SDM Magazine Releases its Annual ‘State of the Market’ Forecast, Finds Security Industry Grew in 2021
SDM Magazine reported on its annual State of the Market forecast covering how the video security market changed in the last year. SDM found that prospects for the industry are optimistic, with video security growing significantly from 2020 to 2021 and growth is expected to continue in 2022. The report also found that sales of on-premise and cloud-based video security systems were rated 3.8 out of 5, up from 3.6 last year, topping the shortlist for rewarding market segments in 2021.
Video security systems have continued to see steady growth in revenue. The evolution of COVID-19 played a significant role in this growth, and as pandemic restrictions are lifting, security businesses continue to reap the benefits.
Additional findings included:
- 92 percent of responding integrators rated their confidence in video security systems as excellent or good.
- 84 percent of video monitoring businesses reported growth in 2021, and none reported a decline.
Supply chain uncertainty was the only drawback of the video security market causing headaches for integrators and customers when it comes to budgeting and installation. This is probably the biggest roadblock facing the industry that could hamper the growth of video security systems going forward. Forty-seven percent of respondents named the supply chain setbacks as the top challenge their companies face in 2022.
SDM asked integrators how they expect revenue from video security systems and video analytics to change in the next year. Results showed 64 percent predict revenue from video security systems to increase, which is up by six percentage points from the previous year. Additionally, retailers seeking shoplifting solutions benefited majorly, schools began using video security as a tool to prevent dangerous situations, and restaurants began utilizing video more as they bounced back from shutdowns the year before.
Hikvision noted in the article that it is positioning itself to take advantage of the growing need for security in an uncertain world. “We believe demand will remain strong as security systems continue to serve a vital role in today’s world,” says John Xiao, Hikvision Vice President of Marketing, in the article. “The need for security systems that solve real-world problems will remain, such as quicker identification of suspects with easier video searches — and those solutions that offer business intelligence, such as heat mapping and occupancy control. End users will be responsive to solutions that can deliver results in a variety of budgets and applications.”
To read the entire SDM Magazine article, “State of the Market,” click here.
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