Consumer Identity and Access Management (IAM) Market

Consumer IAM Market Overview

The global Consumer Identity and Access Management Market size was valued at USD 14.96 billion in 2023 and is predicted to reach USD 38.65 billion by 2030 with a CAGR of 14.5% from 2024-2030. The consumer identity and access management (CIAM) market refer to the industry that provides organizations with solutions to securely manage and authenticate the digital identities of their consumer. 

These consumer data protection solutions enable businesses to control access to their online applications and services, ensuring only authorized user access to resources. CIAM system includes user identity verification, registration, single sing-on (SSO), multi-factor authentication (MFA), and consent management. Businesses adopt CIAM solution to improve user experience, security, ensure regulatory compliance, and gain information into customer behaviour.  

Market Dynamics and Trends

The increasing frequency and sophistication of cyber-attacks and data breaches are compelling businesses to adopt strong consumer identity and access management (CIAM) solutions. These solutions provide protection to consumer data through secure methods for managing authenticating use identities.

According to a report published by Federal Trade Commission in February 2022, shows that consumers reported losing more than USD 5.8 billion to frauds in 2021. This surge in the number of cyber threats is creating an urgent need for robust data security solutions including consumer identity and access management.

Moreover, the rising adoption of smart devices such as smartphones, wearables, and home automation system are significantly accelerating the consumer identity and access management market demand.

According to a GSMA report as of 2023, around 4.3 billion of the global population owns a smartphone. Also, around 49% of world’s population have access to mobile internet using a smartphone and feature phones.

The rise in the usage of these smart devices is resulting in access to various online services and applications, pushing businesses to adopt CIAM systems to securely manage and authenticate user identities across multiple platforms. CIAM technologies ensure seamless and secure access, protect personal data, and enhance the user experience, which in turn boosts market growth.

However, the high initial investment associated with the deployment of access control systems restrain the consumer IAM market growth. Integrating CIAM systems with existing infrastructure requires significant amount of investment making it complex and costly for small and medium sized enterprises, creating a barrier for the markets growth.

On the other hand, the integration of blockchain technology, provides a secure and decentralized way to store and manage identity information, which can improve the security and privacy of consumer IAM solutions, thus it is expected to create lucrative growth opportunities for the consumer IAM market expansion in the future. 

Market Segmentation and Scope of the Study

The global consumer identity and access management market report is segmented on the basis of component, deployment type, organization size, industry vertical, and region. Based on component, the market is classified into services and solutions. Services are further subdivided into integration and deployment, consulting, and maintenance and support. Solutions are further subdivided into access and management authorization, behavioral analysis, identity verification and authentication, and identity governance. Based on the deployment type, the market is segmented into on-premises and cloud. On the basis of organization size, the market is categorized into large enterprises, small & medium-sized enterprise. On the basis of industry vertical, the market is divided into healthcare, BFSI, retail & e-commerce, and hospitality. Regional breakdown and analysis of each of the aforesaid classifications include regions comprising of North America, Europe, Asia-Pacific, and RoW.

Geographical Analysis

North America dominates the global consumer identity and access management market share and is potently expected to remain dominant in the market throughout the forecast period. This is attributed to the increasing number of data breaches and cyberattacks in the region, that led to a growing awareness and demand for secure and reliable consumer IAM solutions.

According to a report published by Federal Trade Commission in February 2022, shows that consumers reported losing more than USD 5.8 billion to online frauds in 2021. Moreover, the presence of key market players such as Microsoft Corporation that are adopting various strategies including product launches are further accelerating the growth of the consumer IAM industry.

For instance, in May 2023, Microsoft launches the next generation customer identity and access management solution named Microsoft Entra External ID.  This CIAM solutions enable users to quickly integrate identity into the customer facing applications, making it reliable, secure, and scalable.

On the other hand, Asia Pacific shows substantial growth in the global consumer identity and access management market trends, owing to the increasing use of e-commerce platforms in the region leading to a growing need for secure and reliable consumer IAM solutions to protect consumers' identities.

As per a report published by the McKinsey & Company, the Southeast Asian e-commerce market is projected to triple at a compound growth rate of 22% and will reach around USD 230 billion in gross merchandise volume between 2024 to 2026. This growth in the e-commerce sector increases the need for secure and reliable IAM solutions to protect consumer identities and prevent unauthorized access to consumer data. 

Moreover, the CIAM market is significantly rising in the region due to the increasing adoption of mobile devices, especially smartphones, in the Asia Pacific region to protect personal and sensitive information stored on these devices. 

