High growth rate of office operations to propel further growth in the Global Paper Shredding Services Market
Covid-19 Impact & Market Status
The recent COVID-19 outbreak started in Wuhan (China) in December 2019 and has rapidly spread around the world since then. As of March 2020, China, Italy, Iran, Spain, the Republic of Korea, France, Germany, and the United States were among the countries with the highest number of positive cases and reported deaths. Due to lockdowns, travel bans, and company closures, the COVID-19 epidemic has impacted economies and businesses in a number of countries. As a result of the outbreak, the global food and beverage industry is one of the major businesses experiencing substantial disruptions such as supply chain disruptions, technology event cancellations, and office closures. With the presence of and the largest raw material suppliers, China is the global industrial powerhouse. The overall market breakdown due to COVID-19 is also affecting the growth of the bacon market due to shutting down of factories, obstacle in supply chain, and downturn in world economy.
The coronavirus pandemic positively affected the paper shredding services market. Containment measures adopted by the government included nationwide lockdown and travel restrictions due to which the workforce found it difficult to commute for work. Hence, the adoption of online working trends and work from home trends increased the internet using population drastically. Citing data from Internet World Stats, the proportion of internet users increased drastically from 50.8% in 2019 to 63.2% in 2020, increasing the market for paper shredding services. Further, a surge in social media usage by 63% was observed during the lockdown period which favored the industry. Although the COVID-19 pandemic continues to transform the growth of various industries, the immediate impact of the outbreak is varied. While a few industries will register a drop in demand, numerous others will continue to remain unscathed and show promising growth opportunities. As COVID-19 began to spread, many workplaces quickly shifted to a remote workforce, causing companies to improvise information security protocols and policies on the fly. With so much change in a short time, the survey sought to gauge how businesses are handling their information management requirements. Specifically, how information is being accessed, stored, and destroyed by remote employees and how secure those processes are.
This research report offers a detailed market outlook of the global paper shredding services market depending upon the current economic situation and developments in the application, type, and regional segments. It does a deep analysis of the impact of covid-19 on the market and recovery strategies applied by market players to restore the growth trends and maintain market competitiveness. The in-depth insights documented in the report enable well-informed investment decisions by for the new payers, aspirants, and also the well-established ones in the global paper shredding services market.
One Time Shredding Paper Shredding Services Type to Emerge as the Most Lucrative Segment
Global paper shredding services market is classified into one time shredding and regular shredding type segments. Among these, the one-time shredding type paper shredding services is poised for substantial market growth in the years ahead. The one-time shredding services are best suited for organizations or residential clients that have accumulated a large number of information-sensitive documents and need to destroy them securely. One Time Shredding is on a “per order” basis, which is a cost-effective option for those who need additional document destruction services but do not produce enough materials for a scheduled document destruction plan. This shredding service is ideal for businesses that handle sensitive financial or personal information. The law states that companies must destroy documents after an extended period, complying with proper data disposal. Time Shredding service will destroy these documents while providing your organization with additional space. Whether you are looking to destroy old tax documents or clean out your warehouse or garage, Shred Instead will get rid of your unwanted documentation.
Office Shredding Program Applications to Ensure Revenue Maximization
Global paper shredding services market is classified as Office Shredding Program, Residential Shredding Program, and Others, type applications. Among these, the gaming type paper shredding services application segment is poised for substantial market growth in the years ahead. Paper shredding services for offices are expected to have a major market compared to the rest of the applications. The rise in the number of large sizes MNCs that use micro-level shredding machines to dispose of confidential information is anticipated to fuel the growth of the product over the forecast period. Moreover, the high price of machines as compared to other types, along with its implementation of high-security levels needed in government offices and large businesses, is anticipated to generate higher revenue in the market. Individually shredding documents in-house creates a host of problems, not the least of which is a constant disruption to your employees’ work schedule. It’s hard to maintain focus on a task when trips back and forth from the office shredder eat up valuable minutes. Over time, hours could be wasted each week on an inefficient task. Outsourcing the work reclaims that time, enabling your company to focus on and complete tasks according to schedule. Moreover, Automation of office processes, management solutions, and employee training can all serve to benefit a business and create a more economical work environment. Disposal of sensitive documents is simply one example of a process that could be automated, thereby freeing up employees to work more effectively at their respective tasks. In case of emergency, employees might be forced to try and navigate their way through a maze of cabinets or could bump into stacks of papers or garbage cans that should have only been temporary. Paper shredding quickly and securely removes these obstacles.
Backed by Immense Development Potential North America Paper Shredding Services Market to Sail Ahead
Performance analysis of global paper shredding services market based on regional segmentation states that North America is the most mature market for paper shredding services adoption and investments. The region is likely to garner maximum revenue share of global paper shredding services market in the years ahead, mostly from 2021 to 2028.
This is evident from rapid investments in new digital technologies, shift in user preferences, applications in various industry verticals such as gaming, content creation, residential shredding program media, and others across leading countries in the region such as Canada and United States.
Additionally, technological advancements due to various research and developments initiatives, the presence of tech giants, commercial mergers and partnerships, expansions of the leading companies in regional and global market are improving the growth feasibility of global paper shredding services market in North America.
