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: Richard Bielen, PE Division Manager, Fire Protection Systems, National Fire Protection Association (NFPA).
What do you expect will be the biggest changes, challenges and/or opportunities as they relate to security technology, markets and business for suppliers and integrators?
Richard Bielen: I think security over the Web will be challenging as more and more of the technology seems to be using the Internet for communications. These can be challenging times to ensure a secure connection is available and cannot be compromised. Homeland Security still is and will continue to be a concern. This will lead to more equipment being needed and will also spark a need for technological development. Perhaps on a lesser scale, the baby boomers are retiring and I believe this will result in an increase in sales for residential security systems. Cost will be a big factor for manufacturers and suppliers. The cost to produce goods in the United States is very high and cannot compete with the cost to produce the products in Asia. Labor costs will continue to rise for integrators and dealers. This includes the cost of health care, organized labor and additional burdens the business community must face as a result of new federal regulations.
What type of year are you anticipating overall in 2013?
Bielen: As the economy continues to be weak, so will the security industry. Corporations and people in general are cutting back on spending and only doing what is necessary. Regulations that mandate security will help an increase in sales; however, I believe it is still tied to construction. If construction is down, so will be the industry.
Scott Goldfine
Other Security Blog Posts
Under Surveillance | June 14, 2013
The June issue of SECURITY SALES & INTEGRATION includes my rountable of several of the industry's leading wholesale products distributors ("The Wholesale Truth"). One of those featured was Tony Sorrentino Flink, president of ScanSource Security. The conversation with him is continued below as he discusses what's hot right now in the marketplace, and myriad services his company offers to help dealers and integrators take advantage of existing opportunities.
Under Surveillance | June 13, 2013
Jeremy Bates, owner and general manager of Bates Security, dishes out his top marketing tips.
Under Surveillance | June 13, 2013
Michael Flink, president of ADI Americas, addresses market opportunities and business tools the distributor is bringing to the security dealer/integrator channel.
Under Surveillance | June 12, 2013
Jim Annes, vice president and general manager for AVAD, discusses helpful services and technologies the distributor is bringing to the security dealer/integrator channel.
Central Station Corner | June 7, 2013
Monitoring Matters columnist Peter Giacalone discusses an area of security and revenue that is often overlooked — network monitoring and security.