Intelligent Document Processing Market (By Component; By Technology: Machine Learning, Computer Vision; By Deployment; By Organization Size; By End-use) - Global Industry Analysis, Size, Share, Growth, Trends, Revenue, Regional Outlook and Forecast 2024-2033

The global intelligent document processing market size was estimated at USD 1.82 billion in 2023 and it is expected to surpass around USD 25.38 billion by 2033, poised to grow at a CAGR of 30.15% from 2024 to 2033. 

Key Pointers

• North America dominated the intelligent document processing market with a share of over 32% in 2023. 
• The solutions segment dominated the market in 2023 and accounted for a revenue share of over 65%. 
• The cloud segment led the market in 2023, accounting for over 60% share of the global revenue. 
• The large enterprise segment led the market in 2023, accounting for over 73% share of the global revenue. 
• The BFSI segment held the largest revenue share of over 26% in 2023.
• The machine learning segment led the market in 2023, accounting for over 47% share of the global revenue.

Intelligent Document Processing Market Growth Factors

The growth of the intelligent document processing (IDP) market is driven by an increasing need for operational efficiency and accuracy drives organizations to adopt IDP solutions, automating manual document processing tasks and minimizing errors. Additionally, the cost-saving potential of IDP, achieved through streamlined workflows and reduced reliance on manual labor, is a significant growth driver. Moreover, stringent regulatory requirements necessitate compliance and risk management measures, prompting businesses to invest in IDP technologies to ensure adherence to regulations and mitigate associated risks. Furthermore, as digital transformation becomes imperative across industries, IDP facilitates the digitization of document-centric processes, aligning with organizations' modernization initiatives.

Report Scope of the Intelligent Document Processing Market

Intelligent Document Processing Market Trends:

• Adoption of AI and ML: Intelligent Document Processing (IDP) solutions are increasingly leveraging Artificial Intelligence (AI) and Machine Learning (ML) technologies to enhance document processing capabilities. These advanced algorithms enable IDP systems to learn and improve over time, resulting in more accurate data extraction and classification from documents.
• Integration with RPA: Integration of IDP with Robotic Process Automation (RPA) platforms is a growing trend in the market. This integration allows organizations to automate end-to-end document-centric processes, from data extraction to action initiation, further improving efficiency and reducing manual intervention.
• Cloud-based IDP Solutions: The adoption of cloud-based IDP solutions is on the rise, driven by the scalability, flexibility, and cost-effectiveness they offer. Cloud-based IDP platforms enable organizations to access advanced document processing capabilities without the need for significant upfront investments in infrastructure.
• Focus on Vertical-specific Solutions: Vendors are increasingly developing vertical-specific IDP solutions tailored to the unique requirements of industries such as banking, healthcare, insurance, and legal. These industry-specific solutions incorporate domain knowledge and specialized features to address the specific document processing challenges faced by each sector.
• Enhanced Data Security Measures: With growing concerns about data privacy and security, IDP vendors are prioritizing the implementation of robust security measures to protect sensitive information extracted from documents. Encryption, access controls, and compliance with data protection regulations are key focus areas for ensuring data security in IDP solutions.
• Expansion of Use Cases: The scope of IDP applications is expanding beyond traditional document types such as invoices and contracts to include a broader range of documents, such as emails, forms, and unstructured data. This expansion of use cases reflects the versatility and adaptability of IDP solutions to diverse document processing requirements.

Component Insights

The solutions segment dominated the market in 2023 and accounted for a revenue share of over 65%. This can be attributed to the availability of various intelligent document processing platforms and software packages offering multiple features, such as fast processing and intelligent data classification. Key players, such as Deloitte, KPMG, PwC Accenture, and other system integration firms, aim to bring all processes, applications, and software into a single integrated environment. Several system integrators have started to offer IDP services because of the surge in demand for AI-determined OCR or IDP solutions in recent years.

The services segment is anticipated to grow significantly in the coming years. This can be attributed to the availability of services offered by market players. IDP services are helping organizations meet these requirements by automating data extraction, classification, and verification processes while ensuring data privacy and security. Service providers in intelligent document processing are propelling the market growth. For instance, Canada-based Open Text Corporation offers training and professional services for its OpenText Intelligent Capture solution.

Deployment Insights

The cloud segment led the market in 2023, accounting for over 60% share of the global revenue. Significant offerings of cloud deployment in intelligent document processing, such as scalability, accessibility, and cost-effectiveness, are propelling the market growth. Cloud deployment eliminates the need for organizations to invest in and maintain their dedicated infrastructure. Instead, they leverage the pay-as-you-go model offered by cloud service providers. This reduces upfront costs, eliminates the need for hardware/software maintenance, and allows organizations to scale their IDP systems according to their budget and requirements. Moreover, major players like Vision Era and ABBYY offer innovative IDP cloud solutions to fuel market growth over the forecast period.

The on-premise segment is predicted to foresee significant growth during the forecast period. This can be attributed to enhanced security offered by on-premises deployment, especially in industries such as healthcare and banking, financial services, and insurance (BFSI), which are likely to have greater compliance requirements. A significant offering of on-premises deployments, like faster processing times and lower latency compared to cloud-based solutions, propels the market growth. Organizations with large document volumes or those requiring real-time processing find that on-premises deployment allows quicker access to documents and faster processing speeds.

