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In 2023, the tokenization market was estimated to be worth 4.18 billion USD. Forecasts indicate that the tokenization market would expand from $5.86B in 2024 to $20.73B in 2031, a CAGR (compound annual growth rate) of 20% from 2024 to 2031. The rising popularity of online payment methods and the growing number of security concerns around the digitization of sensitive data are two key elements propelling the tokenization market forward.
As a precaution against the spread of the COVID-19 virus, several nations have instituted stringent measures such as lockdowns, shutdowns, and mobility restrictions. In 2020, there was a surge in demand for tokenization solutions from vendors. Border closures, strict lockdowns, and supply chain problems all work together to make it hard to implement Tokenization systems on-site. Businesses can now move forward with their operations while simultaneously protecting their customers from the coronavirus outbreak thanks to contactless payments. One strategy that has emerged to help companies recover from the COVID-19 pandemic is the use of contactless payments. That appears to be the consensus even among health experts at the World Health Organization.
Since payment information contains a plethora of intelligence, criminals target firms that take these forms of payment. Tokenization is a useful tool for preventing companies from losing money due to data theft. Valuable personal information is not accessible even in the event of a breach. By eliminating the actual storage of credit card numbers in point-of-sale equipment and internal systems, credit card tokenization helps online businesses enhance data security from data capture to storage.
By utilizing tokenization, one can generate tokens and then keep the real monetary worth of credit and debit cards in token vaults. The complexity of tokenization management is growing in tandem with the need for more storage capacity. The global use of internet payment methods has increased dramatically since the COVID-19 pandemic broke out. Online payment channels have been a preferred target for cyber attackers due to the increased rely on them. In order to perform efficient real-time screening following tokenization, it is crucial to comprehend and analyze many aspects surrounding each transaction as part of an optimal set of fraud rules. Because of this, you must keep the Bank Identification Number (BIN), which specifies information like the issuer, the kind of card, and the country from where the card was issued.
Digital payments were already on the upswing before the COVID-19 pandemic, but the widespread lockdowns caused a dramatic change in consumer spending habits and government laws, which in turn drove growth in online shopping. These reasons have hastened the adoption of digital payment transactions in many sectors, calling for the creation of protections to ensure the safety of online payments. More than 82% of Americans made digital payments in October 2021 and wanted them to be quicker, easier, and safer, according to McKinsey & Company (U.S.). Contactless payments pose a number of issues, the most important of which is security. Tokenization is a security solution used by businesses in the retail, eating, banking, and insurance industries to replace sensitive information with a unique code called a token. This is done to minimize security breaches caused by the widespread usage of contactless payments.
As the frequency of security breaches and threats in digital payments has increased, businesses and customers are seeking solutions to decrease risk exposure and reinforce compliance duties. Also, customer happiness and sales are taking a hit because fewer people are using their credit cards because of fraud and incorrect or outdated information. Companies are realizing that network tokenization is a great way to circumvent these problems with payments.
Report Coverage
Global Tokenization research report categorizes the market for global based on various segments and regions, forecasts revenue growth, and analyzes trends in each submarket. Global Tokenization report analyses the key growth drivers, opportunities, and challenges influencing the global market. Recent market developments and Tokenization competitive strategies such as expansion, product launch and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key Tokenization market players and analyses their core competencies in each global market sub-segments.
Key Points Covered in the Report
Competitive Environment:
The research provides an accurate study of the major organisations and companies operating in the global Tokenization market, along with a comparative evaluation based on their product portfolios, corporate summaries, geographic reach, business plans, Tokenization market shares in specific segments, and SWOT analyses. A detailed analysis of the firms' recent news and developments, such as product development, inventions, joint ventures, partnerships, mergers and acquisitions, strategic alliances, and other activities, is also included in the study. This makes it possible to assess the level of market competition as a whole.
List of Major Market Participants
Symantec Corporation (US), Gemalto NV (Netherlands), Fiserv Inc (US), Paymetric Inc (US), First Data Corporation (US), CipherCloud (US), Futurex (US), CardConnect Corp. (US), 3Delta Systems Inc (US), and Thales e-Security Inc (US)
Primary Target Market
Market Segment:
This study forecasts global, regional, and country revenue from 2019 to 2031. INFINITIVE DATA EXPERT has segmented the global Tokenization market based on the below-mentioned segments:
Global Tokenization Market, By Deployment Mode
On-Cloud
On-Premises
Global Tokenization market, By Application
User Authentication
Payment Security
Global Tokenization Market, By End User
Retail
Government
BFSI & Commercial
Global Tokenization market, Regional Analysis
As a precaution against the spread of the COVID-19 virus, several nations have instituted stringent measures such as lockdowns, shutdowns, and mobility restrictions. In 2020, there was a surge in demand for tokenization solutions from vendors. Border closures, strict lockdowns, and supply chain problems all work together to make it hard to implement Tokenization systems on-site. Businesses can now move forward with their operations while simultaneously protecting their customers from the coronavirus outbreak thanks to contactless payments. One strategy that has emerged to help companies recover from the COVID-19 pandemic is the use of contactless payments. That appears to be the consensus even among health experts at the World Health Organization.
Since payment information contains a plethora of intelligence, criminals target firms that take these forms of payment. Tokenization is a useful tool for preventing companies from losing money due to data theft. Valuable personal information is not accessible even in the event of a breach. By eliminating the actual storage of credit card numbers in point-of-sale equipment and internal systems, credit card tokenization helps online businesses enhance data security from data capture to storage.
By utilizing tokenization, one can generate tokens and then keep the real monetary worth of credit and debit cards in token vaults. The complexity of tokenization management is growing in tandem with the need for more storage capacity. The global use of internet payment methods has increased dramatically since the COVID-19 pandemic broke out. Online payment channels have been a preferred target for cyber attackers due to the increased rely on them. In order to perform efficient real-time screening following tokenization, it is crucial to comprehend and analyze many aspects surrounding each transaction as part of an optimal set of fraud rules. Because of this, you must keep the Bank Identification Number (BIN), which specifies information like the issuer, the kind of card, and the country from where the card was issued.
Digital payments were already on the upswing before the COVID-19 pandemic, but the widespread lockdowns caused a dramatic change in consumer spending habits and government laws, which in turn drove growth in online shopping. These reasons have hastened the adoption of digital payment transactions in many sectors, calling for the creation of protections to ensure the safety of online payments. More than 82% of Americans made digital payments in October 2021 and wanted them to be quicker, easier, and safer, according to McKinsey & Company (U.S.). Contactless payments pose a number of issues, the most important of which is security. Tokenization is a security solution used by businesses in the retail, eating, banking, and insurance industries to replace sensitive information with a unique code called a token. This is done to minimize security breaches caused by the widespread usage of contactless payments.
As the frequency of security breaches and threats in digital payments has increased, businesses and customers are seeking solutions to decrease risk exposure and reinforce compliance duties. Also, customer happiness and sales are taking a hit because fewer people are using their credit cards because of fraud and incorrect or outdated information. Companies are realizing that network tokenization is a great way to circumvent these problems with payments.
Report Coverage
Global Tokenization research report categorizes the market for global based on various segments and regions, forecasts revenue growth, and analyzes trends in each submarket. Global Tokenization report analyses the key growth drivers, opportunities, and challenges influencing the global market. Recent market developments and Tokenization competitive strategies such as expansion, product launch and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key Tokenization market players and analyses their core competencies in each global market sub-segments.
| REPORT ATTRIBUTES | DETAILS |
|---|---|
| Study Period | 2017-2031 |
| Base Year | 2023 |
| Forecast Period | 2023-2031 |
| Historical Period | 2017-2021 |
| Unit | Value (USD Billion) |
| Key Companies Profiled | Symantec Corporation (US), Gemalto NV (Netherlands), Fiserv Inc (US), Paymetric Inc (US), First Data Corporation (US), CipherCloud (US), Futurex (US), CardConnect Corp. (US), 3Delta Systems Inc (US), and Thales e-Security Inc (US) |
| Segments Covered | • By Product |
| Customization Scope | Free report customization (equivalent to up to 3 analyst working days) with purchase. Addition or alteration to country, regional & segment scope |
Key Points Covered in the Report
- Market Revenue of Tokenization Market from 2021 to 2031.
- Market Forecast for Tokenization Market from 2021 to 2031.
- Regional Market Share and Revenue from 2021 to 2031.
- Country Market share within region from 2021 to 2031.
- Key Type and Application Revenue and forecast.
- Company Market Share Analysis, Tokenization competitive scenario, ranking, and detailed company
profiles. - Market driver, restraints, and detailed COVID-19 impact on Tokenization
Market
Competitive Environment:
The research provides an accurate study of the major organisations and companies operating in the global Tokenization market, along with a comparative evaluation based on their product portfolios, corporate summaries, geographic reach, business plans, Tokenization market shares in specific segments, and SWOT analyses. A detailed analysis of the firms' recent news and developments, such as product development, inventions, joint ventures, partnerships, mergers and acquisitions, strategic alliances, and other activities, is also included in the study. This makes it possible to assess the level of market competition as a whole.
List of Major Market Participants
Symantec Corporation (US), Gemalto NV (Netherlands), Fiserv Inc (US), Paymetric Inc (US), First Data Corporation (US), CipherCloud (US), Futurex (US), CardConnect Corp. (US), 3Delta Systems Inc (US), and Thales e-Security Inc (US)
Primary Target Market
- Market Players of Tokenization
- Investors
- End-users
- Government Authorities
- Consulting And Research Firm
- Venture capitalists
- Third-party knowledge providers
- Value-Added Resellers (VARs)
Market Segment:
This study forecasts global, regional, and country revenue from 2019 to 2031. INFINITIVE DATA EXPERT has segmented the global Tokenization market based on the below-mentioned segments:
Global Tokenization Market, By Deployment Mode
On-Cloud
On-Premises
Global Tokenization market, By Application
User Authentication
Payment Security
Global Tokenization Market, By End User
Retail
Government
BFSI & Commercial
Global Tokenization market, Regional Analysis
- Europe: Germany, Uk, France, Italy, Spain, Russia, Rest of Europe
- The Asia Pacific: China,Japan,India,South Korea,Australia,Rest of Asia Pacific
- South America: Brazil, Argentina, Rest of South America
- Middle East & Africa: UAE, Saudi Arabia, Qatar, South Africa, Rest of Middle East & Africa
About This Research
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