Budgets for Physical Security Equipment Are Increasing for End Users

A survey, completed primarily at the end user management level, solidifies trends seen in many IHS studies over the last 12 months.


IMS Research (acquired by IHS, Inc.)If the security boom is over then it seems that end users haven’t got the message, with 45% claiming that their security budget had increased during 2012, according to an end-user survey conducted by IMS Research, now part of IHS Inc.

In the survey of almost 200 representatives from end users of physical security equipment across North America, 44% also said that their annual budget exceeded $100,000. Another 20% exceeded $500,000 a year.

“It’s clear that end users are still feeling the risk to their facilities —and that means there’s plenty of opportunity for manufacturers of physical security equipment,” said Niall Jenkins, manager for video surveillance and security services research at IHS.  “Just having a budget available was actually one of the top two reasons for end users paying to replace or upgrade their systems as well.”

The survey, completed primarily at the end user management level, solidifies trends seen in many IHS studies over the last 12 months.  “We’ve been interviewing physical security equipment manufacturers since 2003, and while growth has slowed in recent years, they are still seeing growth across the different physical security markets” remarked Jenkins. 

Even so, unlocking budgets while also satisfying end users isn’t without its troubles for manufacturers. One important concern noted by survey respondents was that technology advancements meant that the equipment consumers bought became unsupported too soon by manufacturers.

What’s clear is that with the appropriate product and proper support, a growing security equipment market for end users exists for manufacturers to work with. “Budgets either stayed the same or increased last year for those that spent approximately $200,000 and also for 85% of the overall market,” Jenkins noted. “I wouldn’t say that the security boom is over just yet.”

No comments
The Engineers' Choice Awards highlight some of the best new control, instrumentation and automation products as chosen by...
The System Integrator Giants program lists the top 100 system integrators among companies listed in CFE Media's Global System Integrator Database.
The Engineering Leaders Under 40 program identifies and gives recognition to young engineers who...
This eGuide illustrates solutions, applications and benefits of machine vision systems.
Learn how to increase device reliability in harsh environments and decrease unplanned system downtime.
This eGuide contains a series of articles and videos that considers theoretical and practical; immediate needs and a look into the future.
Choosing controllers: PLCs, PACs, IPCs, DCS? What's best for your application?; Wireless trends; Design, integration; Manufacturing Day; Product Exclusive
Variable speed drives: Smooth, efficient, electrically quite motion control; Process control upgrades; Mobile intelligence; Product finalists: Vote now; Product Exclusives
Machine design tips: Pneumatic or electric; Software upgrades; Ethernet advantages; Additive manufacturing; Engineering Leaders; Product exclusives: PLC, HMI, IO
This article collection contains the 5 most referenced articles on improving the use of PID.
Learn how Industry 4.0 adds supply chain efficiency, optimizes pricing, improves quality, and more.

Find and connect with the most suitable service provider for your unique application. Start searching the Global System Integrator Database Now!

Cyber security cost-efficient for industrial control systems; Extracting full value from operational data; Managing cyber security risks
Drilling for Big Data: Managing the flow of information; Big data drilldown series: Challenge and opportunity; OT to IT: Creating a circle of improvement; Industry loses best workers, again
Pipeline vulnerabilities? Securing hydrocarbon transit; Predictive analytics hit the mainstream; Dirty pipelines decrease flow, production—pig your line; Ensuring pipeline physical and cyber security