The expanding penetration of key technologies, as well as the presence of technology behemoths like Iron Mountain Inc., are responsible for the region's success. The increased demand for efficient and cost-effective corporate process solutions is propelling the industry in the area forward. The market is also characterized by strict policies, significant infrastructure expenses, and regulatory frameworks. Because of the increased acceptance of these services among various end-use industries including healthcare and BFSI, the United States controls the majority of the North American market. To meet the rising need for cost-effective and efficient business process solutions, the major players in this market industry are focusing on merger & acquisition tactics. For example, Exela Technologies, Inc., a US-based business process automation (BPA) company, bought Asterion International Group, a German-based BPO and document management service provider, in April 2018. The company will be able to diversify its portfolio throughout Europe as a result of this acquisition. Exela's BPA solutions will also be available to Asterion customers.
The need for data security has paved new growth opportunities to empower remote working, thus furthering the inclusion of Paper Shredding Services
The market is driven by the high growth of private companies and demand for office products in the Asia Pacific, along with the rise in the sales of cost-effective items used in the industry. The growth is attributed to the growing working population, along with rising in the disposable income of consumers to accommodate paper shredding machines in the industry. Moreover, the introduction of efficient appliances and the growth of the consumer and industrial sectors are anticipated to drive the demand in the market.
The recent COVID-19 outbreak started in Wuhan (China) in December 2019 and has rapidly spread around the world since then. As of March 2020, China, Italy, Iran, Spain, the Republic of Korea, France, Germany, and the United States were among the countries with the highest number of positive cases and reported deaths. Due to lockdowns, travel bans, and company closures, the COVID-19 epidemic has impacted economies and businesses in a number of countries.
The growth of the global paper shredder market is primarily driven by industrialization across the globe. With numerous Indian and foreign businesses and organizations starting their operations in India, the utilization of paper and paper products has increased significantly. To match the quantity number of papers generated, the demand for paper shredders is also experiencing healthy growth.
These are some key factors bringing thumping growth of global paper shredding services market, ensuring market size growth of approximately 3,520 USD million by 2028 at a CAGR of 7.76% from 2021 to 2028.
A paper shredder is a kind of machine used to cut papers into pieces before throwing them into the waste. Many government offices, private organizations, large corporations, small businesses, and individuals use this to destroy their confidential documents and sensitive information such as marketing plans, financial statements, strategic initiatives, and other employee data. The product is utilized to turn data secured documents into waste to prevent them from theft or unauthorized imitation.
The market is driven by the high growth of private companies and demand for office products in the Asia Pacific, along with the rise in the sales of cost-effective items used in the industry. The growth is attributed to the growing working population, along with rising in the disposable income of consumers to accommodate paper shredding machines in the industry. Moreover, the introduction of efficient appliances and the growth of the consumer and industrial sectors are anticipated to drive the demand in the market. A large number of manufacturers and distributors are entering the market owing to increasing demand for shredders in the market. However, the impact of e-commerce channels, rise in the number of convenience and specialty stores, cost-effectiveness, and demand for shredding appliances for the disposal of secured data from consumers provide a huge opportunity for growth of the market. Increasing preferences towards softcopy along with the high cost of the product will hinder the growth of the paper shredder market in the above-mentioned forecast period. However, the high cost of paper shredders and increasing usage of soft copy for documentation are expected to hinder the growth of the paper shredders market. Also, operating a paper shredder takes up time (and thus money). Especially when one needs to shred regularly daily, to reduce time ‘wasted’ at the paper shredder machine, it is recommended to invest in a paper shredder that suits best. This means when one needs to shred documents often, need a shredder that can shred through documents quickly. One can buy a shredder for under $50 but is this a shredder you can rely on matters a lot.
The major players of the global paper shredding services market are Iron Mountain Incorporated, PROSHRED, Staples, Stericycle Inc., and Shred-X.
Among all other established and emerging companies and investors. These market players are spread across the world and are aggressive in developing new technologies to lead the market and improve revenue growth. Furthermore, the market players to stay ahead of the competitive landscape are unravelling strategic initiatives like mergers and acquisitions, new product portfolios, and technological innovations.
Latest Innovations in the Global Paper Shredding Services Market: Snapshot
- Remote Paper Shredding from Employees
As more companies are shifting to paperless environments, the need for additional digital storage space is growing at a rapid pace. Businesses are also seeking technology upgrades to efficiently convert paper documents into electronic documents, which is very labor-intensive and time-consuming when handled in-house by employees. Whether having to pick up documents from the office or relying on on-site employees to retrieve, scan, and send files to remote employees, many workplaces are wanting a centralized way to access physical documents to improve productivity and to eliminate unnecessary security risks. The rise in remote working has highlighted gaps in document management policies for many businesses, confusing off-site employees. Remote workers need clear guidelines in place for the proper destruction of sensitive information when working off-site. With employees working in-person and remotely, businesses are looking for ways to securely destroy confidential information whether at the workplace or remote locations.
Paper Shredding Services Market Scope
|Forecast Unit||Value (USD)|
|Revenue forecast in 2028||3,520 USD million|
|Growth Rate||CAGR of 7.76% during 2021-2028|
|Segment Covered||Type, Application, Regions|
|Regions Covered||North America, Europe, Asia Pacific, Middle East and Africa, South America|
|Key Players Profiled||Iron Mountain Incorporated, PROSHRED, Staples, Stericycle Inc., and Shred-X.|
Key Segments of the Global Paper Shredding Services Market
Type Overview, 2018-2028 (USD million)
- One Time Shredding
- Regular Shredding
Application Overview, 2018-2028 (USD million)
- Office Shredding Program
- Residential Shredding Program
Regional Overview, 2018-2028 (USD million)
- Rest of Europe
- Rest of Asia Pacific
- Rest of South America
Middle East and South Africa