Global Digital Product Passport Software Market Growing at a CAGR of 24.3%

Introduction

Digital Product Passport Software is a technology solution designed to manage and verify the life cycle and authenticity of products through a digital passport system. It provides comprehensive information about a product’s origin, quality, and compliance, integrating data from manufacturing, logistics, and supply chain processes. This software supports various applications, including traceability, sustainability reporting, and regulatory compliance, enhancing transparency and efficiency across industries.

Market Dynamics

Increasing Adoption of IoT and Blockchain Technologies for Enhanced Traceability

The integration of IoT and blockchain technologies into digital product passports is becoming increasingly prevalent. IoT devices enable real-time data collection and monitoring of products throughout their lifecycle, while blockchain provides a secure and immutable ledger for product information. This combination enhances traceability, authenticity verification, and fraud prevention. The adoption of these technologies is driven by the need for more reliable and transparent systems for managing product data across complex supply chains.

Growing Need for Regulatory Compliance and Product Authentication

The rising regulatory requirements for product compliance and authentication are driving the demand for Digital Product Passport Software. Governments and industry bodies are implementing stricter regulations to ensure product safety, quality, and transparency. Digital passports help companies meet these requirements by providing verifiable and accessible product information, reducing the risk of non-compliance and enhancing consumer trust. For instance, the European Union's proposed Digital Product Passport initiative under the Circular Economy Action Plan aims to promote sustainability and reduce waste by requiring detailed information on products’ environmental impact, recyclability, and reusability. As such regulations become more widespread, the demand for robust digital product passport solutions is expected to rise, driving market growth.

Regional Analysis

North America is anticipated to account for the largest share in the Digital Product Passport Software Market due to its advanced technological infrastructure and strong regulatory environment. The region’s focus on innovation, coupled with stringent compliance requirements, drives the adoption of digital product passports. Additionally, the presence of leading technology providers and a robust e-commerce sector further supports the market's growth. Key trends shaping the North American market include increased investment in technology integration and a focus on sustainability.

Asia-Pacific is experiencing notable growth in the Digital Product Passport Software Market due to rapid industrialization, increasing e-commerce activities, and expanding supply chains. The region’s diverse regulatory landscape and growing focus on technology adoption create opportunities for digital passport solutions. Emerging economies are investing in digital infrastructure, driving the demand for comprehensive product information systems. Key trends include the rising adoption of IoT and cloud-based solutions.

Key Highlights

• The global digital product passport software market size was valued at USD 193.08 million in 2024 and is projected to reach from USD 239.99 million in 2025 to USD 1367.62 million by 2033, growing at a CAGR of 24.3% during the forecast period (2025-2033). 

• Based on Offering, The Digital Product Passport Software market is segmented into Solution and Services. Solution segment dominate the market with estimated to exhibit a CAGR of 5% during the forecast period.
• Based on Deployment Mode, The market is divided into On-Premises and Cloud-Based. The Cloud segment is dominate the market over forecast period with expected CAGR of 26.7% during the forecast period.
• Based on Industry Vertical, The market is segmented into Manufacturing, Retail, Healthcare, Automotive, Electronics, Food & Beverage, Energy, and Other Verticals. Automotive segment fuel the Digital Product Passport Software market with estimated to exhibit a CAGR of 23.7% during the forecast period.
• North America is the most significant Digital Product Passport Software market shareholder and is anticipated to exhibit a CAGR of 22.4% during the forecast period.

Competitive Players

1. IBM Corporation
2. SAP SE
3. Oracle Corporation
4. Microsoft Corporation
5. Billon Group Ltd
6. CIRCULARISE
7. CIRPASS
8. Det Norske Veritas Group
9. Siemens AG
10. iPoint-systems GmbH
11. Kezzler AS
12. LyondellBasell Industries Holdings B.V.
13. Narravero GmbH
14. OPTEL GROUP
15. Protokol
16. PSQR
17. Qliktag Software Inc.
18. Scantrust SA
19. Spherity GmbH
20. THE ID FACTORY SRL

Recent Developments

• July 2024: Zeiss introduced a new line of high-precision optical metrology systems designed to enhance measurement accuracy and speed in automotive manufacturing.
• March 2024: Mitutoyo launched a cutting-edge laser measurement system with advanced AI capabilities for real-time quality control in aerospace applications.

Segmentation

1. By Offering
   1. Solution
   2. Services
2. By Deployment Mode
   1. On-Premises
   2. Cloud-Based
3. By Industry Vertical
   1. Manufacturing
   2. Retail
   3. Healthcare
   4. Automotive
   5. Electronics
   6. Food & Beverage
   7. Energy
   8. Other Verticals