Password Manager Statistics 2024

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Introduction

Password Manager Statistics: Amid cyber crimes, protecting one’s social or banking accounts is as important as protecting the identity. We live in a world where passwords have become a daily requirement for everything you log in. Starting from smart homes with passkeys to let you in, to smartphones, social networking accounts, baking, and whatnot!

However, managing and remembering passwords is not in everybody’s scope. Therefore to fulfill the requirement, we have password managers. But, is it safe to use? Many people do not even know how these apps come in handy. Let’s understand, what Password Manager Statistics are telling us about the recent insights.

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Over 60% of internet users worldwide have reported using a password manager in 2024.
The highest adoption rates are observed in the 25-44 age group.
About 70% of businesses globally have integrated password managers into their security infrastructure by 2024.
80% of users cite concerns over security breaches as a primary reason for adopting password managers.
Approximately 85% of password manager users utilize these services across multiple platforms, including mobile devices and desktops.
The top three password managers, namely LastPass, Dashlane, and 1Password, collectively hold about 50% of the market share.
High levels of consumer trust are reported, with 75% of users expressing confidence in the security of their password manager.
An estimated 40% of users regularly use password managers to safely share passwords with family or colleagues.
Over 65% of password manager solutions offer integration with biometric technologies like fingerprint scanning and facial recognition.
Approximately 60% of password manager users opt for paid subscriptions, with the remaining 40% using free versions.
The shift towards remote work has significantly contributed to market growth, with a 20% increase in adoption since the onset of widespread remote work policies.
71% of the password manager users state that they use it all the time because they can’t remember all of their passwords.
According to the Password Manager Statistics, 13% of the users didn’t open new accounts as they forgot the password.
The global password management market is expected to hit $7.13 by 2030. Between 2022 and 2023 the global market will experience steady growth.
65% of Americans said the most common reason not to use any password manager is a lack of trust in the same.
According to password manager users, 50% of them felt it is a good way to protect digital information while forgetting the password was the secondary reason (44%).
30% of the people said they do not use password managers because they trust their memory.
Furthermore, 40% said they write passwords on paper while 22% store them on their smartphones.
68% of the employees believe that their organizations should provide them with password managers to protect their credentials.
The top three Password Managers such as Google Password Manager (23%), iCloud Keychain (17%), and Bitwarden (10%) have generated more customer base in 2022.
Only 50% of the people know the functions of 2-factor authentication and password managers

What is a Password Manager?

A password manager is a software or application that manages all your passwords. It can store passwords for every website you need, and share it with your family securely. A password manager can auto-fill your passwords on the browser whether you remember it or not. However, password manager applications are managed by third parties, and many people around the world are still doubtful about privacy and security. There are still many people who choose to write down their passwords on sticky notes or just believe in their memories. But, on average a human has 100 passwords and how is he supposed to remember it all?

Features of Digital Password Manager

Users can keep a backup of their passwords in the vault.
Secured and easy password sharing with family
Autofill password option
Safe password recovery options
Secured cloud storage
Free device sync
Strong password generator
Multiple platform support

General Password Manager Statistics

On average, a single password manager costs around $40.
According to the Password Manager Statistics, 13% of the users didn’t open new accounts as they forgot the password.
Furthermore, 40% said they write passwords on paper while 22% store them on their smartphones.
65% of Americans said the most common reason not to use any password manager is a lack of trust in the same.
As of 2022, only 22.5% of Americans use smartphone password manager apps.
30% of the people said they do not use password managers because they trust their memory.
Furthermore, 7% said they would use such apps if they couldn’t rely on their memories.
10% of those who were using password managers, suffered from password theft.
71% of the password manager users state that they use it all the time because they can’t remember all of their passwords.
Furthermore, 13% of the users started using password manager apps after experiencing a theft.
Around 38% of IT professionals and security businesses do not use any password managers.
As of today, 42% of the companies depend on sticky notes for managing the passwords.
Only 50% of the people know the functions of 2-factor authentication and password managers.
68% of the employees believe that their organizations should provide them with password managers to protect their credentials.
Around the world, 33% of the respondents in a survey want their spouse to start using Password managers.
In 2023, there are 42% of people using the software for personal use while 54% use it for work and personal use. In addition, 4% stated to use it for work only.
Between 2022 and 2028, Asia Pacific will be the fastest-growing market and North America will be the largest market for password management programs.
81% of the data breaches occur due to poor password management.
According to reports, enabling multi-factor authentication (MFA) on password managers will keep the passwords safe.
Password manager Statistics state that the users of managers are 3x less likely to suffer from identity theft.
27% of the total internet users are in the dark about the real benefits of password managers.
Every year, at least 3 password managers experience security breaches.
90% of business leaders say that password managers make the company feel safe.
52% of people are looking for a way to securely store and manage their passwords.
As shown by the reports, 60% of the users use the same passwords everywhere.
In the United States of America, compared to 21.5% of people who live all alone, 35.4% of people with partners use password managers.
Around 50% of Americans said they would never use any third-party password manager.

