71 Cloud File & Document Management Statistics You Must Know: 2021 Data Analysis & Market Share

A new version of this article, featuring the latest data and statistics, is available. Check out our report on Cloud File & Document Management Software Statistics for 2022.

Data is the lifeblood of businesses, most of whom produce a staggering amount of data every day, doing so with any number of document management software applications concurrently operating at any time. If they are also reliant on the internet every day, they would have to subscribe to file-sharing software to get their data to their remote or mobile workers. Under any of these scenarios, time, bandwidth stability, uptime reliability, and speed are of the essence.

How are the old and new document management systems and file-sharing programs coping with these? The easy answer is via constant innovation, guided by customers’ demand. If you are one of these businesses, you will also need to get your hands on those applications that now feature more extensive collaboration, analytics, tighter security, and more powerful automation to streamline many redundant processes.

Here, we present the next level of data, beyond document management and file-sharing software market share. These figures and other document management/file sharing statistics will guide you on how to best harness these technologies for your own document processing needs.

Document Management Global Market Statistics
Impact of Document Management on Productivity Statistics
E-Signature Statistics
Cost-Benefit of File Sharing Statistics
Cloud File User Needs & Wants Statistics
Document Management ROI Statistics
Cloud File Sharing Security Statistics

Document Management Global Market Statistics

Even as Industry 4.0 beckons and 5G technology is closing down upon us, both document management and cloud file sharing market shares are skyrocketing, along with everything digital. Add in the explosive growth of AI tools, and the figures explode exponentially. The speed of digital transformation is such that perhaps the next generations ahead will need to be explained about how pen drives and DVDs/CDs once ruled the data transfer world.

The worldwide market for document management software was valued at $4.89 billion USD in 2019. It is projected to reach $10.17 billion by 2025. (ReportLinker, 2020)
From 2015 to 2019, the world has seen more than 45% growth of online users worldwide from 2 billion people to more than 4.4 billion. (Cybercrime Magazine, 2019)
Experts predict that in 2022, there will be around 6 billion internet users. This is 75% of the projected world population. (Cybercrime Magazine, 2019)
The file-sharing market size is projected to reach $9.9 billion by 2023. (Market Research Future, 2019)
From 2019 to 2025, the global market for document management software systems is expected to grow at a CAGR of 13%. (ReportLinker, 2020)
The global file-sharing software market size is projected to grow at 24.8% CAGR from 2017 to 2023. (Market Research Future, 2019)
By 2025, the world will have to store 200 zettabytes of data. (Cybercrime Magazine, 2020)

Impact of Document Management on Productivity Statistics

Helped by powerful business intelligence tools, multiple industries have evaluated the effects of document management and file-sharing software, and the results can be found just about anywhere.

If you still handle files along the lines of the Jurassic era, the following numbers should more than explain why you need to think about your document strategies right now.

Enterprise Document Management

81% of employees raised the need for mobile access to company documents. (M-Files, 2019)
92% of employees review and collaborate on documents via email. (Nitro, 2020)
88% of office workers cited the need for a dependable, unified search platform that would help them do their jobs better. (M-Files, 2019)
Businesses waste an average of $20,000 on document issues. (Nitro, 2020)
95% of business information documentation is still paper-based. (InfoRouter)
82% of employees welcome the idea of having an automated software solution to name and tag office documents. (M-Files, 2019)
Workers spend an average of 50% of their time creating and preparing documents. (Nitro, 2020)
83% of employees must recreate existing documents since they can’t find them in their company network. (M-Files, 2019)
Over half of businesses oppose the use of personal devices for work-related tasks. (M-Files, 2019)
Workers share an average of six documents daily. (Nitro, 2020)

Document Management Challenges

Document issues account for more than 21% of daily productivity loss. (Tech Crunchies, 2018)
65% of staff experience challenges when checking and approving office documents. (M-Files, 2019)
86% of employees say that they usually experience difficulty searching for office files when they need to. (M-Files, 2019)
Workers spend 18 minutes searching for a document. (Tech Crunchies, 2018)
74% of employees can’t electronically sign documents using a mobile device. (M-Files, 2019)
46% of employees say it’s time-consuming and challenging to find the documents they need. (M-Files, 2019)
64% of employees experience difficulty and consume considerable time finding office documents using a mobile device. (M-Files, 2019)

Document Management Challenges 2019

Source: M-Files, 2019

E-Signature Statistics

E-signature systems have been around for some time, but many businesses will probably not realize what or how much revenue they are missing until now. If you think you are ready to level up, you will be happy to know that a look at the leading document management tools will get you up and running in no time.

