SecurityWorldMarket

28/01/2022

Physical security market predicted for $140 b by 2026

Northbrook, Il (USA)

According to the latest information from Marketsandmarkets, the physical security market (with Covid impact) is expected to grow from USD 102.7 billion in 2021 to USD 140.0 billion by 2026, at a CAGR of 6.4% from 2021 to 2026.

Rising instances of terrorist activities and security breaches to physical systems, increasing use of IP-based cameras for video surveillance, and increasing cyber threats to physical security systems are cited by the researchers as factors that could provide lucrative opportunities for physical security market vendors over the forecast period.

Managed services segment to hold the largest share

Modern business environments require proficient handling of their business processes by implementing tested solutions across organisations. The increased time consumption, the lack of resources, and the overhead costs involved in managing in-house services force organisations to outsource certain processes. Managed service providers not only ensure the security of critical business information but also ensure the smooth functioning of business operations.

Managed service providers help customers and keep their physical security systems, solutions, hardware, and software updated with the latest available enhancements. The in-house capabilities of customers are enhanced, as MSPs safeguard physical and IT system assets.

Retail is the strongest vertical

The retail vertical is a part of the country’s economy and deals with selling goods to customers through physical stores or via the internet. The retail and Ecommerce verticals are one of the largest verticals across the globe. This vertical includes many entities, such as online and offline retailers, manufacturers, distribution channels, and consumers. Earlier CCTV surveillance was a major security measure in retail stores, which was used for only video surveillance to prevent theft issue. However, now, this surveillance system is being combined with strong video analytics systems. Modern video analytics can count people and also create heat maps. These maps will help show which parts of the store generate the most foot traffic. According to this product placements can be optimised and in-store traffic flows to encourage sales. These insights will help the retail industry to not only secure the premises but also to enhance the profitability.

Geographical strength in the APAC region 

In APAC, physical security systems are becoming rapidly popular because of the increasing crime rate in the area. The concerns related to security have risen especially in China, India, Australia, and India. It is not about just crimes such as homicides and thefts but also terrorist attacks. Hence, to handle this situation, the government in many of these countries is supporting the deployment of physical security systems.

APAC is home to 60% of the world’s cities. The region is witnessing the large development of smart cities. Countries such as China have invested heavily in smart city programmes. It is planning to spend USD 39 billion on smart cities. The Covid-19 pandemic has disrupted the supply chains, increased distributed terrorist threats, and imposed travel restrictions. Cities integrating smart technologies need to overcome the challenges of physical security infrastructure. As smart cities are growing in popularity day by day, how to provide perfect security solutions to citizens in smart cities is still a challenge. Planners and developers are considering new networks and systems to capture high-quality video, which can be monitored from one location. This CCTV network can be connected to emergency services, such as police stations and used to stop crime. This network allows police forces and law enforcement to have ‘eyes’ where they did not before. Smart cities can reduce significant rate of crime with virtual policing and home security systems.

Strongest players

Major vendors in the global physical security market and included in this report include the likes of ADT, Cisco, Honeywell, Johnson Controls, Genetec, Bosch, HID Global, Pelco, Hikvision, Gallagher, Secom, Allied Universal, Zhejiang Dahua Technology, Stanley Security, Axis Communications, Hanwha Techwin, Teledyne Flir, BAE Systems, Huawei, NEC and Qognify.


Tags

Product Suppliers
Back to top