How the Security Stars Will Align in 2015
SSI’s 2015 Industry Forecast shows well-run, forward-thinking companies are primed to seize prospects that have never been brighter.
Healthy growth in the mid- single to low-double digits is there for the taking for security dealers and integrators in 2015 – IF they rise to the prerequisites today’s marketplace demands. They include embracing new technologies and business models, recruiting and retaining talent, maximizing operational efficiencies, and providing customers with unimpeachable ROI propositions, tailored solutions and impeccable service. Before technology began to take off, competition became ram-pant and the recession hit, these qualities were recommendations – they are now imperatives. Those not onboard are seeing diminishing returns, with many getting out of the business amid an anticipated consolidation trend.
Those are some of the bracing takeaways proffered by the 20+ experts featured in SSI‘s annual Industry Forecast. “Welcome to the evolution. This is a grand opportunity that we haven’t seen in 20 years,” says ASG Security President & CEO Joe Nuccio. “New entrants coming in, pouring millions of dollars into advertising and messaging has created unprecedented awareness that we can ride on. The future is very, very good. Video and access will continue to dominate growth for the foreseeable years along with home automation. Bottom line is that dealers need to stay positioned and continue to stay relevant.”
Recent research by ASIS Int’l and the Institute of Finance and Management instills further confidence in the industry’s immediate future. According to The United States Security Industry: Size and Scope, Insights, Trends and Data 2014-2017, private end-user operational security spending is projected for 10.4% growth in 2015 (3.2% higher than the prior year) to $240.3 billion. In addition, 9.5% plan to spend more on integration services in the coming year, and spending on operational and IT security products and equipment combined is projected to increase from $66.1 billion to $73 billion (33.3% plan to spend more on video surveillance; 25% on access control).
Find out how wireless devices, mobility, the cloud, 4K video, NFC access control, 4G cellular, biometrics, health monitoring, homeland security, standards development and cybersecurity are reshaping the industry. These topics leap out from the six segmented categories of: Technology; Markets; Business & Operations; Security Industry; Regulations & Compliance; and Pressing Challenges.
2015: SECURITY TECHNOLOGY
Jim Coleman, Security-Net Board President & President of Operational Security Systems
Two big changes for the general technology industry are mobile communications and higher speed mobile networks. The security industry is figuring out how to leverage smartphones and tablets and we will see this take greater traction in 2015. Video analytics continues to mature and is ready for primetime in some application niches, such as for license plate recognition, facial recognition and general analytics built into cameras.
Fredrik Nilsson, G.M., Axis Communications
The technology in the physical security industry is greatly impacted by consumer electronics and IT technology. Hot technologies in the consumer space like Ultra HD 4K video will start impacting security during 2015. Near Field Communication can also be used for access control in the future. Another technology is the cloud, which everyone talks about, but few have a real plan for executing the implementation and understanding how it will affect their operations.
Intelligent, adaptive security devices like IP cameras that automatically adjust for the extremes of ultralow-light and intense light sources will become standard “go-to” products for public safety and event security. Entry screening technologies are getting noticed for private corporations. With the increase in border drug and controlled substance traffic, it has become commonplace for high-risk facilities to link mobile X-ray and backscatter technologies to live video feeds.
David Pakech, V.P. Sales, Fire-Lite Alarms, Silent Knight and Honeywell Power
In terms of the fire industry, a big challenge is code restrictions. Technology is changing so rapidly and the building and fire codes just can’t keep up. Case in point, there are now a variety of carbon monoxide detection options on the market, and there continue to be countless, unfortunate incidents where people have fallen victim to CO poisoning, yet many states are still not requiring this technology.
With more technologies being IP-based, cybersecurity has become a real threat. Just look at the recent hacking of people’s home video cameras as an example. However, IP technologies also present a lot more opportunities, such as the fire industry’s continued movement away from POTS lines for central station communication. Many of those new communications solutions are based on IP.
More technological changes rapidly evolving that will offer dealers more business opportunities involve PoE, mass notification, wireless and mobility.
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