Survey: Many end users see increasing security budgets

May 8, 2013
Despite slowing growth of overall market, opportunities remain across different verticals

The results a recent survey conducted by IMS Research, part of IHS Inc., found that the physical security budgets for many end users increased last year.

According to the survey, which included responses from nearly 200 end users across North America, 45 percent said that their budget increased during 2012. In addition, 44 percent of respondents said that their annual budget exceeded $100,000, while another 20 percent indicated that their budget 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,” Niall Jenkins, manager for video surveillance and security services research at IHS said in a statement.  “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.”

Though growth has slowed in recent years for the makers of physical security equipment, Jenkins noted that manufacturers are still seeing growth across different vertical markets.

“Budgets either stayed the same or increased last year for those that spent approximately $200,000 and also for 85 percent of the overall market,” Jenkins said. “I wouldn’t say that the security boom is over just yet.”

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