GDPR Services Market | Industry Analysis Report

Global GDPR Services Market Overview

Global GDPR Services Market size was valued at USD 5.16 Billion in 2023 and is projected to reach USD 35.4 Billion by 2032, growing at a CAGR of 23.86% from 2024 to 2032.

GDPR is General data protection regulation to give more control over personal data. Regulation is a legal framework of guidelines on the collection and process of personal information of people who comes under the European Union. Additionally, these regulations must be complied with by Countries that are not in European Union but willing to work in the service-providing sector for a European client. The GDPR also regulates the personal data which goes outside the EU called exportation data which gives more control over personal data to EU citizens. GDPR service helps organizations secure their data from various cyber-attacks. GDPR Services observe and control the way companies across the world handle their customers' personal information and gives security to the customer regarding the protection of their data. GDPR mostly impacted the service sectors like customer care, consumer & retail, data entry, IT, banking, and advertising. Owing to the large-scale application of GDPR services in different industry verticals propels the growth of the market.

Market Dynamics And Factors For GDPR Services Market

Drivers:

Rising Demand for Data Protection

• There is a continuous generation of data from different industry verticals like BFSI, Consumer Retail, Healthcare, and others. According to Statista, in 2020, a total of 64.2 zettabytes of data was created, captured, copied, and consumed globally. Global data creation is projected to grow to more than 180 zettabytes over the next five years up to 2025. This high amount of data generation creates a need for data protection services. The personal data of customers and clients, like contact details, addresses and sensitive information such as medical data is confidential and there are high chances of data misuse. Recently many cases of Cyber-attacks are caused. Companies seek some sort of private information to offer excellent quality products or services but if personal data falls into the wrong hands, people could be harmed. Due to this, there is rising demand for data protection which provides growth to the GDPR Service market during the forecast period.

Restraints:

Fluctuations in Costs of Implementation

• The GDPR implementation cost particularly depends on the operating procedures of a business. British firms have spent USD 1.1 billion in preparing for GDPR, and American companies have spent a staggering USD 7.8 billion. The high difference between the implementation cost of British and American firms is due to the British firm already having some of the processes and systems according to the requirement of GDPR. They set those rules to comply with the previous version of the European data protection laws. American companies have to pay high implementation costs. This shows the implementation of GDPR costs widely vary from country to country. Fluctuation in Implementation costs hampering the growth of the market in a different region.

Opportunity:

High Technological Advancement and Adoption of Cloud-Based Solutions

• The major service providers in the market are investing more time and money to provide technologically advanced services to the consumer that provides lucrative opportunities for the growth of the market. Additionally, the Adoption of cloud-based solutions, growing demand for cloud computing, and the internet of things in the GDPR service market are expected to be more effective and can provide rise products to the end users. Cloud computing technologies improve data privacy and services. The technological advancement in cloud-based services and the high adoption of these services will help to expand the GDPR Service market. For instance, in 2021 IBM Security delivered new and upgraded services to help businesses manage their cloud security strategy, standards, and controls in hybrid cloud environments. Third-party and cloud-native technology, as well as IBM knowledge, are available to help businesses establish uniform security solutions throughout their cloud ecosystems.

Challenges:

Lack of Skilled Employees to Manage Services

• The lack of Skilled Employees to successfully manage the services system is one of the major factors that challenge the growth of the worldwide GDPR Services Market. The skill shortage in employees has many reasons like under-investment in skill development, rapid structural change combined, low level of overall unemployment, and a weak training system. This is the cause of the shortage of skilled employees to manage the GDPR services. However, this challenge can be overcome through European Union's General Data Protection Regulation requires that all companies working in the core of large-scale processing of personally-identifiable information hire a data protection officer (DPO). DPOs will teach their company's employees about the GDPR impacts and provide training on any procedures that are necessary for compliance. This person assists their companies with audits of their systems for compliance with data privacy laws.

