Articles are starting to appear with good news for alarm installers: Far from slowing down, the alarm and security system markets are expected to continue their high growth that we’ve seen in the 2010s. That trend looks like it will continue all the way through 2030. It looks like installers will have plenty of opportunities for growth in the coming years. But it’s also important to know what’s behind these trends. What parts of the market are leading this kind of growth and will make good targets for firms that want to expand? Let’s dig into some reasons the industry is doing so well.
COVID-19 Recoveries
Many industries have seen a certain amount of bounce back as the COVID-19 pandemic waned. The virus also affected installation sectors. Some owners weren’t happy about having a stranger in their homes if they were afraid of infection. Businesses were cutting back expenses in an effort to survive and alarm upgrades were far from a priority.
But now that recoveries are happening, alarm projects are back on the menu. Homeowners are getting new systems or upgrades that they’ve been wanting for the past several years. Businesses are checking their building code requirements and planning important upgrades. People who relocated due to remote work or other factors are ready to arm their new homes. This is currently putting the market into overdrive in many locations.
DIY Is Getting Bigger Than Ever
This part isn’t as promising for installers, but it still deserves a look. The DIY side of the market has been seeing very high growth for years, powered especially by young buyers who are comfortable with home automation. That’s expected to continue, especially among homeowners who want to save money on security systems.
Installers still have options to reach this DIY group. Offering options for wired fire alarms and thermostats (which DIYers may not want to tackle themselves) can be a way to win these customers over. It’s even better if those important devices are compatible with current smart home platforms. DIY can also be a stage between starting with a smaller system at first and then reaching a point where a larger, professionally installed alarm system appears to be a better choice.
Self-Monitored Systems Offer More Choices
The self-monitored section of the home security market has also seen plenty of growth in recent years and is expected to expand in the future, too. Self-monitoring does not mean DIY: These are systems designed to be watched by owners with apps rather than professional monitoring systems. However, more complex systems can still benefit from professional alarm installation, and vendors typically try to partner with local installers for their self-monitored packages so that buyers will have that option.
Integration Is Getting Much Better
A previous problem with installing new alarms is that owners want compatibility with their current devices. If alarms require a separate hub, keypad, or app to use compared to the devices owners already have, they are less likely to make a purchase. They want something that integrates with technology they’ve already spent money on.
This is becoming less of a concern over time, and the 2020s will see the situation improve much more. This is in large part due to the “Matter” protocol that’s being developed by Apple, Google, Amazon, and other technology companies. This protocol is designed to help devices communicate with each other no matter which company is making them, and is due to start rolling out in late 2022. That, plus other integration options, are removing concerns about compatibility.
Some Types of Home Theft Are on the Rise
Growth is also spurred by awareness of crimes in an area. Recently, we’ve seen different kinds of crimes become significantly more common, especially in suburban and urban areas. That includes porch pirates, which steal packages that are left by doors, as well as catalytic converter theft spurred by the belief the converters can be easily fenced because of their raw materials.
Trends like these are causing many businesses and homeowners to consider installing security systems to keep an eye on their entrances and streets, along with the capability to scare away potential thieves. That’s leading to new opportunities for alarm installers who can offer security solutions.
Upgrades Are Looking Very Attractive
As we’ve discussed in the past few years, today’s alarms have gotten many high-tech upgrades that are making replacements look attractive to owners. That includes things like much better night vision for security cams, better alert systems that support mobile devices, better motion detectors, alarms designed to cut down on false alarms, and other features. For businesses and homes that have a security system that’s a decade old or more, it’s looking like a very good time to pick a new system.
Conclusion
Trends like these bode well for alarm installers who want to grow their business. If that’s part of your strategy, take a look through our blog to learn more. We cover topics like how to answer client questions, vulnerable spots in today’s alarm systems, and new regulations that are changing alarm requirements in key parts of the industry.
While your focused on expanding your alarm installation business, let El Dorado take care of all of your insurance needs. Take a look at our alarm installation insurance page to see how we can help you stay protected.
