Global Optical Character Recognition Market Size, Share, Opportunities, And Trends By Component (Software, Hardware), By End-Users (BFSI, Government, Airports, Healthcare, Retail, Others), And By Geography - Forecasts From 2023 To 2028

The optical character recognition market is projected to show steady growth during the forecast period.

The Global Optical Character Recognition (OCR) market refers to the market for software and hardware products that are designed to recognize printed or handwritten text characters and convert them into digital formats that can be used by computers and other digital devices. OCR technology is used in a variety of applications, such as document management, data entry, and image processing. The OCR market has been growing steadily in recent years due to the increasing demand for digitization and automation across various industries. The market is driven by factors such as the need for accurate and efficient data capture, the growth of e-commerce, the increasing adoption of cloud-based OCR solutions, and the rise in the number of government initiatives for digitization.

The market is composed of various software and hardware vendors that provide OCR solutions, including standalone OCR software, OCR integrated with document management systems, OCR mobile apps, and OCR scanners. The OCR market is expected to continue to grow in the coming years, driven by the increasing demand for digitization and automation across various industries. The market is also likely to see increased competition as more companies enter the market and as OCR technology continues to evolve and improve.

The global optical character recognition market is driven by growing demand for automation and digitization services as well as due to government efforts to promote them.

• With the increasing use of digital platforms and technologies, businesses and organizations are looking to digitize their paper-based documents and records. OCR technology provides an efficient and accurate way to convert printed or handwritten text into digital formats, making it easier to manage and store data.
• Governments around the world are implementing initiatives to digitize their records and documents. OCR technology is a key enabler of these initiatives, providing an efficient and accurate way to convert paper-based records into digital formats. The Australian government’s Digital Transformation Agency (DTA) has developed a set of guidelines for the use of OCR technology in government agencies. The guidelines highlight the importance of ensuring the accuracy of input data, selecting the appropriate OCR technology for the task at hand, and testing OCR systems thoroughly before deployment.
• Cloud-based OCR solutions provide businesses with greater flexibility and scalability, allowing them to process large volumes of data quickly and cost-effectively. As a result, more businesses are adopting cloud-based OCR solutions to manage their document processing needs. OCR applications enable users to capture text using their mobile devices, making it easier to digitize and share information on the go. As a result, the adoption of mobile OCR is increasing across various industries such as healthcare, retail, and logistics.

Key developments.

• In September 2022, Routable, an advanced and user-friendly company payments platform with an emphasis on mass payouts added Optical Character Recognition (OCR) for automatic invoice data entry as one of its offerings. The Routable platform uses OCR to automatically scan invoices to create payables, enabling large and mid-market businesses to fully automate payout processes and handle hundreds of invoices at once. The OCR solution from Routable allows finance staff to concentrate on strategic financial planning and month-end closing tasks rather than data transcription, which greatly reduces the amount of manual data entry required to handle invoices. It provides businesses with an improved, comprehensive solution to automate invoice data entry with speed, flexibility, and usability.
• In August 2021, legal operations software supplier SimpleLegal announced the integration of optical character recognition (OCR) into its document management platform (DMS). The integrated OCR technology enables users to read and search text characters of digitized files in an image format, enabling thorough document searching and simpler collaboration. SimpleLegal's DMS is integrated with its legal operations software, making matter files conveniently accessible from a single location. Clients can access the information they require without having to transfer files into many systems or use outdated document versions. OCR functionality was added to allow lawyers and internal staff to rapidly search for keywords across all digitized files and receive comprehensive results. Within SimpleLegal's DMS, OCR identifies text contained within digital images, enabling searching.

North America and Europe account for major shares of the global optical character recognition market.

• Based on geography, the global optical character recognition market is segmented into North America, South America, Europe, the Middle East and Africa, and Asia Pacific.
• The North American optical character recognition market is expected to hold a significant share of the global OCR market due to the presence of major players and the increasing adoption of OCR technology in various sectors. The United States is the largest market for OCR technology in the region, with increasing demand from the healthcare, financial services, and retail sectors.
• The Asia Pacific optical character recognition market is expected to grow at a high rate due to the increasing adoption of digital technologies and government efforts in various countries, including China, India, Japan, and South Korea. The demand for OCR technology is increasing in the healthcare, e-commerce, and logistics sectors. The Chinese government has set a target of becoming a world leader in artificial intelligence (AI) technology by 2030, with a focus on developing OCR technology for use in various sectors, including healthcare, finance, and e-commerce.

Based on end-users, the global optical character recognition market is expected to witness positive growth in the healthcare segment.

The healthcare sector is one of the major end-users of Optical Character Recognition (OCR) technology. OCR is used in healthcare to digitize paper-based records, such as medical records and prescriptions, and to improve the efficiency of various healthcare processes. The increasing adoption of electronic health records (EHRs), the growing demand for automation in healthcare processes, and the need to improve the efficiency of healthcare operations are some of the major drivers of the healthcare OCR market. OCR technology is also being used to improve the accuracy of medical coding and billing, which is expected to drive the demand for OCR technology in the healthcare sector.

Global Optical Character Recognition Market Scope:

Key Market Segments

• By Component
  • Software
  • hardware
• By End-Users
  • BFSI
  • Government
  • Airports
  • Healthcare
  • Retail
  • Others
• By Geography
  • North America
    • USA
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • United Kingdom
    • Germany
    • France
    • Italy
    • Spain
    • Others
  • Middle East And Africa
    • Saudi Arabia
    • UAE
    • Others
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • Australia
    • Singapore
    • Indonesia
    • Others