Segmentation Analysis Of GDPR Services Market

• By Type, the Solution segment is estimated to dominate the market and be the fastest-growing during the forecasted period. The solution segment is rapidly growing due to the increasing demand for data discovery & data mapping, and API management. Organizations need to map the data to assess privacy risks. They have to identify the personal data they are processing; from where it comes, what kind of data is it, where it goes, and what systems and processes are carried out, to transfer, that data. Data mapping helps organizations with GDPR by collecting and maintaining a list of data processing activities across the business. Moreover, APIs which are enabled to comply with the GDPR help to perform activities like retrieving the status of a particular GDPR request, and Cancelling a particular GDPR request in case of a pending state. Henceforth, with the surge in demand for solutions like data mapping, and API management with additional solutions such as data recovery, and data governance the solution segment is expected to witness high growth during the forecasted period.
• By End-User Industry, the Manufacturing & Retail segment is predicted to dominate the market to account for the highest share in the GDPR Services market. Manufacturing & Retail is industries that process the most personal data. Manufacturers and retailers always analyze the data to get insights about products, supply chains, vendors, employees, and customers that will help them transform and improve their businesses. Manufacturing firms do collect data that relates to identifiable natural persons, such as employees, business partners, suppliers, and customers to get a better idea about end user choices, preferences, and trends in the market. Moreover, the digital twining of processes combines with mixed-reality to predictive capabilities enabled by artificial intelligence to generate accurate results. Currently experiencing rapid growth is data processing, and the GDPR Services for manufacturing & retail are expected to grow at pace.

Regional Analysis Of GDPR Services Market

• Europe dominates the market growth of GDPR Services and is expected to continue its dominance over the forecasted period. The GDPR concept originated in Europe owing to the presence of major GDPR service providers in the region. It is drafted and passed by the European Union (EU), Companies located outside the EU but working with European customer has to follow the regulation and parameters of GDPR services to ensure people about the safety of their data. It is compulsory for new entrance also to follow the rules and regulations; the regulation pertains to the full data life cycle, including the gathering, storage, and usage, of data. High penalties are issued in the event of data breaches. To avoid the penalties company needs these services which are expected to support the growth of the market. Moreover, in 2019, the new Cyber Security Law was introduced to the existing regulation scope and introduces GDPR-type fines for specific violations. Owing to this increase in government regulations' stringency it is expected the high adoption of cyber-security solutions in the region, this adoption of services propel the growth of the GDPR Services market in Europe.
• North America is expected to significant market share in GDPR Services during the forecast period. The North-America region includes countries like the US, and Canada which are economically, and technologically advanced, and developed countries. These countries involve a large number of global, international brands working in different sectors and have a large customer base in the European Union (EU). Owing to the high level of international businesses involving the North American region is expected to witness the highest growth in the GDPR service market. For instance, the region is witnessing high demand for IoT-connected cars. This involves individual data using which a person can be tracked to generate data of spontaneous responses, and decisions undertaken while driving. The GDPR is being affected in the region, for companies with several end-users that work on connected solutions, it is necessary to secure the user's data due to the market being expected to impact international markets. This is expected to drive the demand for the GDPR services market in North America.

Top Key Players Covered In GDPR Services Market

• IBM Corporation (US)
• Oracle Corporation (US)
• Microsoft Corporation (US)
• Amazon (US)
• Capgemini (France)
• Veritas (US)
• Informatica (US)
• Micro Focus (UK)
• Absolute Software (Canada)
• Actiance (California)
• Hitachi systems security (Canada)
• MetricStream (US)
• Mimecast (UK)
• Nymity (Canada)
• One Trust (US)
• Proofpoint (US)
• Property (US), and other major players.

Key Industry Development In The GDPR Services Market

• In May 2024, OneTrust announced the launch of a new suite of GDPR compliance solutions powered by advanced artificial intelligence. The new tools automated data mapping and breach detection, enhancing real-time compliance monitoring. This development aimed to simplify data protection operations for businesses, allowing them to maintain GDPR compliance more efficiently. The innovative solutions were designed to streamline data management and ensure robust privacy protection across organizations.

• In April 2024, TrustArc launched a new GDPR compliance solution tailored for small and medium-sized businesses (SMEs). The solution aimed to reduce the cost of GDPR compliance by offering SMEs simpler tools and resources for efficient data protection management. By streamlining the process, TrustArc helped businesses navigate the complexities of data protection with ease, ensuring enhanced compliance and reducing operational overhead.