Entrepreneurial pride and technology advancement drives Speco

Aug. 15, 2014
Speco sells solutions, not products as it moves full bore into the IP video market

Amityville, New York had earned its past reputation from haunted houses not high technology. But thanks to Speco Technologies that image is rapidly changing. This privately-held, Long Island company is quickly making inroads in an extremely congested security industry with cutting-edge products, integrator-friendly customer service and aggressive rebranding.

I recently had an opportunity to spend some time with Todd Keller, owner and president of Speco, whose father started the family-run business more than 50 years ago, when he teamed with Japanese partners launching an audio technology company. Speco’s manufacturing expertise has since evolved with innovative video surveillance solutions and integrated electronic and audio products that complement the company’s move from predominately analog technology into the world of IP.

Talking with Todd, it was refreshing to once again be enveloped in that genuine frenzy which typified the security industry before decades of mergers and acquisitions squelched entrepreneurial pride. While Keller and Speco attempt to move beyond their bread and butter analog solutions into the enterprise world of IP, he makes the point that his company will always remember its roots.

“Our business and the industry as a whole are going through a lot of changes. But I sincerely believe change is good. Change provides a lot of new opportunities. Still, we live by two rules here. Number one, the customer is always right. Number two, if there is any confusion, refer to number one,” says Keller, whose company employs more than 100 and expects revenues in the area of $85 million this year. “We hit more than $100 million in revenue in 2008, but as the market becomes more competitive and price sensitive, the margins have become tougher. We are selling more product than ever, but have had to adjust pricing to meet market demands.”

Keller admits that selling solutions – not product – has been the Speco mantra and a large part of its recent success. To that end, the company has developed a robust independent network of high-end integrators that push Speco’s emerging IP technology and its unique customer service. Blending its traditional two-way audio communication with video surveillance, Speco products meet specs for myriad venues and applications says Keller.

“We like to take a different approach. For us, it is not just about capture, focus and review, but it is all about how to deter. This is a simple solution for many complex issues,” explains Keller, referring to options like the "Digital Deterrent," which is a feature built into Speco Technologies’ DVRs that allows audio files to be triggered by motion detected in a connected camera. And just last month, it released its SecureGuard Plus VMS that allows access to multiple DVRs, NVRs and IP cameras for remote viewing, playback and other functions. “We make specific devices, but we will not hesitate to incorporate other applicable technologies into our solutions.”

The Intensifier IP camera line is Speco Technologies’ latest launch scheduled for September. And according to Keller, “The success we have enjoyed in the analog world will complement what we are rolling out for our IP offerings.  Speco continues to make major investments to its IP portfolio, with adding our exclusive Intensifier technology that allows images to be in color at night in HD is simply unique.”

Keller admits this is “a very important product launch for Speco” and it is planning some out-of-the box sales and marketing campaigns with national dealers to push brand recognition. He says that several high-end dealers will receive free product and complete marketing kits that he describes as “very intense.”

Vice President of Sales and Marketing TJ Dickson calls the launch of Intensifier IP as “an all-out blitz”.

But even Dickson says that, at the end of the day, product cannot – and should not – define a company. “We use a simple formula. If you take care of your dealers and your customers, they will take care of you. It boils down to whom does the dealer prefer to interact with, a family-owned environment or the corporate culture?”

“Incredible customer service is always the product our company will be most proud of. It is a critical issue here. We emphasize it to our employees, to our reps every day,” adds Dickson. “The product pitch comes last.”