According to a new report from The Freedonia Group, guarding revenues reached $29 billion in 2018, representing 43% of all private security service revenues.
In addition, the market research firm said that U.S. guarding revenues are expected to grow 2.6% per year through 2023, reaching $33 billion. These gains are predicted to be driven by:
- Continued interest in more highly trained, and thus more expensive, guards who provide a variety of market specific services;
- Increasing demand for armed security guards, who require additional training and command higher wages;
- And, ongoing technological advances to security systems that make guards more efficient and cost effective.
“Guards are valued for their visible, physical presence, which can deter potential crimes,” read an analyst’s statement on the new report. “Many end users also prefer not to maintain their own in-house, proprietary security forces due to liability concerns, supporting demand from private providers.”
From 2013 to 2018, research firm said that guarding revenues matched the pace of the overall security services market, supported by a number of the aforementioned trends. However, given that guarding is one of the most mature segments of the market, it will see among the slowest gains of any segment through 2023.
For more information about the report on the private security services market, click here.
