction management solutions. For instance, blockchain technology provides a series of timestamped data records in the form of a chain linking all the records. Every transaction can be considered as proof of consent given by the user who initiated the transaction using digital signatures. The digital transaction management solutions that are built on blockchain technology uses a decentralized network for transaction management to prevent malicious attacks. Companies such as ZorroSign offer electronic signature and digital transaction management solutions built on blockchain technology. The company uses blockchain technology to ensure the security and privacy of the users’ information (who were involved in a transaction). Thus, the data ensures the sanctity of digitally signed documents.
• Moreover, many European businesses are already using Advanced E-Signatures in enforceable agreements and contracts with customers and business partners. As a result of eIDAS, there has been greater adoption of Advanced E-Signatures, especially among European banks, financial services companies, insurance carriers, and other paper-intensive industries.
• In 2021, in the digital policy announcement, the European Union had proposed creating a framework for a trusted and secure European e-ID (digital identity). The EU wants all citizens, residents, and businesses to be able to use a national digital identity to prove who they are to access public sector or commercial services, regardless of where they are in the bloc. Such instances are expected to drive the growth of the market.
• Further, with the outbreak of COVID-19, the DTM market is expected to exhibit growth in Europe owing to the rise in remote working that has shifted focus on relying on paper-based documentation and increasing digitalization of the transaction process.

Key Market TrendsThe IT and Telecommunication Segment is Expected to Witness a High Market Growth

• Digital transformation initiatives in the telecom industry have been on the move, and like most of the industries that have been affected by the emergence of the COVID-19 pandemic, the telecom sector has also been forced to switch its business processes toward digitization.
• Digital transformation in the telecom industry has been a constant journey since new and innovative customer products and services are being introduced and delivered all the time. All the forms of communication will be digitally transformed by the change to an all IP (Internet Protocol) standard; at the same time, an all IP standard will provide the foundation for new cloud services that will facilitate better business processes.
• Customer self-service has been a part of any digital transformation strategy, and the migration to the cloud enables the telecom players to provide an omnichannel experience. Also, to build customer loyalty, CSPs primarily need to upgrade every touchpoint for the customer, making it easier for them to subscribe and change services on demand.
• The adoption of DTM, cloud-based solutions that enable faster document authorization and much more effective tracking through the usage of electronic signatures can transform the telecom industry. These solutions are primarily aimed at businesses undergoing a digital transformation that requires upgrading their workflows and approval processes and keeping digital records of them.
• Moreover, the IT departments in companies across Europe can also eliminate their paper-based processes and significantly accelerate their work. From the requirements sign-offs and asset tracking to change requests and multiple other use cases, the DTM solutions can help them in automating processes, improve compliance, and gain real-time visibility into critical agreement processes. For example, the Federation of State Medical Boards (FSMB) stated that it integrated DocuSign within its existing IT platforms and replaced portions of the existing portal technologies developed in-house, primarily eliminating around 20,000 pieces of paper annually.
• The telecom industry is also among the industries that are dealing with high volume and sensitive data. The sector consumes a significant amount of physical paper while exchanging information with multiple stakeholders. The handling of these physical paper documents has been one of the most vital challenges the industry has been facing. The timely authentication, verification, and validation of physical documents and the dependency on physical signatures have been critical factors in building an efficient delivery process. The adoption of E-signatures can significantly reduce the resources, time, and costs that are associated with the traditional paper and ink signatures, specifically for high physical paper-prone industries such as the telecom sector. DTM solutions can provide the required freedom from the physical signature-dependent approval system and can add significant value to the industry. The usage of digital signature certificates can provide privacy, authenticity, integrity, and non-repudiation for the user organization.

The Rise in E-Signatures and the Adoption of Cloud Services is Expected to Drive the Market Growth

• Modern e-signature solutions offer a broad range of benefits, more than just the convenience of electronic signing itself. By automating document workflows across departments such as sales, logistics, HR, etc., e-signatures provide substantial efficiencies in helping businesses of all sizes to eliminate paperwork bottlenecks. Along with digital transaction management solutions, e-signature software is digitizing documents, which is far more efficient compared to the conventional pen-and-paper method.
• According to the Penneo ApS, a digital signing processes solution provider, e-signatures make up a large part of digital transaction management solutions, capturing the largest market share in 2020. DTM software, with built-in e-signature capabilities, prevents the requirement to integrate this functionality from an external source.
• E-signatures help many industries to go paperless, which is the fastest way to improve their businesses, increase their profitability, and give clients a better experience. For instance, in the real estate sector, using transaction management solutions integrated with e-signature solutions enables agents and brokers to have the mobile tools to put contracts together anywhere.
• Digital Transaction Management (DTM) is emerging as the latest technology in cloud-based document management and document-based transaction management. This cloud-based DTM solutions approach is designed to digitally manage end-to-end business transactions involving documents and data inside and outside of the firewall.
• Employees at multiple levels of the organization and within various departments of the businesses can use digital transaction management to send and receive documents, share information, and collaborate on projects. Whether they work in the office, at a satellite location, or telecommute, a cloud-based DTM solution makes the business more efficient and employees more productive.
• The post-COVID-19 market is witnessing rapid adoption of technology to adapt to the new working environment. For digital transaction management demand surge, rapid adoption of cloud-based transaction management solutions is a driver. For instance, DocuSign collaborated with IBM Cloud to provide customers with access to the public, private, and hybrid cloud services. IBM also collaborated with DocuSign on various solutions to help increase speed, accuracy, and compliance for customers in industries such as home mortgage origination and procurement.

Competitive Landscape

The Europe Digital Transaction Management (DTM) Market is a moderately competitive market with the presence of significant players like DocuSign Inc., ZorroSign Inc., SignEasy, Adobe Inc., etc. DTM market vendors are increasingly adopting cloud services to provide their solutions with minimum possible hardware requirements on the client premise. Additionally, many key vendors are rolling out innovative offerings to remain competitive in the market.

• November 2021 - Scrive and Zapfloor teamed up to provide a better alternative for renters and landlords alike. The companies are seeking everything from a day's worth of desk time or conference space to full floors to rent on a short-term basis, causing havoc in the commercial real estate market.
• November 2021 - Namirial SpA, a leader in digital trust software and services, acquired Netheos SAS, a French provider of remote identity verification and customer onboarding solutions. T e combination of Netheos technology with Namirial Digital Trust Services will help companies better deliver on the overall digital business imperative, providing best-in-class customer experience, making simplicity meet security and compliance.
• March 2021 - PandaDoc introduced PandaDoc Forms, allowing users to create forms with the same document editor for creating other business documents, including quotes, proposals, and contracts. T is formed can collect signatures and data by embedding the app on a website or sharing it via direct link.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

Companies Mentioned

DocuSign Inc.
Adobe Inc.
ZorroSign Inc.
Nintex Group Pty Ltd
Namirial SpA
eOriginal Inc.
SignEasy
Mitratech Holdings Inc.
AssureSign LLC
Topaz Systems Inc.
PandaDoc Inc.
PactSafe Inc. (Ironclad)
InfoCert SpA (Tinexta SpA)
Scrive AB