The global home security system market is projected to grow at a remarkable rate of above 13% during the forecast period as the rising incidents of security concerns have led to increased safety measures by residential dwellings. Advancement in technology and emergence of smart homes has led to the rise of integrated home security systems, which can be connected to smartphones and enable the monitoring of residences from remote locations.
With the improving economic conditions in Europe, vendors in the market are increasingly investing in R&D. The market is witnessing the introduction of many innovative applications and solutions such as advances in video asset management solutions. In addition, the main aim of vendors is to reduce the cost of expansion, storage, and maintenance of security solutions. The changes in consumer preferences are forcing vendors to deliver innovative residential security solutions with high efficiency to survive the commoditization in the market. This trend will help Europe to stay competitive in the market among other regions.
According to the Global Home Security System Market 2015-2019 report, insurance companies offer discounts on home insurance to people who have a monitored security system installed. The discount depends on the features and sophistication of the system. According the Insurance Information Institute the discount ranges from 15% to 30%. The discount offered is substantial enough to cover monitoring and installation costs to some extent. Installation of smoke detectors, carbon monoxide detectors, and burglar alarms leads to reduction in insurance premiums and can make the adoption of home security more economical the end-user.
With a market share of over 48% in 2014, the Americas dominated the home security system market, followed by APAC and EMEA. Following the burgeoning trend towards smart homes and smart products, people are investing increasingly on smart home security products and solutions.
The home security system market is fairly concentrated with a few major players holding the majority of the market share. The innovation in technology and products among the leading vendors plays an essential role in the growth of the market. The market also exhibits a considerable influx of private labels and startups in the market, especially in the DIY home security products market.