As much as 83% of workers struggle with version issues daily. (Tech Crunchies, 2018)
E-signatures provide up to 83% productivity enhancement in obtaining approvals and 86% savings in documentation expenses. (ESRA, 2017)
The use of e-signatures can cut turnaround time by around 80%. (Tech Crunchies, 2018)
45% of companies say that it takes over a week to get a contract signed. (Ademero, 2020)
In the finance industry, using electronic signatures will allow companies to hamper file mishandling by 66% and lessen scanning mistakes by 92%. (OneSpan)
As much as 75% of large organizations do not have PDF editors. (Ademero, 2020)
72% of leading businesses say that the use of e-signatures boosted their customer renewal rates. (Nitro, 2020)
After adopting e-signature and other digital technologies, companies can gain 70%-80% efficiency enhancements. (Forbes, 2016)
41% of sales organizations that use e-signatures say they can minimize proposal error rates. (Nitro, 2020)
Among electronic signature business users, 81% of businesses that use e-signatures achieve ROI in one 12-month budget period. Twenty-five of those with effective e-signature use can do so within three months or less. (AIIM, 2013)
Users of e-signature report closing 17% more deals than non-users. (Nitro, 2020)
Businesses that adopt e-signature say that they gain 41% stronger year-on-year revenue growth than non-users. (Nitro, 2020)

Cost-Benefit of File Sharing Statistics

Apart from saving the planet and not earning the ire of green advocates, document management and file sharing solutions have a real impact on your finances. Printing thousands of paper is not only a recipe for confusion amid unending paper trails, but they also eat up more time than necessary.

Features found in the leading marketing automation systems are now fully incorporated in many of these document management platforms, making them indispensable for businesses that are watching the industry goings-on.

Companies spend an average of $20 to file and store paper documents. (Ademero, 2020)
92% of knowledge workers still use traditional document collaboration practices. (Perforce Software, 2013)
Finding and replacing lost paper documents cost businesses an average of $120. (Ademero, 2020)
It costs $0.55 to mail a single-sided 10-page letter. It will only cost $0.33 to mail the same letter using five sheets printed on both sides. (MOEA)
On average, companies spend $20 on pickup service and $3 per box handling fee. (Ademero, 2020)
As much as 7.5% of all paper documents get lost. (Record Storage Systems, 2020)
Businesses pay $20 for a regular delivery service and an additional $3 per box handling fee. (QLS, 2019)
83% of today’s workforce waste time due to document versioning issues daily. (Perforce Software, 2013)
In case of special rush delivery, companies have to pay $50 and $3 per box handling fee. (QLS, 2019)

Cloud File User Needs & Wants Statistics

An increasingly globalized economy demands that businesses can square with their clients and workers from any point in the world. This could only be possible with the growth of powerful devices and internet connections that are not only becoming truly ubiquitous but also throwing away the speed shackles of yesteryears.

But these in themselves are also of no use until the top communication tools joined in the fray, making it possible for you and your partners or employees to be on the same page 24/7. This is especially when remote work is prevalent nowadays due to the COVID-19 outbreak.

77% of business owners want to access files remotely. (Record Storage Systems, 2020)
88% of IT executives agree that compliance is the biggest obstacle to increasing cloud adoption in their firms. (logiworks, 2019)
47% of enterprises migrate to cloud to mainly due to achieve cost optimization. (Directive, 2017)
By 2021, cloud data centers will process 94% of overall global business workloads–most of which relate to document processing. (Cisco, 2020)
Around 29% of large enterprises and 37% of SMBs slightly used higher cloud usage services than planned because of COVID-19. (Flexera, 2020)
75% of all cloud computing and workloads will be using SaaS apps by 2021. (Cisco, 2020)
The current organizational spending on public cloud is, on average, 23% over budget. In the next 12 months, experts predict a 47% growth over current spending (Flexera, 2020)
Almost 80% of business owners would like the ability to access documents on the go. (Tech Crunchies, 2018)
Around 48% percent of businesses are progressing into a cloud-first strategy. About 43% are moving from on-premise software to SaaS and 61% are migrating more workloads to the cloud. (Flexera, 2020)

Source: Flexera 2020 State of the Cloud Report

Document Management ROI Statistics

Observing diligence over KPI metrics not only helps companies find the right path to steer their businesses, but it also prevents them from falling into financial holes that they might not be able to get out of. If your mouth or eyes do not water over these figures, you may be lagging behind the latest developments.

