Physical Security Market Growing At 5.2 Per Cent
In APAC residential and SME applications will continue to be a significant driver of growth.
The Physical Security Market – Global Forecast to 2025 Report from MarketsandMarkets argues global market size is expected to grow between $US84.2 billion in 2018 to $120.3 billion by 2025, at a compound annual growth rate of 5.2 per cent.
The forecast covers systems (PACS, PSIM, PIAM, video surveillance, fire and life safety) and services (ACAAS, VSAAS, remote monitoring, security systems integration).
Drivers are seen to be rising incidents of terror attacks, technological advancements and deployment of wireless technology in security systems, and increasing use of Internet Protocol (IP)-based cameras for video surveillance are expected to drive the overall growth of the physical security market across the globe. Based on component, the services segment is expected to grow with the fastest growth rate in 2020.
Physical security services play a vital role in enhancing the existing video surveillance system by integrating digital video surveillance with network and IT systems. This integration enhances property safety and reduces loss from thefts. Moreover, the service segment is being continuously affected by the introduction of the integrated social, mobile, analytics, and cloud (SMAC) solutions, which need professional monitoring.
Large enterprises segment is expected to lead the physical security market in 2020. These enterprises were the early adopters of physical security solutions and services, as they have a larger revenue pool to spend and a larger infrastructure to be protected. High spending on security, followed by the high need for securing large assets is leading large enterprises to contribute to a higher market share in the physical security market.
In residential premises, the implementation of access control and video surveillance security systems is growing. The residential properties are installing access control systems to prevent invasion and burglary. There is also an increasing demand for access control systems to minimize unauthorized access. Residential properties are increasingly adopting electronic lock-based access control systems. The demand for electronic products is growing with the increased home automation trend.
The APAC physical security market is projected to grow at the highest CAGR during the forecast period. This growth is primarily driven by the rising adoption of access control systems in SMEs, hospitality businesses, airports, ATMs, banks, residential buildings, and religious places, among others are expected to drive the physical security market. Security systems are expected to witness increasing adoption in APAC as the countries in the region are emerging economies with a growing number of manufacturing bases.
According to report authors, video analytics will be a key driver of efficiencies and new functionalities across integrated security systems.