The Worldwide Tokenization Industry is Expected to Reach $4.8 Billion by 2025 -

DUBLIN--()--The "Tokenization Market by Component Application Area, Tokenization Technique, Deployment Mode, Organization Size, Vertical (BFSI, Healthcare, IT and ITes, Government, Retail and eCommerce, Energy and Utilities), and Region - Global Forecast to 2025" report has been added to's offering.

The publisher forecasts the global post-COVID-19 tokenization market size to grow from USD 1.9 billion in 2020 to USD 4.8 billion by 2025, at a Compound Annual Growth Rate (CAGR) of 19.5% during 2020-2025.

The major growth drivers for the market include increasing need to stay compliant with regulations, growing need to ensure continuous customer experience and maintain fraud prevention levels and increased alignment of customers toward contactless payments. However, lack of knowledge and understanding about tokens and ambiguity between encryption and tokenization among end users as well as increase in complexities in the implementation of tokenization and fraud prevention may restrain market growth.

By tokenization technique, API-based segment to grow at the highest rate during the forecast period

With the help of tokenization API, customers reduce the risk of storing critical information on their local servers. Customers can request new payments with the help of POST/order services of Gateway API. API helps in getting the details of PAN with the help of GET function, whereas the create and update functions is used to tokenize data and update the previously tokenized data. Organizations with in-house technical teams would prefer API-based solutions as these organizations have more complex payment needs, and businesses are spread across multiple regions.

Large enterprises segment to hold a larger market size during the forecast period

Large organizations are adopting tokenization solutions due to the increasing money laundering and fraudulent activities, identity thefts, processing of high-risk transactions, compliant to different regulations, and cost-cutting on manual processes. These organizations are the early adopters of tokenization, as they use a huge amount of confidential data of consumers and have a large number of business applications susceptible to cyber attacks. Due to their large size, these enterprises with different types of IT infrastructure face the difficult task of effectively managing the security for several applications across the enterprise. With the rapid adoption of the Bring Your Own Device (BYOD) trend, large enterprises now not only have to protect systems and endpoints that are interconnected to enterprise networks, but also have to defend applications running on these endpoints. These organizations prefer to outsource tokenization services to lower their burden of PCI DSS compliance management.

Asia Pacific (APAC) to grow at the highest CAGR during the forecast period

APAC economies are witnessing high growth in increased payment innovation, specifically in eCommerce. Asian consumers are expecting seamless, easy, and secure digital infrastructure when it comes to online shopping and payments. Consumers in the region use various payment methods for online transactions within and outside countries. Therefore, APAC companies are facing the rising demand for securing payment methods. Due to the ever-growing cyber threats faced by the expanding eCommerce landscape, the concern over payment security spending in APAC is also increasing. Despite several measures taken by organizations, operational frauds continue to rise in this region due to the failure in the implementation of standards and lack of clarity in regulatory compliance in the region. Due to the increasing sophistication threat levels, APAC countries are enhancing and launching new national payment security and data protection policies. Hence APAC is expected to grow at the highest CAGR during the forecast period.

Companies Mentioned

  • American Express
  • Asiapay Technology
  • Bluefin Payment Systems
  • Ciphercloud
  • Fiserv
  • Futurex
  • Helpsystems
  • Ingenico Epayments
  • Integrapay
  • Liaison Technologies
  • Marqeta
  • Mastercard
  • Meawallet
  • Micro FocUS
  • Ncipher
  • Paragon Payment Solutions
  • Thales Trusted Cyber Technologies (TCT)
  • Tokenex
  • Verifone
  • Visa

Key Topics Covered:

1 Introduction

2 Research Methodology

3 Executive Summary

4 Premium Insights

5 Market Overview and Industry Trends

5.1 Introduction

5.2 Market Dynamics

5.3 COVID-19 Pandemic-Driven Market Dynamics and Factor Analysis

5.3.1 Drivers and Opportunities

5.3.2 Restraints and Challenges

5.3.3 Cumulative Growth Analysis

5.4 Regulatory Landscape

5.5 Use Cases

5.6 Tokenization Vs. Encryption

5.7 Ecosystem

5.8 Technology Analysis

5.9 Pricing Model

6 Tokenization Market, by Component

6.1 Introduction

6.2 Solutions

6.3 Services

7 Tokenization Market, by Application Area

7.1 Introduction

7.2 Payment Security

7.3 User Authentication

7.4 Compliance Management

8 Tokenization Market, by Tokenization Technique

8.1 Introduction

8.2 Application Programming Interface-Based

8.3 Gateway-Based

9 Tokenization Market, by Deployment Mode

9.1 Introduction

9.2 On-Premises

9.3 Cloud

10 Tokenization Market, by Organization Size

10.1 Introduction

10.2 Small and Medium-Sized Enterprises

10.3 Large Enterprises

11 Tokenization Market, by Vertical

11.1 Introduction

11.2 Banking, Financial Services, and Insurance

11.3 Healthcare

11.4 Information Technology and Information Technology- Enabled Services

11.5 Government

11.6 Retail and Ecommerce

11.7 Energy and Utilities

11.8 Others

12 Tokenization Market, by Region

12.1 Introduction

12.2 North America

12.3 Europe

12.4 Asia-Pacific

12.5 Middle East and Africa

12.6 Latin America

13 Competitive Landscape

13.1 Overview

13.2 Market Evaluation Framework

14 Company Evaluation Matrix

14.1 Overview

14.2 Competitive Leadership Mapping

14.2.1 Star

14.2.2 Emerging Leaders

14.2.3 Pervasive

14.2.4 Participants

15 Company Profiles

16 Adjacent Markets

17 Appendix

For more information about this report visit

Laura Wood, Senior Press Manager

For E.S.T Office Hours Call 1-917-300-0470
For U.S./CAN Toll Free Call 1-800-526-8630
For GMT Office Hours Call +353-1-416-8900

Laura Wood, Senior Press Manager

For E.S.T Office Hours Call 1-917-300-0470
For U.S./CAN Toll Free Call 1-800-526-8630
For GMT Office Hours Call +353-1-416-8900