Global Security Equipment

Global Security Equipment

Global demand for security equipment is forecast to increase 1.8% per year to $157 billion in 2027. An increase in unit sales will drive market value growth, as product prices are expected to decline from elevated 2022 levels as supply chain issues associated with the COVID-19 pandemic are resolved. Sales gains will also be supported by rising building construction activity and increased penetration of electronic security products.

Video Surveillance Equipment to Post Fastest Growth

Strong growth for video surveillance products is expected in both nonresidential and residential markets. For nonresidential users, increased adoption will be supported by the greater potential for video surveillance systems to provide value-added functionality via the use of predictive analytics and falling data costs.

Residential markets for video surveillance equipment have historically been under-penetrated, but have grown rapidly in recent years – particularly in higher income nations – with the introduction of consumer-oriented products like video doorbells. These products, which can be monitored and operated via typical smartphones and tablet computers, represent an important growth segment through the forecast period.

Historically, rising adoption of video surveillance products has been supported by an ongoing trend of declining prices. While this trend was interrupted during the COVID-19 pandemic, it is expected that price declines will resume and these products will continue to become more affordable going forward.

Broad Opportunities for Access Controls & Electromechanical Locks
Access control systems and electromechanical locks are commonly used in conjunction with each other and represent complementary products. These systems are expected to become increasingly popular, with sales of card-based access control systems posting significant absolute gains and penetration of biometric access controls expanding. Use of card-based access controls is being aided by their increasing ability to function via smartphone apps, which make granting, managing, and revoking access significantly easier.
Access controls and electromechanical locks also find relatively intensive use in some important growth segments, such as short-term rentals (e.g., Airbnbs) and flexible and shared workspaces, which are becoming increasingly common in the wake of the COVID-19 pandemic.

Building Automation & Smart Home Trends Providing Expanded Opportunities
A key driver of demand for security equipment across segments is the expanding ability of these products to integrate and interact with other building management systems. Increasingly, security systems are required to incorporate advanced analytics technology and operate in conjunction with other building systems, such as HVAC. In addition to driving greater sales of higher value equipment, these trends are providing opportunities for security equipment manufacturers to derive revenues from related functions, including software, systems integration, and “security as a service” programs. As a result, suppliers of security equipment are highly incentivized to develop and expand their technological competencies.

Study Description

This Freedonia industry study analyzes the $144 billion global security equipment industry. It presents historical demand data (2012, 2017, and 2022) and forecasts (2027 and 2032) by product (safety and security alarms, access controls, video surveillance equipment, contraband detection equipment, electronic article surveillance equipment, locks, other security equipment), market (commercial and industrial, government and institutional, residential and consumer), and region (North America, Central and South America, Western Europe, Eastern Europe, Asia/Pacific, Africa/Mideast). The study discusses the impact of the COVID-19 pandemic. The study also evaluates company market share and competitive analysis on industry competitors including ASSA ABLOY, Bosch, Dahua Technology, Dormakaba, Hangzhou Hikvision, and Johnson Controls.