PALO ALTO, Calif. -- With the introduction of low-priced technology and due to intense competition, the prices of hardware in the world video surveillance software market has dropped drastically. Encouraged by the reducing prices of digital and network cameras and the incorporation of improved features, end users have begun installing an increasing number of cameras per site.
Video management software provides an effective and efficient method of managing a large number of cameras.
New analysis from Frost & Sullivan, World Video Surveillance Software Markets, reveals that market revenues totaled $153.7 million in 2004 and expects to reach $670.7 million in 2011.
"Video surveillance software helps buyers save costs by requiring them to deploy fewer personnel at monitoring stations," says Frost & Sullivan Senior Research Analyst Soumilya Banerjee. "With lesser requirement of human intervention at the monitoring station, security personnel can be either relocated on site or be dispensed, depending on the premise under surveillance."
The companies have to promote video surveillance software products' immense benefits of faster, real-time, more reliable surveillance, remote accessibility, cost savings, and better management to gain mass acceptance.
Market participants have to educate all stakeholders including end users, distribution channel members, systems integrators, and security consultants about these advantages.
They have to especially target security consultants because they are one of the biggest sources of information and advice for end users. However, they have been conventionally used to referring mostly analog products.
With the advent of network-based products that enable the use of software on networks, these consultants have to be educated about the products so that they are comfortable working with them, and eventually refer them to end users.
The growth of the video surveillance software market is partly derived from the expansion of network-based systems, which include local area networks (LAN), wide area network (WAN), and the World Wide Web. Since network systems enable remote monitoring and maintenance of surveillance systems, end users of this technology will need to have established network architecture.
"For an end-user with an existing network infrastructure, the use of video management software makes more business sense, as no additional investment in building a network is required," notes Banerjee. "Network-based systems expect to replace analog and hybrid systems, providing opportunities for video management software."
To further gain an edge and gauge market opportunity, vendors need to analyze concentration in each vertical market in terms of vendor participation, in relation to the average investment for video surveillance systems. Participants will also require analysis of factors such as charges per camera, user, and features subscribed to hit upon a suitable licensing strategy.