Steady growth for access control systems

Access & Identity Management Handbook 2011 Access Control & Identity Management

Greater integration supports growth of electronic access control systems market in South Africa.

Electronic access control systems in South Africa have been gaining prominence in the last decade. Their success has been derived from the sophistication and rugged security they offer. Furthermore, flexibility in their deployment offers customers almost infinite reconfiguring options for various scenarios.

Analysis from Frost & Sullivan finds that the South African market for access control earned revenues of $29,9 million in 2008 at an annual growth rate of 6,3%. The market revenue is expected to grow at a compound annual growth rate (CAGR) of 7,3% from 2008 to 2015, to reach $49,0 million. The end user sectors covered in this research are mining, financial services, manufacturing, retail and public.

“The readiness to adopt technology to maintain security, both by the public sector as well as private corporations, is a positive trend,” says Frost & Sullivan analyst, Sostina Shiri. “This has established the credibility of technologies such as smartcards and biometrics in providing the most foolproof authenticating mechanisms available in the global security space.”

There is a high level of integration of access control, not only with other security systems, but also with systems such as heating, ventilation and air conditioning (HVAC), building management systems and lighting equipment. Standalone systems are gradually becoming outdated, as most customers are slowly migrating to integrated systems.

However, just as in any other technology market, the South African access control systems market is threatened by the influx of low-cost Chinese products. These are rarely reliable and have risky return on investment (ROI). Such products affect the credibility of the respective technologies among the users who adopt them.

“Existing investments in legacy systems are deterring organisations from upgrading their systems before the end of the lifetime of such systems,” explains Shiri. “However, with the advent of newer technologies, backward compatibility with legacy systems becomes a necessity.”

This is pivotal in reducing costs for customers. In the case of new installations, mutual compatibility of the different access control systems that are installed as multiple layers is critical for the efficient functioning of the system.

“Technological innovation results in better functions, operational improvements, and the availability of innovative features, making the products more attractive for end users,” concludes Shiri. “End users are becoming increasingly aware of the various benefits and cost efficiencies associated with the use of new technologies.”

South African market for Access Control: Analysis by Technology Market is part of the Automatic Identification and Security Growth Partnership Services programme, which also includes research in the following markets: South African Security Systems and Services Market: An Analysis of the Top Five Vertical Industries, South African Fire Detection and Suppression Systems Market, and South African Security Systems and Services Market: A Voice of Customer Analysis.

For more information contact Frost & Sullivan, +27 (0)21 680 3566, [email protected], www.frost.com





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