Speaking at the MVaaS Summit hosted by Envysion earlier this month, IMS Research analyst Sam Grinter said: “A VSaaS solution must return on the initial investment as soon as possible by incorporating multiple applications and functions to add value over a ‘traditional’ video surveillance system.”
IMS Research states that return on investment is achieved through limiting employee shrinkage, providing evidence to counter fraudulent claims and generally increasing operational efficiency.
A VSaaS solution can integrate with existing security cameras and typically costs between $125 and $200 per site per month, depending on the number of cameras. A key feature of a VSaaS solution is that security cameras may be accessed and managed remotely through an Internet browser or tablet, says IMS.
However, in a recently published IMS Research report, the Americas VSaaS market for small-to-medium sized businesses was estimated to be worth less than $50 million.
“The ongoing service cost and lack of knowledge of the potential benefits of VSaaS on the customers’ behalf has limited growth,” said Grinter. “A VSaaS provider must justify why a company should invest in a VSaaS solution. Demonstrations and trial deployments have proved effective strategies for introducing new customers to VSaaS.
“Increasing the functionality of a ‘traditional’ video system not only extends the application of the solution, but also spreads the cost of the service for the customer,” added Grinter. “This makes the entire solution a more attractive proposition. If more VSaaS providers follow this strategy, the adoption of VSaaS in the SMB market could grow quickly over the next five years.”
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