EXCLUSIVE: India is one of the top growth markets for security equipment

According to the Freedonia Group, the market for security equipment is expected to grow from about $96 billion in 2014 to about $125 billion in 2018. This is an annual growth rate of 6.8 percent. North America and Western Europe will not be the fastest-growing markets by any means.

Over the forecast period, North America is predicted to grow by 6.5 percent but it will be India and China that will have double-digit gains. Part of the reason for this is that while income and infrastructure have increased, security equipment penetration is lower than in developed markets. Further, the product mix is expected to differ significantly. While the North American and European markets are seen to purchase more electronic security products, mechanical variants like locks are expected to grow quickly in India. In addition, while the electronic security equipment market suffers from low awareness among customers, new market entrants and a growing domestic industry increased sales.

India and other developing markets will be following a few more global trends, according to the report. Residential security products are expected to outgrow commercial and industrial markets, though it will represent a smaller segment of the market overall. Also, despite the fact that US and Japan burglary rates have dropped to levels last seen in the 1950s or 1960s, public perception of property crime rates has not changed. This stimulates growth in the residential security market.