Organization Size Insights

The large enterprise segment led the market in 2023, accounting for over 73% share of the global revenue. Large enterprises deal with a massive volume of documents across various departments and business processes. IDP automates document processing tasks such as data extraction, classification, and validation, enabling faster and more efficient handling of documents. This streamlines workflow, reduces manual effort, and enhances productivity across the organization. Due to the increasing need to assess the structured and unstructured data amassed over time, the large enterprise segment is one of the top consumers of intelligent document processing solutions and services.

The small & medium enterprises segment is predicted to foresee significant growth during the forecast period. The growth of this segment can be attributed to the growing interest of SMEs in adopting digital technologies post-COVID-19 pandemic. Moreover, IDP solutions can help SMEs save costs by reducing the need for manual labor and streamlining document processing workflows. According to World Economic Forum's December 2021 white paper, SMEs represent over 90% of all enterprises worldwide and are interested in technologies such as artificial intelligence (AI) and cloud computing.

End-use Insights

The BFSI segment held the largest revenue share of over 26% in 2023. This can be attributed to a large number of documents processed in the BFSI sector to provide products and services. The BFSI sector utilizes intelligent document processing technology to improve operational efficiency, enhance customer experiences, and ensure compliance. IDP extracts relevant information from bank statements, pay stubs, and tax returns to assess creditworthiness and eligibility. These benefits augment the use of IDP technology in the BFSI industry.

The government & public sector segment is predicted to foresee significant growth in the forecast period. IDP technology is used to improve the efficiency and effectiveness of government and public sector operations. By automating document processing and extracting data from documents, IDP helps to streamline workflows, reduce errors, and improve compliance. For instance, the United States Department of Defense is using IDP to automate the processing of military contracts. This has helped to save the DoD millions of dollars and reduce the risk of fraud.

Technology Insights

The machine learning segment led the market in 2023, accounting for over 47% share of the global revenue. This is attributed to the significant use of ML techniques to automate the extraction and processing of information from various documents, such as invoices, purchase orders, contracts, and forms, augmenting market growth. Machine learning is a crucial component that leverages the growth of Intelligent Document Processing (IDP). machine learning algorithms are trained on large volumes of labeled data to extract information from documents accurately. These models learn from patterns, context, and structures within the documents, improving accuracy in data extraction, reducing errors, and increasing reliability. For instance, ML models learn to distinguish between invoices, receipts, and contracts, allowing the IDP system to handle each document type appropriately.

The natural language processing (NLP) segment is predicted to foresee significant growth during the forecast period. IDP heavily relies on NLP technology that can comprehend and analyze human language. NLP also allows for extracting and analyzing data from unstructured sources like emails, reports, and articles. IDP tools like NLTK, SpaCy, and Stanford NLP propel market growth. For instance, MALTA, an Accenture NLP-based solution, automates the analysis and classification of textual data to make it simple for insurers to obtain crucial information. Accenture asserts that the technology offers a 30% more accurate classification than when the procedure is carried out manually.

Regional Insights

North America dominated the intelligent document processing market with a share of over 32% in 2023. Factors such as high digitization and technology adoption and the presence of prominent players such as U.S.-based ABBYY, Appian, and Canada-based Open Text Corporation are driving the regional market growth. The U.S. and Canada comprise the North American market. Leading intelligent document processing vendors in the region drive the adoption of intelligent document processing solutions in the U.S. In contrast, early adoption of automation-based technologies drives market growth in Canada. Emerging mergers & acquisitions by key players are augmenting the regional growth.

Asia Pacific is anticipated to register the fastest CAGR over the forecast period. The growth can be attributed to improving technology infrastructure and the presence of intelligent document processing solution vendors such as India-based HCL Technologies Limited, Datamatics Global Services Limited, and Singapore-based AntWorks. Countries in the region are increasingly embracing advanced technologies such as AI, machine learning, big data analytics, and cloud computing. These technologies are integral to decision intelligence solutions, enabling organizations to process and analyze vast amounts of data efficiently. The growing technology adoption in APAC acts as a catalyst for the expansion of the decision intelligence market in the region.

Intelligent Document Processing Market Key Companies

• ABBYY
• Automation Anywhere, Inc.
• Kofax Inc.
• WorkFusion, Inc.
• UiPath
• IBM
• Appian.
• HCL Technologies Limited
• HYPERSCIENCE
• AntWorks
• Datamatics Global Services Limited

Intelligent Document Processing Market Segmentations:

By Component 

• Solution
• Services

By Technology 

• Machine Learning
• Natural Language Processing (NLP)
• Computer Vision

By Deployment 

• Cloud
• On-premise

By Organization Size 

• Small and Medium Sized Enterprises (SMEs)
• Large Size Enterprises

By End-use 

• BFSI
• Healthcare
• Manufacturing
• Retail
• Government & Public Sector
• Transportation & Logistics
• IT & Telecom
• Others

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa