1 6 · d e t e k t o r i n t e r n a t i o n a l
security
technology market
market is continually improving,
and there is a huge demand for
physical security solutions and ser
vices in almost every industry. The
current services, such as remote
management, security consulting,
and technical support, are suitable
for usage in almost every vertical.
Some of the advanced products
are next generation analytics and
infinite storage devices. In the
recent times, there has been con
tinuous innovation in this market.
Ubiquitous sensor, smarter devices,
and cloud technology are some of
the emerging technologies in the
physical security market.
MarketsandMarkets is a global
market research and consulting com
pany based in the U.S that publishes
strategically analysed market research
reports and serves as a business
intelligence partner to Fortune 500
companies across the world.
ist attacks and sabotages on critical
infrastructure zones, the spend
ing on physical security solutions
and services will increase in the
coming years. Besides, an increase
in market acceptance for such solu
tions and services will be fuelling
its growth. End users or consumers
are not only looking for various
devices, but they are increasingly
interested in tailor made solutions
and integrated packages.
Huge demand
The recent trends in the industry
shows that the physical security
In the Physical Security market,
a wide range of products and
services, such as video surveillance,
access control, biometrics, remote
management, technical support,
security consulting, are included.
Biometrics holds a major share in
the products range. It is expected
that the access control market will
continue to grow at a higher pace.
The physical security market will
witness a good growth trend in de
veloping economies. There will be a
rise in demand for physical security
solutions and services in these
regions. With an increase in terror
Physicalsecuritymarkettoreachover$85bin2018
Dallas, Tx (USA)
A new market study from MarketsandMarkets
reports that the global physical security market is ex-
pected to grow from $55.59 billion in 2013 to $85.51
billion in 2018, at a CAGR of 9.0% from 2013 to 2018.
Globalsecurityproductmarketworth$23.4billion
London, UK
The total value of world production of security prod-
ucts at factory gate prices in 2013 was $23.4 billion.
If one compares these figures with 2008, the world
market has grown at a rate of around 4.5% over
the last 5 years, which is very good given the poor
economic trading conditions that have prevailed for
much of that time, according to a new report from
Memoori Research.
The two major drivers have been
a 12% aggregate growth in video
surveillance and higher levels
of demand in Asia, which has
increased its share to over 39%
for all physical security systems.
Growth has been much more
modest in North America and
Western Europe; currently the
developed markets of Europe,
Scandinavia and North America
take some 47% of the value of the
business, 2% down on last year.
Growing market
Memoori are forecasting a growth
rate of 8% over the next 5 year
period with the market reaching
$32.2 billion by 2017. This could
be considered optimistic but there
is an enormous latent demand
waiting to be exploited in the
emerging markets of the world.
In Europe, public sector budg
ets will be trimmed to help pay
off sovereign debt. This will result
in an almost certain decline in
demand in the public sector across
several EU countries. However
the fast growing markets of Asia
and other BRIC countries will
continue to expand.
The security industry is in
a much healthier state with a
product portfolio that can deliver
more attractive opportunities for
clients to improve security and at
the same time profit from it. The
measure of penetration of security
products in any country is an im
portant factor to establish; because
it sets a benchmark for the latent
potential that is available. This has
a major bearing on future growth.
Diagram 1 shows four major
regions in the world compared
on a matrix of physical security
products per capita against GDP
per capita estimated for 2012.
China is hot
In China sales per capita was
$3.34 in 2013 showing that
the potential for future growth
is significant. This market has
forged ahead at the highest rates
of growth recorded in our indus
try and its aggregate growth over
the last five years has not slowed
down. However despite the fact
that its penetration has increased
by almost 60% during this time
it is still only one sixth of North
America.
Cutting edge
Are major conglomerates losing
interest in the security busi
ness? Well, most have made
major acquisitions in their
other businesses and they are cash
rich. Looking forward they are
in a strong position to access the
future growth most of which will
come from Asia and the emerging
markets but only if they can offer
leading edge technology products.
Memoori believe that in the
relative short term of the next two
years they will need to take action
either to acquire leading edge
technology companies or sell their
products business and concentrate
on their systems business.
For more information about the report
and ordering details: www.armedia.se,
info@armedia.se, +46 (0) 8 556 306 80.
The four big regions in the world. A comparison between the value of sold security
products per capita and the regions' GDP per capita.
The global physical
security market is
expected to grow.
www.kentima.com