When we call security a “recession-proof industry,” we’re selling security integrators short. It implies that they don’t have to be smart business people, that there’s little need for strategy, that a steady stream of revenue is a foregone conclusion.

If only it were that easy.

The truth is that security integrators can’t afford to sit back because, as technology evolves, so must their business models. Here are three trends security integrators shouldn’t ignore.

Video Surveillance: Digital vs. Analog
The “Analog Sunset” hype that has gotten so much play in the audio/video realm is just as applicable for describing the transition from analog to digital CCTV cameras. Integrators must educate their clients about whether or not they ought to go digital and talk to their manufacturers about solutions that include hybrid analog/digital cameras.

Expansion of Control Rooms Market
For years, control rooms were reserved for the most mission-critical, ultra-sophisticated, deepest-pocketed clients, not to mention the largest integrators with the most far-reaching infrastructures. The recession certainly didn’t change that, but the advancement of IT-friendly control room solutions has broken down barriers.

The potential field of command and control room clients have broadened beyond government, military and security sectors to corporate, municipal end users and more. The category is now fair game for medium- and even small-sized integrators who can develop processes for designing, integrating and supporting such sensitive solutions.

Access Control’s IT Factor
The emergences of “smart cards” and biometric technology versus proximity cards have created plenty of new recurring revenue opportunities for security integrators. The advances in technology, though, are just icing on the cake. Savvy integrators can greatly expand their access control clients and recurring revenue income thanks to IT networking, says Jeff Moormann of Fullerton, Calif.-based Henry Brothers Electronics.

They can “leverage the IT infrastructure that has been built over the last 10 to 15 years by organizations,” Moormann says. Companies have “put the wire in the wall to support IT and, because they’ve done that, it’s become very important for security integrators to leverage that infrastructure.”

In essence, more companies are candidates for access control because the cost of implementation is greatly lowered. Integrators’ labor is also reduced and they can focus on providing the service necessary to satisfy monitoring contracts either internally or through third-party central stations. Security integrators benefit from looking forward, not sitting back, and Henry Brothers is a prime example. The security giant was acquired by Kratos Defense and Security Solutions in December 2010. “Right now in our business, recurring revenue is the end game if your company is going to be evaluated by investors,” Moormann says.

The common thread between these examples appears to be IT - the transition to networkable digital cameras, the adoption of relatively affordable IT networkable control room solutions and expanding access control client bases by piggybacking on their already-built IT infrastructure.

The other common thread is that none of this comes easily. Security isn’t recession proof. It’s only through market awareness and sound processes that security integrators can insulate themselves.

About the author

Tom LeBlanc - Editor-in-Chief, CI, Tom

Tom has been covering electronics integration since 2003. Prior to being named editor-in-chief of CI, he was senior writer and managing editor of CE Pro. Before that, he wrote for the sports department of the Boston Herald. Migrating to magazines, he was a staff editor for a golf publication and an outdoor sports publication. Follow him on Twitter @leblanctom.

View all posts by Tom LeBlanc