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New Study Pinpoints How to Save, Make More Money

A year ago, SSI’s inaugural Operations & Opportunities Report (OOR) exposed the best ideas installing security company managers had for slashing costs and elevating profits. Since then, that guile has translated into an 11-percentage-point rise in gross margin. Now, the 2010 OOR delivers more incisive business intelligence.



By ·

What a difference a year can make. Just 12 months ago, during what was hopefully the apex of the recession, installing security companies were aiming for a 34-percent gross profit margin yet were only seeing a 24-percent return. In 2010, those businesses projected earnings at 32 percent, but halfway through the period are actually exceeding that forecast with a 35-percent take. However, the economic scars remain with more firms (42 percent) reporting their financial footing has slipped the past three years.

These findings were among the wealth of vital market intelligence gleaned from SECURITY SALES & INTEGRATION‘s second annual Operations & Opportunity Report (OOR). This unique, original research not only conveys better times for the electronic security industry but, even more importantly, uncovers how these providers are succeeding by identifying the top money-making and cost-saving ideas, and today’s leading growth opportunities.

More than 200 executives, managers and others from across the nation, representative of all sizes of companies, were asked a host of questions targeting not only the best ways to boost profits and reduce expenses, but also the implications of implementation. Further, respondents were asked to identify the most promising new technologies and service offerings, as well as the most viable vertical markets. Several financial and operational questions were also included.

Among the key changes from a year ago: megapixel video and fire alarms are the fastest growing technology areas; commercial offices, residential and industrial are rising markets; maintenance/service agreements top recurring revenue aspirations; poor time management is cited as an increasing drain on the bottom line; reputation/referrals has risen as the leading boost to the bottom line; and there is an upswell of disenchantment with product pricing.

For more on these benchmarks and scores of other indispensable data, press onward where nearly 20 graphs and captions tell the complete story.

 


Article Topics
Business Management · Business Tools · Economic Recovery · Operations & Opportunities Report OOR · Recession · Research - Security STATS · Surveys · All Topics

About the Author
Scott Goldfine
Scott joined SECURITY SALES & INTEGRATION in October 1998 and has distinguished himself by producing award-winning, exemplary work. His editorial achievements have included blockbuster articles featuring major industry executives, such as Tyco Electronic Products Group Managing Director Gerry Head; Protection One President/CEO Richard Ginsburg; former Brink’s Home Security President/CEO Peter Michel; GE Interlogix President/CEO Ken Boyda; Bosch Security Systems President/CEO Peter Ribinski; and former SecurityLink President/CEO Jim Covert. Scott, who is an NTS Certified alarm technician, has become a respected and in-demand speaker at security industry events, including presentations at the Central Station Alarm Association (CSAA) Annual Meeting; California Alarm Association (CAA) Summer and Winter Conferences; PSA Security Network Conference; International Security Conference and Exhibition (ISC); and Security Industry Association (SIA) Forum. Scott often acts as an ambassador to mainstream media and is a participant in several industry associations. His previous experience as a cable-TV technician/installer and running his own audio company -- along with a lifelong fascination with electronics and computers -- prepared Scott well for his current position. Since graduating in 1986 with honors from California State University, Northridge with a degree in Radio-Television- Film, his professional endeavors have encompassed magazines, radio, TV, film, records, teletext, books, the Internet and more. In 2005, Scott captured the prestigious Western Publisher Maggie Award for Best Interview/Profile Trade for "9/11 Hero Tells Tale of Loses, Lessons," his October 2004 interview with former FDNY Commander Richard Picciotto, the last man to escape the Ground Zero destruction alive.
Contact Scott Goldfine: sgoldfine@ehpub.com
View More by Scott Goldfine
Business Tools, Economic Recovery, Operations & Opportunities Report OOR, Recession, Research - Security STATS, Surveys


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