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SSI’s 2013 Industry Forecast: ESA’s Merlin Guilbeau

Electronic Security Association (ESA) Executive Director Merlin Guilbeau offers his predictions on where the industry is headed in 2013.

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The January edition of SECURITY SALES & INTEGRATION includes our annual industry forecast as a cornerstone of our special 2013 Industry Forecast Issue. For the piece, I interviewed 20 of the industry’s most knowledgeable market analysts, business experts, systems integrators, manufacturer representatives and trade association directors. Some of their perspectives can be found in the magazine article, with the balance of their assessments appearing in separate Under Surveillance blog posts.

Featured in this installment: Merlin Guilbeau, Executive Director, Electronic Security Association (ESA).

What do you expect will be the biggest changes, challenges and/or opportunities as they relate to electronic/physical security technology, markets and business & operations?

Merlin Guilbeau: We expect to see continued expansion of home automation services, with lifestyle enhancement playing a major role as an additional offering to home safety and security. ESA launched its SECURE+ Initiative this year to raise awareness and understanding about enhanced digital services offered by ESA member companies and how these services are making their customers’ lives not only safer and more secure, but simpler, more energy efficient and more convenient. Because lifestyle enhancement services are such a hot button, training and certification will continue to be important factors as the industry keeps pace with rapidly evolving technology. Additionally, as high-end technology continues to expand, older technologies will become more difficult to support. As they plan for the future, security industry companies have to effectively deal with the challenges presented by AT&T’s 2G sunset, as well the continuing degradation of the POTS network.

Regarding markets, nontraditional companies such as cable providers and telecoms will continue to enter the electronic security space. In order to compete, smaller companies will need to work to ensure a level playing field from a regulatory standpoint and will need to emphasize their strengths, including knowledge of the industry, recognition and assessment of customer needs, familiarity with local markets, and grass-roots level customer service. ESA members also need to make sure their customers know that they not only provide security but also interactive solutions for homes and businesses. The growing popularity of tablets and smartphones will fuel the growth of remote monitoring and control of home services. ESA members should tout their knowledge of sophisticated functionality of security systems, which will attract customers to a comprehensive offering of services.

Looking at business and operations, our Member Profile Survey fielded this fall indicates ESA members are projecting 16% growth in the total number of systems they will install in 2012 vs. 2011. Security companies are well positioned to take advantage of growth trends. As the economy improves, companies that plan for the future and react accordingly will be poised to capitalize on these trends and grow stronger, even in the face of increased competition from new players.

What are some nagging or pressing security industry issues you expect to remain unresolved? Any ideas/thoughts about how to address or improve these situations?

Guilbeau: Given the continued growth in technology, it’s important to identify the workforce of the future, and to ensure the availability of well-trained employees who will provide the highest standards of customer service and support. Existing employees require new skills and certification, while security providers are always on the lookout for the next wave of employees who can fuel business growth during a time of rapid change.

What are some things that might surprise or catch people off-guard in the security industry? Any ideas/thoughts about how they can be best prepared to handle?

Guilbeau: Technology dominates this discussion as well. We are stressing the importance of being ahead of the game. Whether it’s the 2G sunset, the disappearance of POTS, or the continued rise of home automation as a source of RMR, it’s important to be proactive rather than reactive. Even though none of the three issues is a surprise to anyone, what remains to be seen is how security integrators and businesses can turn these trends to their advantage.

Scott Goldfine

Article Topics
Vertical Markets · General Industry · Installation and Service · Interviews · Management · Physical-IT Security Convergence · Blogs · Business · Management · operations · Security Industry · Trade Associations · Under Surveillance · All Topics

About the Author
Scott Goldfine
Scott Goldfine is Editor-in-Chief and Associate Publisher of Security Sales & Integration, directing all editorial aspects of the magazine brand in print, electronically, online and in person. The voluminous, innovative and award-winning body of work he has distinguished himself with since joining the publication in 1998 includes groundbreaking research, landmark features, leadership roundtables, high profile case studies, and many industry exclusives. Well versed in the technical and business aspects of electronic security (video surveillance, access control, systems integration, intrusion detection, fire/life safety), Goldfine is a nationally known figure in demand as an industry presenter and subject matter expert to mainstream media. He is responsible for developing many unique products and programs, including the SSI Industry Hall of Fame, Control Panel (industry’s first E-mail newsletter), Police Dispatch Quality (PDQ), Marketing Marvel, Installers of the Year, Integrated Installation of the Year, Security Industry Census, Systems Integration Study, Installation Business Report, Operations & Opportunities Report, Commercial End-User Study and Security’s Fantastic Fleets. Recognized for his relationship building, integrity and lead-by-example ethic, Goldfine is a solutions-oriented team player who advises and collaborates with industry dealer/integrator, consultant, distributor, central station and manufacturer icons, luminaries and executive business leaders on a daily basis. He is also actively involved in several security events and organizations, including the Electronic Security Association (ESA), Security Industry Association (SIA), Security Industry Alarm Coalition (SIAC), False Alarm Reduction Association (FARA), PSA-Tec, SAMMY Awards, International Security Conference and Exhibition (ISC), Electronic Security Technology Summit (ESTS), Mission 500, Electronic Security Expo (ESX), ASIS Int’l, Honeywell CONNECT and other supplier conventions. Goldfine also serves on several boards, including the CSAA Marketing and Communications Committee and PSA Cybersecurity Advisory Council. A certified alarm technician, former cable-TV tech, audio company entrepreneur, and lifelong electronics and computers enthusiast, Goldfine graduated with honors from Cal State, Northridge with a management degree in Radio-Television-Film. His professional media endeavors have encompassed magazines, Internet, radio, TV, film, records, teletext and books. Goldfine resides in the Charlotte, N.C., area with his wife, son and three cats.
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