Distribution Channel Analysis for European Security Systems

Significance and Functionalities of Distribution Channel Partners to Rise in Correspondence with the Expanding European Security Systems Market

The economic downturn will reduce security spending across Europe. However, continuous improvements in technology will sustain the need for informed and proactive channel partners in the security arena. "A wide range of security markets are registering growth," notes the analyst of this research. "This is triggering the need for a wide and in-depth network of distributors, systems integrators, resellers and end users." The trend towards IP-based security products has introduced the market to IT system distributors and integrators. These distributors and integrators are in a better position to understand technological changes and provide a high level of service to customers. However, intensifying competition between security and IT channels has reduced the box mover attitude among traditional channel distributors. Traditional distributors are making a conscious effort to provide IP products/services and are trying to match the service level of participants in the IT channel. The current economic downturn is expected to curb security investments in many vertical markets. This trend will result in reduced profit margins for the distribution channel partners as well. "Over dilution of the distribution channel also leads to reduced margins," cautions the analyst. "Numerous products, applications, value-added services and market participants are crowding the market, making it difficult to maintain high margins." Distribution channel partners need to constantly redefine their product portfolios and value-added services. Introducing more IP-based products, offering complete solutions and ensuring excellent service hold the key to survival and success in this market.

Technologies

The following technologies are covered in this research:

• Video surveillance
• Access control
• Intrusion detection