Released by market research organisation Market and Business Development Ltd (MBD), the study centres on the behaviour of the market from 2002 to 2006 before making predictions for the next five years.
Market review: 2002-2006
Growth in the market for the early part of this study was unprecedented, with growth levels of up to 7% recorded between 2002 and 2004. Analysts at MBD believe this rise can be attributed to the demand for large-scale developments in town centres up and down the country.
In 2006, a 4% increase in the market size took sales and rental income to GB pound 1089 million nationally. While the market continues to grow, the report suggests that the recent slow down in growth is due to increased pricing competition in the industry.
Forecast: 2007-2011
In line with what a previous report this month has said, this new study predicts further growth in the digital and networked solutions sectors. New technological sectors such as ANPR and mobile CCTV are also expected to see positive growth as security professionals continue to move away from manned solutions.
The MBD report goes on to suggest continued growth in all areas of the UK’s CCTV market, albeit at a moderate 2%. Demand for digital and networked systems is expected to continue to be buoyant, despite a predicted fall in prices. Further sectors of the CCTV market which are expected to show strong growth potential include remote monitoring services, rapid deployment cameras and alarm activated systems.
While the total revenue for installation is expected to drop one percent to 45% of the market share, the report forecasts that the value of installations will continue to increase, culminating in real term growth of 7% between 2006 and 2011.
Finally, the overall value of maintenance contracts is expected to see a 10% rise in the next five years, and strong growth is predicted in the value of equipment sales; MBD say the market could experience a 14% growth in the period to 2011.
