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Reditron enhances its approach to electronic security, adds access control to its stable

Reditron, acquired in September 1996 by Norbain of the UK, (the largest distributor of electronic security equipment in Europe, with its own Vista branded CCTV products included in its range) is the largest supplier of CCTV systems in South Africa. In an interesting move which is bound to cause a stir in the security industry, Reditron has added access control to its stable.

Reditron, acquired in September 1996 by Norbain plc of the UK, (the largest distributor of electronic security equipment in Europe, with its own Vista branded CCTV products included in its range) is the largest supplier of CCTV systems in South Africa. In an interesting move which is bound to cause a stir in the security industry, Reditron has added access control to its stable.

Hi-Tech Security Systems finds out why.

[HSS] Reditron and ControlSoft have recently formalised an agreement which will see Reditron adding ControlSoft's access control systems to its product range. From a business perspective, what exactly does the agreement entail?

[John Loftus, MD Reditron] The agreement is currently a straightforward distribution agreement, whereby Reditron will promote ControlSoft's products to its extensive client base. Reditron will provide front line support on the products and carry sufficient stock of ControlSoft's products to meet market demands.

Training from ControlSoft has been extensive to date from both a sales and technical perspective. Reditron is fortunate enough to have technical staff currently employed, with the relevant formal IT training and experience.

The distribution agreement is currently for South Africa although the possibility of exporting ControlSoft products to other Norbain subsidiaries is being explored. ControlSoft will continue to sell to certain of their client base. Reditron are, however, exclusive distributors in terms of other distributors not being granted the rights to sell ControlSoft products.

[HSS] Reditron has for many years been synonymous with CCTV. Why the addition of access control, and why now?

[JL] Growing our business is part of our corporate responsibility. Our parent company in the UK is one of the largest distributors of access control products in Europe. It was logical that we would follow their example and learn from their success.

Reditron actively sought out a supplier that met its criteria in terms of quality, supply reliability, a commitment to ongoing development and with an established reputation in this country. ControlSoft met those criteria.

We do not see access control as a shift in focus but rather as an enhancement of our approach to electronic security. The current trend internationally is towards complete solutions from single large suppliers with the necessary resources and skills to meet market demands.

[HSS] What other areas do you envisage Reditron actively focusing its attention on, if a strategic broadening of its focus is on the cards?

[JL] Our only other plans for this year in terms of diversifying our product offerings is the introduction of the VISTA EAS system (tagging) which we believe will have a significant impact on the retail market as it is both competitively priced and technologically competitive.

Norbain has very successfully integrated all electronic security products into its product ranges. The only exception being alarm systems which hold no attraction for us at all. Our current offerings augment each other extremely well and contribute to our goal of being an integrated solutions provider.

[HSS] What is your view on the growth potential of the CCTV market in South Africa, and how do you see your foray into access control impacting Reditron's growth?

[JL] CCTV in South Africa is without doubt a growth industry. Accurate growth figures are hard to come by but we estimate the market growing at a rate in excess of 20% per annum and we will hopefully continue to grow at a rate faster than the market.

The introduction of access control products should have an impact on our growth and should enhance our ability to continue increasing our relative market share. It is early days yet to determine the extent of the impact but we are quietly confident that we will meet our expectations.

[HSS] Given the recent flurry of activity on the local bourse, as well as ongoing consolidation in the industry (worldwide), does Reditron plan to become a public company in the future?

[JL] Reditron is a wholly owned subsidiary of Norbain, listed on the London Stock Exchange. Going public in two separate markets with all of the contingent responsibilities currently makes no sense.

"Norbain has very successfully integrated all electronic security products into its product ranges. Our current offerings augment each other extremely well and contribute to our goal of being an integrated solutions provider."

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