Video surveillance distributors face increasing competition

February 2013 News & Events

It is not easy being a distributor of video surveillance equipment. They usually finance the supply chain, bear the commercial risk of stock being unsold, and, according to new reports from IMS Research, face increasing competition. Still, at least their market is growing quickly. The reports, 'The EMEA distribution market for video surveillance equipment' and 'The Americas distribution market for video surveillance equipment' forecast that both these markets will grow at an average annual rate of more than 10% to 2016.

Much of the newer competition is coming from IT distributors. The video surveillance market has been gradually migrating from analogue equipment to network equipment. IT distributors have therefore started to recognise video surveillance equipment as IT devices and a potential new revenue stream.

According to report author and IMS Research Analyst Jon Cropley, “It is generally recognised that distributors are responsible for transporting video surveillance equipment from manufacturers to installers and systems integrators. They are less well known for other functions that they sometimes perform like advertising and promoting offers and product announcements, on-going technical support, and operating physical locations where products can be viewed and purchased.”

Distributors reflect the level of their involvement in the price they charge. This price is typically a fixed percentage of the equipment selling price and is known as the ‘distributor margin.’ IT distributors are generally used to operating at lower margins than security distributors (although security distributors claim that IT distributors offer fewer functions). This is placing average margins for distribution of video surveillance equipment under pressure.

IT distributors have already gained a firm foothold in the video surveillance supply chain. It is estimated that they accounted for almost 15% of the distribution market in EMEA in 2011 and an even higher percentage in the Americas. What is more, they are not alone. IT value added resellers and broadline electrical distributors are getting in on the action too. This, combined with the fact that some system integrators try to perform the role of distributor themselves, means that competition for distribution of video surveillance equipment is truly intense.

For more information contact IMS Research, +44 1933 402 255, [email protected], www.imsresearch.com





Share this article:
Share via emailShare via LinkedInPrint this page



Further reading:

Highest increase in global cyberattacks in two years
Information Security News & Events
Check Point Global Research released new data on Q2 2024 cyber-attack trends, noting a 30% global increase in Q2 2024, with Africa experiencing the highest average weekly per organisation.

Read more...
The power of PKI and private sector innovation
Access Control & Identity Management News & Events Government and Parastatal (Industry)
At the recent ID4Africa 2025 Summit in Addis Ababa, the spotlight was firmly on building secure, inclusive, and scalable digital identity ecosystems for the African continent.

Read more...
Bosch Security renamed Keenfinity
News & Events
Globally renowned brands for video systems, access control and intrusion alarm systems, as well as communication systems, unite under the roof of the new company Keenfinity Group.

Read more...
2025 video surveillance market set for improved fortunes
News & Events Surveillance
Novaira Insights has unveiled its latest report, World Market for Video Surveillance Hardware and Software – 2025 Edition, forecasting a healthy growth rate of 8,1% until 2029, excluding China.

Read more...
Wialon announces integration with fleet maintenance and optimisation platform
News & Events Transport (Industry) Logistics (Industry)
Fleet management software platform integrates with a fleet maintenance and optimisation platform to support mutual customers for better workflows and deeper insights into fleet operations.

Read more...
DeepSneak deception
Information Security News & Events
Kaspersky Global Research & Analysis researchers have discovered a new malicious campaign which is distributing a Trojan through a fake DeepSeek-R1 Large Language Model (LLM) app for PCs.

Read more...
Almost 50% of companies choose to pay the ransom
News & Events Information Security
This year’s Sophos State of Ransomware 2025 report found that nearly 50% of companies paid the ransom to get their data back, the second-highest rate of ransom payment for ransom demands in six years.

Read more...
Value and industry insight
Securex South Africa Training & Education News & Events
Securex South Africa 2025, co-located with A-OSH EXPO, Facilities Management Expo, and Firexpo, drew thousands of security professionals from across the continent and beyond, offering a platform for networking, product discovery, and knowledge sharing.

Read more...
Gallagher Security achieves ISO 27001 recertification
News & Events Training & Education
Gallagher Security has successfully achieved certification to the updated ISO/IEC 27001:2022 standard for Information Security Management Systems (ISMS). This accomplishment builds on previous certifications and reflects a continued commitment to the highest standards of information security.

Read more...
Survey highlights cost of cyberdamage to industrial companies
Kaspersky Information Security News & Events
The majority of industrial organisations estimate their financial losses caused by cyberattacks to be over $1 million, while almost one in four report losses exceeding $5 million, and for some, it surpasses $10 million.

Read more...










While every effort has been made to ensure the accuracy of the information contained herein, the publisher and its agents cannot be held responsible for any errors contained, or any loss incurred as a result. Articles published do not necessarily reflect the views of the publishers. The editor reserves the right to alter or cut copy. Articles submitted are deemed to have been cleared for publication. Advertisements and company contact details are published as provided by the advertiser. Technews Publishing (Pty) Ltd cannot be held responsible for the accuracy or veracity of supplied material.




© Technews Publishing (Pty) Ltd. | All Rights Reserved.