Over five years, investment in document management results in a 404% ROI. (Laserfiche, 2020)
Administrative costs in healthcare in the US can reach up to 25% to 33% of total healthcare spending. (Brookings, 2020)
Document management software can result in a 40% document-related cost reduction. (Laserfiche, 2020)
Using document management solutions allow companies to reduce errors by up to 30%. (DocStar, 2018)
Document management software lets companies save as much as $1 to $5 per document. (Laserfiche, 2020)
File management systems enable a total of 10% decrease in overall document processing expenses. (DocStar, 2018)

Cloud File Sharing Security Statistics

Despite the outstanding offerings of today’s leading IT security solutions, many businesses still find the world of the cloud too risky with its resident prowlers and outright cybercriminals. Security for sensitive, private information is already shaky at best, according to them, what more for critical asset information that could cost them millions of dollars if lost.

Justified or not, you should carefully weigh your decision. The following document management statistics should give you relevant clues in that direction.

About 80% of enterprise and mission-critical workloads will be done on the cloud in 2025. (Oracle, 2019)
69% of IT executives think cloud security regulations will change by 2020. (logiworks, 2019)
A study shows that the majority of 4,000 businesses distrust cloud security. (Malwarebytes, 2019)
Around 60% of organizations consider security as their biggest cloud migration challenge. (Help Net Security, 2019)
In 2020, around 54% of organizations have mostly on-premise software deployment with some cloud services on the side. In 2021, only 36% of businesses are expected to stay this way. Around 43% will likely have a mostly-cloud deployment while 16% of businesses will have an all-cloud deployment. In 2020, only 9% of businesses have their software and computing needs all on the cloud. (IDG, 2020)
33% of IT decision-makers predict that these changes will make compliance more expensive. (logicworks, 2019)
Around the world, 70% of organizations hosting their data/workloads in the public cloud experienced a security incident; 66% of them leave back doors (misconfigured cloud services) that are open to attackers (Sophos, 2020).
In the US, 68% of organizations were hit by a public cloud security incident; 75% of attacks exploited misconfigurations; 23% used stolen credentials. (Sophos, 2020)
Around 44% of organizations stated that data loss and/or leakage is one of their top three security concerns (Sophos, 2020)
The top four public cloud security threats are misconfiguration of the cloud platform (68%), unauthorized cloud access (58%), insecure interfaces (52%), and the hijacking of accounts (50%). (Continuity Central, 2020)

Source: Check Point and Cybersecurity Insiders, 2020

What are the environmental benefits of cloud document management?

As organizations increasingly rely on cloud document management solutions, the environmental impact of transitioning from traditional paper-based processes to digital alternatives becomes more evident. Embracing cloud file storage and document management not only streamlines business operations but also contributes to sustainability goals. Here are some of the key environmental benefits:

Reduction in Paper Usage: Digital document management drastically reduces the need for physical paper. This shift leads to lower paper production, which conserves forests, reduces deforestation, and minimizes greenhouse gas emissions associated with paper manufacturing and distribution.
Decrease in Physical Storage Requirements: Moving documents to the cloud eliminates the need for extensive physical storage space, such as filing cabinets and storage facilities. This can reduce the carbon footprint related to constructing, heating, and maintaining these storage areas, leading to more sustainable office environments.
Lower Energy Consumption: Cloud providers often optimize their data centers to be energy-efficient, using advanced cooling technologies and renewable energy sources. By leveraging cloud storage, companies benefit from these efficiencies and reduce their overall energy consumption compared to traditional on-site data storage.
Reduction in Waste and Disposal Costs: Managing documents digitally reduces the amount of waste generated from discarded paper, printer cartridges, and outdated equipment. This shift also decreases the costs and environmental impact associated with waste disposal and recycling.
Remote Access Reduces Travel: Cloud document management facilitates remote work and collaboration, decreasing the need for employees to travel to physical locations to access or share files. This contributes to fewer commuting emissions and supports the shift toward more flexible, sustainable work practices.
Extended Document Lifecycle: Digital files are less susceptible to physical degradation over time compared to paper, reducing the need for document reprinting and preservation. This contributes to resource conservation and further reduces the demand for paper.

