Market Research Report: Security Equipments and Services Market in India 2010

Security Equipment and Services Market – India

August 2010

2SECURITY EQUIPMENT AND SERVICES MARKET - INDIA.PPT

SAMPLE

Executive Summary

Market

Segment

Driver &

Challenges

Competition

� Security equipments includes CCTV (d%), Intercom (e%), Intrusion detection (f%) and others (g%)

� Electronic access control market covers

– Biometrics is a foolproof system best suited for the private and Government sector organizations

– Smart Card is used in the financial services, public sector market and transportation market

– Proximity card is used in identification cards, payment cards and public transit fare cards

– Magnetic Strip technology provides a medium level of security as it can be duplicated

� Demand for security equipment in corporate and households has increased and is pegged at INR A bn in 20—

� Due to increase in terrorism, domestic theft and violence, electronic access control systems have huge opportunity

to grow in the future and is estimated to be INR B bn in 20--

� Private security service primarily include manned guards, detective services, investigation and security

consultancies is experiencing high growth rate and is valued at INR C bn in 20--

CCTV and other Equipment

� Driver

– Government demand

– Corporate demand

– Retail and residential sector demand

� Challenges

– High duty and taxation structure

– Competition from unorganized players

Private Security Services

� Driver

– Insufficient Police Protection

– Cost of Electronics

� Challenges

– Lack of proper training

– Fire arms not allowed

Electronics Access Control Equipments

� Driver

– Increasing security breaches

– Demand from upcoming government projects and proposals

– Economic growth and rise in employable population

– Demand for better security from increasing R&D centers

� Challenges

– Lack of awareness towards security and availability of cheaper alternatives

– Lack of end to end solution providers

Company 4Company 2 Company 3Company 1

Foreign PlayerDomestics Player


•Market Introduction

•Market Overview

•Types of Products

•Business Model

•Driver & Challenges

•Future Outlook

•Competition


SAMPLE

Market Introduction – Products and Services

Security Equipment and Services

CCTV

Intercom

Intrusion Detection

Others (X-Ray, Metal

Detector)

Biometrics

Electronics Access Control

Equipments

Smart Card

Proximity Card

Swipe Card

Manned Security Service

Private Security Services

Detective Service

ATM Security

Cash Transportation

VIP Security

Special Event Security

Management

(Exhibition, Marriage,

Common Wealth Game)

CCTV and other Equipment


SAMPLE

s%

p%

Product 1q%

Product 2r%

Product 3

Product 4

Demand for CCTV & other equipment is robust and growth

is expected to accelerate in the future

• Demand for security equipment in corporate, for

infrastructure and in household has increased many

folds in recent time

� These equipments include Close Circuit Camera (CCTV),

Intrusion Detection, Intercom and others (Metal Detector

and X-Ray’s)

• Market is pegged at INR a bn in 20-- and is estimated

to grow at B% CAGR

� However, following the terror attacks, security spending is

expected to surge by D%

• India is an import-driven market with ~E% of security

and surveillance equipment imported by foreign

manufacturers with local presence or domestic

importers/distributors

Overview – CCTV & Other Equipment Estimated Market Size and Growth*

0

20

40

60

80

20--

H

20--

I

20--

K

20--

L

20--

M

20--

N

20--

f%

J

INR bn

Market Segmentation


SAMPLE

Awareness among corporate about security is creating huge

demand for electronic access systems

• The early adopters for electronic access control were

IT/ITES (Call centers/BPO )

• Electronic access control equipments have gradually

gained popularity among major corporations

� With the increase in employees, it has become difficult for

corporations to manage security manually and are thus

resorting to electronic security systems

� Various banks, financial services, insurance, service

industry, government agencies, public sector undertakings,

ministries and manufacturing sector are adopting

electronic access control mechanism

• Some electronic access control systems includes Card

Based (Proximity Cards, Smart Cards, Legacy

Technology Based Cards), Biometrics Based

(Fingerprint, Face Recognition, Voice/Signature

Verification, Hand Geometry, & Iris Recognition)

Overview – Electronic Access Control Market Size and Growth

0

2

4

6

8

10

12

A

20--

B

20--

C

20--

D

20--

m%

INR bn

e% Product 1

h%

Product 2

g%

Product 3

f%

Product 4

Market Segmentation


SAMPLE

Private security business is experiencing huge demand

primarily due to terror threats

• Private security service primarily include manned

guards, detective services, investigation and security

consultancies

• Manned based security service is experiencing high

growth rate primarily due to threat form terror

groups

� Demand for security service has surged after terror attack

� Private Security workforce in India is ~K mn

– Only 20% of workforce is constituted by women

– Ratio of private security personnel to police in India is p:q and will

soon reach r:s

• Besides hospitality industry, demand is driven by

private firms in manufacturing, retail, real estate,

hospital as well as schools and colleges

Overview – Private Security Service Market Size and Growth

0

20

40

60

80

100

A

20--

B

20--

C

20--

D

20--

E

20--

c%

INR bn

Segmented Market Share

g%

Organized

f%

Unorganized


Drivers & Challenges – CCTV & Other Equipment

Retail and residential sector demand

Corporate demand

Government demand

Drivers

Competition from unorganized players

High duty and taxation structure

Challenges


Drivers & Challenges – Electronic Access Control

Drivers

Increasing security breaches

Demand from upcoming government

projects and proposals

Economic growth and rise in

employable population

Demand for better security from

increasing R&D centres

Challenges

Lack of awareness towards security

and availability of cheaper

alternatives

Lack of end to end solution providers


Drivers & Challenges – Private Security Service

Drivers

Insufficient Police Protection

Cost of Electronics

Challenges

Lack of proper training

Fire arms not allowed


SAMPLE

Domestic Players in the Market (1/26)

Corporate Information Financial Performance

Headquarters Hyderabad, Andhra Pradesh

Founded 19--

Product Biometric, Smart Card

Key People Person 1

Company Snapshot: Company 1

Business Highlights

• Offers labeling solution to the Automatic Identification and Data Capture (AIDC) industry in the form of barcode labels

and new RFID 'smart labels'

• They are India’s first and only smart card manufacturing unit as of now, having 100% EOU status from Government of

India

• BIL has not confined itself to smart cards & barcodes but has also diversified into Auto ID Technology and RFID

Technology

• It has been awarded a smart card based financial inclusion project by five associate Banks (SBBJ, SBIn, SBM, SBP and

SBT) of State Bank of India

• Bartronics is engaged with East Coast Railways, working on the RFID technology for railway wagon tracking

0

2000

4000

6000

8000

10000

0

500

1000

1500

20-- 20-- 20--

Total Revenue

Net ProfitINR mn

20--

INR mn


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