Mandate to comply with data protection directives and rise in spear phishing attacks targeting email information to drive the overall email encryption market
The global email encryption market size is expected to grow from USD 2.3 billion in 2018 to USD 5.8 billion by 2023, at a Compound Annual Growth Rate (CAGR) of 20.0% during the forecast period. Various factors, such as need to protect the confidential email information from spear phising attacks and mandate to comply with data protection directives are expected to drive the market. However, high cost of email encryption solution may restrain the email encryption market growth.
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The SMEs segment to grow at a higher CAGR during the forecast period
Based on organization size, the email encryption market has been segmented into SMEs and large enterprises. The SMEs segment is expected to grow at the highest CAGR in the email encryption market during the forecast period. The growing use of mobile devices in Small and Medium Enterprises (SMEs) for sending mails has influenced data transfer, over business networks, to personal devices, such as mobile phones and laptops. This huge volume of data transfer has increased fraudulent data, cyber-attacks, data losses, and the threat of personal data thefts. These rising security issues have compelled the SMEs to focus on their email encryption solution. In the coming years, email encryption solution would witness high adoption among SMEs across the globe.
The BFSI industry vertical to hold a larger market size during the forecast period
The BFSI industry vertical is expected to hold a larger market size in the email encryption market during the forecast period, due to the increasing instances of email taping, phishing, spear phishing, spams, and insider data thefts in this industry vertical. BFSI is the most targeted industry vertical as it deals with large volumes of sensitive and private data. The enterprises in this industry vertical are demanding for the email encryption solution to ensure irreversible encryption. This industry vertical is the most regulated, as it has to comply with many security requirements. The email encryption solutions in the BFSI industry vertical are witnessing rapid adoption due to the confidential nature of the financial data that needs to be secured all the time.
North America to account for the highest market share, whereas Asia Pacific (APAC) to grow at the highest CAGR
North America is projected to hold the highest share of the email encryption market from 2018 to 2023, owing to the early adoption of the email encryption solution in the region across various industry verticals, specifically in the BFSI and healthcare industry verticals. The concentrated presence of large number of email encryption solution and services providers in the US from the North American region is also expected to drive revenue growth for the region.
The Asia Pacific (APAC) market is expected to grow at the highest CAGR during the forecast period. APAC is expected to witness a notable adoption of the technology as enterprises and SMEs across various industry verticals are now adopting email encryption solutions in order to secure business-critical email information from misuse by computer hackers for monetary gains and sophisticated cyber-attacks. The developed APAC countries such as China, ANZ, and India have implemented email encryption solutions to fulfill compliance requirements and data security needs of businesses.
In-depth interviews were conducted with Chief Executive Officers (CEOs), marketing directors, other innovation and technology directors, and executives from various key organizations operating in the email encryption marketplace.
- By Company: Tier 1 – 35%, Tier 2 – 45%, and Tier 3 – 20%
- By Designation: C-level – 35%, Director level – 25%, and Others – 40%
- By Region: North America – 45%, APAC – 30%, Europe – 20%, RoW – 5%
Major vendors in the global email encryption market include Micro Focus (UK), Symantech (US), Cisco (US), Trend Micro (Japan), Sophos (UK), Proofpoint (US), BAE Systems (UK), Zix (US),Entrust Datacard (US), Mimecast (UK), Egress Software (UK), Intemedia (US), Virtru (US), Echoworx (Canada), Lux Sci (US), and Cryptzone (US).
- The market study covers the email encryption market across segments.
- It aims at estimating the market size and the growth potential of the market across segments, namely, component (solution and service), deployment mode, organization size, industry vertical, and region.
- The study also includes an in-depth competitive analysis of the key players in the market, along with their company profiles, key observations related to product and business offerings, recent developments, and key market strategies.
Key Benefits of Buying the Report
- The report will help the market leaders/new entrants in the email encryption market with information on the closest approximations of the revenue numbers for the overall email encryption market and the subsegments.
- This report will help stakeholders understand the competitive landscape and gain more insights to better position their businesses and to plan suitable go-to-market strategies.
- The report also helps stakeholders understand the pulse of the market and provides them with information on key market drivers, restraints, challenges, and opportunities.