Password Manager Statistics by Reasons to not use PM Apps

They believe their current system works (38%).
They don’t want to pay for a password manager (32%).
They don’t know which password manager to use (27%).
They’re afraid their password manager will get hacked (27%).
They don’t know how to get started (21%).

(Source: explodingtopics.com)

According to Password Manager Statistics, the majority of the people who do not use any password manager apps, believe in their current system (38%), followed by those not willing to pay subscription charges for the same (32%). Only 21% of the people stated that they did not know where to get started with the app.

Password Manager Statistics by Most Used Password Managers in the USA between 2021 and 2022

(Reference: statista.com)

If we look at the above chart, it is clear that in 2022, people started using Google Password Manager more as compared to 2021. However, other applications share almost similar percentages in terms of usage in both years. However, the top three Password Managers such as Google Password Manager (23%), iCloud Keychain (17%), and Bitwarden (10%) have generated more customer base in 2022.

Password Manager Statistics by Global Market Share by Program

(Reference: statista.com)

As of 2023, LastPass is the leading password management software around the world having a 23.3% market share. However, looking at the other software, 1Password (4.5%) and Dashlane (3.96%) are the other two trending ones.

Password Manager Statistics by Device Use

(Reference: security.org)

Considering the above chart, the majority of people prefer to use it on their mobile phones as compared to laptops/desktops, tablets, and other similar devices. Users continued to use the software majorly on their mobile devices for the last 3 years as studied by Password Manager Statistics.

Password Manager Statistics by Global Market Revenue

(Reference: statista.com)

According to Password Manager Statistics, the global password management market is expected to hit $7.13 by 2030. Between 2022 and 2023 the global market will experience steady growth.

Password Manager Statistics by reasons to start using password managers

(Reference: statista.com)

According to password manager users, 50% of them felt it is a good way to protect digital information while forgetting the password was the secondary reason (44%). Other users shared that, they use it at work (31%), heard about it in the news (22%), and wanted to share the password with family (16%). Only 15% of global users started using it after their accounts were hacked.

Password Manager Statistics by Country

Country	Percentage of adults using a password manager
UK	26%
US	23%
Spain	21%
Germany	20%
Australia	20%
Japan	17%
France	15%

(Source: colorlib.com)

As studied by Password Manager Statistics, a greater number of users are using password manager apps in the United Kingdom as compared to other countries resulting in 26%, followed by the United States of America (23%) and Spain (21%). Germany and Australia share the same number of users resulting in 20%. Whereas Japan and France have 17% and 15% of the users located.

Password Manager Statistics by User Behavior

(Reference: security.org)

The usage of password manager has increased in 2023 by 13% reaching 34%, which was 21% in 2022. However, the number of users who prefer to memorize the passwords hasn’t changed in both years (41%). 27% of people chose to save their passwords on a browser while 30% wrote them down on paper in 2023. In addition, 10% of the users used a physical password device/security passkey in 2023.

Password Manager Statistics by Reasons to Use a Password Manager

(Reference: security.org)

According to Password Manager Statistics 2023, the top 3 prevailing reasons to use a password manager is having more passwords and making it easy to remember (68%), logging in multiple devices (53%), and generating more complex passwords (45%).

Password Manager Statistics by Subscription

(Reference: security.org)

More than 50% of the users are using the password manager software free of charge resulting in 63% in 2023. However, on average 8% of people are paying between $1 to $60 for the subscription. There are 3% of users paying more than $60.

Conclusion

As shown by Password Manager Statistics, there are still many users who find it hard to believe third-party password managers. However, there is a good side and a bad side to everything. The good thing about password managers is that they can help you auto-fill passwords for every website you choose, and the bad side is you don’t know if it is vulnerable to password theft.

Let’s take an example here, even if we write down on a piece of paper, what if you misplace it or the piece of paper is stolen by any unknown person? It is the same kind of thing in the digital world. The only safe place to remember a password is your MEMORY!