According to the Indian Ministry of Information and Broadcasting, the number of mobile users reached 1.2 billion in India in 2022. Thus, the rising demand for robust identity solutions to safeguard consumer data is significantly driving the market growth. 

Competitive Landscape

Various market players operating in the consumer identity and access management industry includes Microsoft Corporation, IBM Corporation, Oracle Corporation, Broadcom Inc, Salesforce Inc., BIO-key International, Inc., Akamai Technologies Inc., ConnectWise, LLC, ForgeRock Inc, CyberArk, and others.

These market players are adopting various strategies such as product launch and collaborations to maintain their dominance in the global CIAM industry. For instance, in March 2024, CyberArk launched the industry's first identity-centric secure browser, designed to enhance intelligent privilege controls for web applications. This innovation catered to the consumer identity access management sector by providing a secure way to manage and protect user identities and access in web environments.

Also, in December 2022, ConnectWise partnered with Evo Security to provide a cost-effective, consolidated IAM platform. It will give TSPs tools to secure and expedite device and application access, allowing them to safeguard their customers' vital assets from security incidents while also meeting regulatory requirements.

Moreover, in December 2022, BIO-key International, Inc. collaborated with Singapore-based Progreso Networks & Security Pte. Ltd. to offer IAM solutions to customers throughout Southeast Asia. The collaboration aims to provide more adaptable Multi-factor Authentication (MFA), Single Sign-on (SSO), and Self-service Password Reset (SSPR) options than any other access management solution. 

Key Benefits

• The report provides a quantitative analysis and the estimations of the consumer identity and access management industry from 2024 to 2030, which assists in identifying the prevailing market opportunities.

• The study comprises a deep-dive analysis of the current and future consumer identity and access management market trends to depict the prevalent investment pockets in the industry.

• Information related to key drivers, restraints, and opportunities and their impact on the consumer identity and access management industry is provided in the report.

• Competitive analysis of the key players, along with their market share is provided in the report.

• SWOT analysis and a Porter’s Five Forces model are elaborated on in the study.

• Value chain analysis in the market study provides a clear picture of the roles of each stakeholder. 

Consumer Identity and Access Management Market Key Segments

By Component    

• Services

  • Integration and Deployment

  • Consulting

  • Maintenance and Support

• Solutions    

  • Access and Management Authorization

  • Behavioral Analysis 

  • Identity Verification and Authentication

  • Identity Governance

By Deployment Type 

• On-Premises

• Cloud

By Organization Size 

• Small & Medium-Sized Enterprise

• Large Enterprises

By Industry Vertical

• Healthcare

• BFSI

• Retail & e-commerce

• Hospitality 

By Region

• North America

  • U.S

  • Canada

  • Mexico

• Europe

  • UK

  • Germany

  • France    

  • Italy

  • Spain

  • Denmark

  • Netherlands

  • Finland

  • Sweden

  • Norway

  • Russia

  • Rest of Europe

• Asia-Pacific

  • China

  • Japan

  • India

  • South Korea

  • Australia

  • Indonesia

  • Singapore

  • Taiwan

  • Thailand

  • Rest of Asia-Pacific

• Rest of the World (RoW)

  • Latin America

  • Middle East

  • Africa

REPORT SCOPE AND SEGMENTATION:

Parameters	Details
Market Size in 2023	USD 14.96 Billion
Revenue Forecast in 2030	USD 38.65 Billion
Revenue Growth Rate	CAGR of 14.5% from 2024 to 2030
Analysis Period	2023–2030
Base Year Considered	2023
Forecast Period	2024–2030
Market Size Estimation	Billion (USD)
Growth Factors	The increasing frequency and sophistication of cyber-attacks and data breaches fuels the market. The rising adoption of smart devices such as smartphones is driving the market growth.
Countries Covered	28
Companies Profiled	10
Market Share	Available for 10 companies
Customization Scope	Free customization (equivalent up to 80 working hours of analysts) after purchase. Addition or alteration to country, regional, and segment scope.
Pricing and Purchase Options	Avail customized purchase options to meet your exact research needs.

KEY PLAYERS

• Microsoft Corporation

• IBM Corporation 

• Oracle Corporation

• Broadcom Inc

• Salesforce Inc.

• BIO-key International, Inc.

• Akamai Technologies Inc 

• ConnectWise, LLC

• ForgeRock Inc

• CyberArk