AUSTIN, Texas — The Asian distribution market for video surveillance equipment is poised to grow at an annual rate of almost 15% within the next five years. The market continues to grow quickly despite that video surveillance equipment market is primarily served by a multitude of small, privately-owned distributors, according to a report by IHS.
The report, “The Asian Distribution Market for Video Surveillance Equipment,” notes that some multinational distributors, such as ADI Distribution, Anixter and Ingram Micro do operate in some Asian countries. However, there are relatively few distributors that have a large share of the local market, with the report estimating that the top 10 distributors accounted for just over a 10th of the market in 2012.
There are some exceptions, according to Jon Cropley, principal analyst for IHS.
“Aditya Infotech has a relatively high share of the Indian distribution market,” he explains. “Pacific Communications has a relatively high share of the Australian distribution market. However, the Asian market as a whole is mainly served by smaller players.”
China is the largest distribution market for video surveillance equipment in Asia, However, Chinese vendors operate numerous branch office and often have their own large sales teams sell directly to systems integrators and installers for big projects. They also manage the relationship with small distributors, according to the report.