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Worldwide Document Capture Software Market Grew by 7.7% in 2008 -- Now Worth $1.9bn

EAST NORTHPORT, N.Y. - (BUSINESS WIRE) - Spending on document capture software grew in 2008 by 7.7% to $1.9bn according to a new study by Harvey Spencer Associates (HSA), the leading analysts in the fast growing area of document capture. By 2012 HSA predicts the market will exceed $2.7bn.

The Ad-hoc segment, which uses desktop scanners and MFP's to convert paper to digital images on a demand basis for local storage; conversion to text; or input into a business process, grew by 5.1%. The Batch Image Capture segment, which uses higher speed scanners to convert batches of paper into ECM (Enterprise Content Management) and Document Management systems, grew by 1.7%. The Batch Transaction segment, which extracts data from captured documents into business processes, grew by 13.3%.

"Each segment achieved some growth, despite challenging economic conditions - particularly in quarter 3 and quarter 4" said Harvey Spencer, President. "The Ad-hoc growth rate was negatively impacted by the economy, which caused a slowdown in MFP and scanner shipments, and by the impact of Ricoh's acquisition of IKON which caused management and sales focus to shift. Batch Image was affected by the slowdown in ECM sales. However, we are particularly pleased to see the double-digit growth rate of the Batch Transaction Segment. Sales in this segment frequently show paybacks of under one year, even as average systems increase in complexity and price. We are seeing many more individual sales that are over $100,000, and a few of several million dollars" .

"Often dismissed as boring because document capture uses proven technologies to convert paper into images, Capture is, in fact, an immature and interesting growth market that is not well understood as it has been outside mainstream IT" said Harvey Spencer, President Harvey Spencer Associates. "Managing paper has always been expensive, but technologies to integrate captured data with business processes have typically followed scanning as completely separate processes with a heavy manual content. The capture technologies, that are now starting to be employed, leverage intelligent classification software. This software, with training, has the ability to understand a business document in a similar way to that of a trained human clerk. This allows unsorted documents to be scanned with the software, and, using information from the appropriate business process, understand, extract and validate wanted data from the paper document with little or no human intervention. If necessary, the image(s) of the document(s) can be automatically routed to ECM systems for manual exception processing. The companies who incorporate capture technologies achieve compelling paybacks and ROI."

The new study is available to Harvey Spencer Associates clients who have subscribed to the 2009 Document Capture Software Market Analytics Subscription Service. This service, used by many of the document capture software market leading vendors, offers year round expert analysis of, and commentary on, industry trends and events; and ad hoc inquiry support. The 2009-10 Worldwide Market for Document Capture Software Report with quarterly updates is complemented by a comprehensive Vendor Tracking Report that profiles software vendors active in this market; a Vertical Market analysis and new in 2009 - an Enterprise Capture Report.

Harvey Spencer Associates Inc. (www.hsassocs.com) is an analyst and market consulting company founded in 1989 to specialize in document scanning, recognition and allied technologies. An annual conference (www.documentcapture2009.com) now in its fifth year, is held every September in Glen Cove, New York to explore the opportunities for these technologies in diverse markets. For more information please contact HSA at 631-368-8393 or inquiries@hsassocs.com.

HSA
Lesley Hill, 631-368-8393
inquiries@hsassocs.com