It pays to know where technology is heading

Industry and technology vigilance reward many businesses, not only by getting updated on best practices, but also on the next technological offerings that could give you a tremendous lift to stay ahead in today’s ultra-competitive markets.

Leveraging what the best document management solution could do, for example, will help your business a lot in terms of time-saving, faster collaboration, seamless automation of multiple workflows, and critical security, among many others.

Key Insights

Market Growth: The global market for document management software was valued at $4.89 billion in 2019 and is projected to reach $10.17 billion by 2025, indicating significant growth driven by digital transformation and increasing data generation.
Increased Productivity: Document management and file-sharing solutions significantly enhance productivity. For instance, 81% of employees need mobile access to documents, and 83% of employees recreate documents because they can’t find them in their company network.
E-Signature Benefits: E-signature systems provide substantial productivity gains, with users experiencing up to 83% improvement in obtaining approvals and 86% savings in documentation expenses.
Cost Efficiency: Implementing document management solutions can lead to a 40% reduction in document-related costs and save businesses $1 to $5 per document.
Security Concerns: Despite the advantages, security remains a major concern for cloud file sharing. Around 70% of organizations hosting data in the public cloud experienced a security incident, with misconfiguration being the top threat.
Remote Access: A significant number of business owners (77%) want remote access to files, highlighting the importance of cloud-based document management and file-sharing solutions in modern business operations.

FAQ

1. What are the primary benefits of using document management software?

Document management software improves productivity, reduces costs, enhances collaboration, and ensures better document security. It helps in organizing and retrieving documents efficiently, leading to significant time savings and error reduction.

2. How does document management software impact productivity?

Document management software impacts productivity by providing easy access to documents, enabling efficient collaboration, and reducing the time spent on document creation and retrieval. It also automates many redundant processes, allowing employees to focus on more critical tasks.

3. What are the main challenges associated with document management?

The main challenges include difficulty in finding documents, version control issues, and the time-consuming nature of document retrieval. Security concerns, especially with cloud-based solutions, and the need for mobile access also pose significant challenges.

4. How do e-signatures contribute to business efficiency?

E-signatures enhance business efficiency by speeding up the approval process, reducing documentation expenses, and minimizing errors in document handling. They also improve customer renewal rates and contribute to stronger year-on-year revenue growth.

5. What are the cost benefits of file-sharing solutions?

File-sharing solutions reduce the need for physical document handling, lower mailing and storage costs, and prevent losses associated with misplaced documents. They also enable faster and more efficient collaboration, which can lead to overall cost savings for businesses.

6. How does cloud adoption affect document management?

Cloud adoption allows for remote access to documents, which is crucial for modern businesses. It also supports scalability, cost optimization, and enhanced collaboration. However, it also brings challenges such as security concerns and compliance issues.

7. What security measures should be considered for cloud file sharing?

For cloud file sharing, businesses should consider robust encryption, regular security audits, access controls, and compliance with industry standards. It’s also essential to address misconfiguration issues and ensure proper training for employees to prevent unauthorized access.

8. How can businesses ensure a successful implementation of document management software?

Successful implementation involves assessing actual business requirements, selecting the right vendor, conducting thorough testing, and ensuring user acceptance. Continuous feedback and support post-implementation are also crucial to address any issues and improve the system’s effectiveness.

References:

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By Astrid Eira

Astrid Eira is a resident B2B expert of FinancesOnline, focusing on the SaaS niche. She specializes in accounting and human resource management software, writing honest and straightforward reviews of some of the most popular systems around. Being a small business owner herself, Astrid uses her expertise to help educate business owners and entrepreneurs on how new technology can help them run their operations. She's an avid fan of the outdoors, where you'll find her when she's not crunching numbers or testing out new software.