PITTSBURGH — With its purchase of Industry Retail Group (IRG), a provider of managed network services, Vector Security will expand its business intelligence offerings and services to provide turnkey solutions for retailers and multisite businesses.
Established in 2004, Bethesda, Md.-based IRG provides broadband and broadband-centric services, such as hosted VoIP, hotspot and enterprise Wi-Fi solutions, and IP video solutions, to Fortune 1,000 retailers, quick-serve restaurants and convenience store chains.
As part of the deal, Vector Security now has access to IRG’s more than 75 retail and multisite clients, including some well-known brands such as American Eagle Outfitters, Macaroni Grill and Swarovski. With the average IRG customer having between 400 to 1,200 sites, the deal positions Vector Security as a single-source provider of custom tailored solutions, rather than customers seeking out multiple vendors, Vector Security CEO Pam Petrow tells SSI.
“There is a great opportunity for cross-selling between both companies,” she explains. “IRG’s industry-leading network solutions, coupled with Vector Security’s physical security solutions and analytics allows us to provide customers with business intelligence that no other security vendor can provide.”
IT managed services allow end users to leverage business intelligence for enhancing internal operations, marketing, finance, merchandising, as well as security objectives, Petrow explains.
Vector Security first ventured into the managed network services space in January 2012 when it struck a partnership with Spacenet, a data network services provider. Through the collaboration, Vector learned much about the sales process and types of IT-based services sought after by retail customers. Ultimately, Vector discovered its customer wanted more offerings that it could logistically provide.
“We didn’t have the skillset in-house to do what we wanted to be able to control that [demand],” Petrow explains. “So, we started looking for an acquisition that would allow us to bring that expertise in-house.”
Petrow, who will assume responsibility over IRG and Vector Security, declined to say how much recurring revenue the deal brings in for the company. The entire IRG team, including CEO Mike Luzio, will join Vector’s 1,500+ employee base. IRG, which will remain an independent company, will work closely with Vector’s National Accounts team and will operate out of Warrendale, Pa.
Ashley Willis is associate editor for SECURITY SALES & INTEGRATION magazine. She can be reached at (310) 533-2419.