Global Address Verification Software Share Report 2025, Forecast To 2034
24 Mar, 2025
What are the Historical Developments and Current Growth Metrics of the Address Verification Software Market?
The address verification software market has seen considerable growth due to a variety of factors.
• In recent times, the market size of address verification software has seen robust growth. The market is projected to expand from $1.71 billion in 2024 to $1.84 billion in 2025, experiencing a compound annual growth rate (CAGR) of 7.6%.
The accelerated growth during the historical span was due to improved customer experiences, fraud prevention tactics, increased efficiency in mail and shipping services, decreasing failed deliveries, and better integration with CRM and ERP systems.
What is the Forecasted Market Size and CAGR for the Address Verification Software Market By 2029?
The address verification software market is expected to maintain its strong growth trajectory in upcoming years.
• In the coming years, significant expansion is predicted for the address verification software market, reaching $2.62 billion by 2029 at a 9.2% compound annual growth rate (CAGR). This upward trend during the projection period can be credited to factors such as the rise in remote working and digital services, the incorporation of artificial intelligence and machine learning, growth in the healthcare and finance sectors, emphasis on data precision and quality, swift urbanization and changes in addresses. Future trends within the prediction period include a concentration on user experience, solutions tailored to specific industries, applying address verification to the Internet of Things (IoT), the use of blockchain for data protection, and the integration of geocoding and location intelligence.
What Main Forces Are Fueling Expansion In The Address Verification Software Market?
The rise in travel and tourism sectors is forecasted to propel growth in the address verification software market. The scope of travel and tourism includes activities performed by individuals or groups traveling away from their normal residence for leisure, discovery, business, or other reasons. In these industries, address verification software is utilized to improve the accuracy of bookings and make customer communication more efficient by providing exact address details for reservations and travel plans. For example, in January 2024, the United Nations World Tourism Organization, a Spain-based entity promoting tourism, reported that in 2023, worldwide tourism receipts reached USD 1.4 trillion, adding USD 3.3 trillion to the global economy, or 3% of the worldwide GDP. By mid-2024, the number of international tourists had increased by 11%, with a record of 790 million travelers. Consequently, the growing travel and tourism sectors are fuelling the expansion of the address verification software market. The escalating trend of e-commerce and online transactions is also predicted to spur the growth of the address verification software market. In the realm of e-commerce, it is vital to ensure that products are delivered to the right address. Address verification software aids in averting shipping mistakes by verifying customer-provided addresses in real time. This minimizes the risk of packages being dispatched to incorrect addresses, potentially leading to expensive returns and upsetting customers. For instance, according to the United States Census Bureau, a US government agency, in August 2024, U.S. retail e-commerce sales for the second quarter of 2024 estimated at $282.3 billion, a rise of 5.3% compared to the first quarter of 2023. Therefore, the rising trend of e-commerce and online transactions is contributing to the growth of the address verification software market.
What Are The Market Segments In The Address Verification Software Market?
The address verification software market covered in this report is segmented –
1) By Product Type: Cloud Based, On-Premise
2) By Subscription Type: One Time License, Monthly, Quarterly, Yearly
3) By Device Used: Personal Computer, Laptops, Smartphones, Other Devices
4) By Application: Large Enterprises, Small And Medium Size Enterprises
Subsegments:
1) By Cloud-Based: Software As A Service (Saas), API-Based Solutions
2) By On-Premise: Standalone Software, Integrated Solutions
What Trends Are Shaping The Address Verification Software Market?
Dominant entities in the address verification software market are paying more attention to the evolution of artificial intelligence and machine learning to augment data precision and simplify the confirmation process, thereby improving user satisfaction and mitigating deceitful behaviors. The exclusive verification software allows consumers to submit a state-issued identification, which is cross-verified with trusted external databases to attain a certified seal. For example, Uber Technologies Inc., an American transportation firm, unveiled a novel rider identity confirmation procedure in September 2024, devised as a safety provision for drivers throughout the US. Users have the option to affirm their identities through external database cross-checking or by submitting their state-issued identification for heightened safety measures. This effort is intended to augment the security for both drivers and passengers by decreasing the occurrence of fraudulent activities and ensuring more secured ride-sharing experiences.
Who Are the Key Players In The Address Verification Software Market?
Major companies operating in the address verification software market report are:
• Rakuten Inc.
• Stripe Inc.
• Experian PLC
• Pitney Bowes Inc.
• GB Group PLC
• SmartSoft Inc.
• Ekata Inc.
• Melissa Data Corporation
• Simpler Postage Inc.
• BCC Software LLC
• TrueNorth Credit Solutions LLC
• DQE Software SAS
• Strikeiron LLC
• Datatech SmartSoft Software Inc.
• Data8 Limited
• AccuZIP Inc.
• Acme Associates Pte. Ltd.
• Anchor Software LLC
• Byteplant Technologies Private Limited
• ComplyCube Ltd.
• DataMatch Software Inc.
• Global-Z International Inc.
• PostGrid Inc.
• SmartyStreets LLC
• WinPure Ltd.
• Woosmap SAS
• Prism Data Services Inc.
• Addressy Inc.
• Egon
What Are The Regional Insights Into The Address Verification Software Market?
North America was the largest region in the address verification software market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the address verification software market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa