This Frost & Sullivan research service titled Physical Security Market in Poland provides an analysis of market forces, the value chain and competitive landscape. In this research, Frost & Sullivan's expert analysts thoroughly examine the following technologies: intrusion detection (including monitoring), video surveillance (CCTV and IP) and access control. Among the market sectors included are electronic security products, product-related services and manned guarding services.
Heightened End-User Awareness and Continual Price Declines Support the Adoption of Physical Security Equipment in Poland
Market participants and end users are increasingly aware of the importance of technical security. This trend, coupled with the recent consolidation activities in the manned guarding market, is gradually causing a positive shift in the structure of the physical security market in Poland. While the economic slowdown decelerated growth rates, the subsequent lack of investments in the construction sector intensified pressures in the physical security market. Frost & Sullivan estimates that the market will recover from 2010. Recovery will gain momentum in 2011 and 2012, when projects started in 2010 are finalized, some of them being hotels, stadiums and public sites that will be of critical importance during the Euro 2012 championships.
“Growth is being driven by the falling prices of electronic security equipment and the consolidation of the manned guarding market,” said the analyst of this research. “Monitoring and IP technology offer highly innovative solutions that could, in the long term, drive the shift of the physical security market from manned- and product-based services to technical solutions.”
There are significant growth opportunities in monitoring systems and IP technology, with systems integrators emerging as the main candidates for rapidly saturating the IP market due to their pre-existing IT knowledge and business practices. Otherwise, manned guarding and installation companies are spurring the proliferation of intrusion detection and CCTV systems among end users, with the two technologies accounting for 90 per cent of the total revenues generated from the three technologies.
Focus to be on Enhancing Range of Electronic Solutions
The main market restraint is the sluggish construction sector and its lack of investments in building activities. The revival of this sector, coupled with the strengthening of the Polish macroeconomic situation and end users' purchasing power, will boost growth in the physical security market. “It is critical for the construction sector to revive building activity,” said the analyst. “This will restore healthy growth among product OEMs and distributors, as well as product related service providers.”
As construction activity rebounds, it is important for participants in the physical security market value chain to offer more electronic security solutions, as costs are lower than manned product services. Such a shift would drive the transition to a more structured and developed market, resembling Western Europe. “The consolidation of the manned guarding market, in addition to the strengthening of systems integrators' market presence are two trends that could facilitate the development of more solutions-oriented services,” said the analyst. “It would, also, impart greater structure to the fragmented market.”