Indian Security Frameworks Market Select Portions - PowerPoint PPT Presentation

slide1 l.
Skip this Video
Loading SlideShow in 5 Seconds..
Indian Security Frameworks Market Select Portions PowerPoint Presentation
Indian Security Frameworks Market Select Portions

play fullscreen
1 / 6
Download
Download Presentation

Indian Security Frameworks Market Select Portions

Presentation Transcript

  1. Indian Security Systems Market Select Excerpts December 2008 For further information on the Indian Security Market please contact Kimberlee Luce via email at kluce@bostonanalytics.com or by phone at 617-457-7888 ext. 311

  2. India Security Market(1) Definition and Segmentation Definition and Types The security systems market can be segmented into cyber security systems and physical security systems Segmentation Basis Physical Security Cyber Security Systems Services Segments Focus of the Study Surveillance Access Controls Alarm System Fire Detection and Protection Others Product Example Source: (1) Boston Analytics Analysis. Private & Confidential

  3. Value Chain Analysis Pricing End-users buy security products at a premium of 30%–40% above manufacturing costs Margin Levels of Entities Involved (By Player Type) INR 136 Explanation 6.5% 12.5% • For example, a manufacturer spends INR 100 in the production of security products • The incremental margins for the channel partners in the value chain are as follows: • Equipment Manufacturer: 13.5% • System Integrator: 12.4% • Contractors: 6.5% • The retail price to be paid by the end user is INR 136) INR 100 13.5% Margins at each level (%) 5%–8% 12%–15% 10%–15% Range Entities in the Value Chain Source: (1) Boston Analytics primary research Private & Confidential

  4. Market Dynamics Market Size—Security Systems Market The physical security systems market is expected to grow to at least $1.3 B by 2011, growing at a CAGR of 30% Indian Security Systems Market (2003–2011)(A),(B),(1),(2),(3) CAGR: 33.8% CAGR: 30% Security Systems Market(1),(2),(3) • The market will continue to grow at 30%–35% due to a growing awareness and demand for products from various sectors • Among the biggest spenders of installing security devices are IT/ITES companies, who spend 30% on their security budgets, followed by commercial institutions at 20% and hospitality industry at 15% • Retail and aviation sectors will be major contributors of growth • In addition, infrastructure projects, such as, airports, metro railways, etc. are spending increasing amounts on security equipment Market Size ($ M) • Indian security systems market is still at a nascent state compared to developed nations • However, it is expected to grow at a faster rate of 30% compared to approximately 10% of developed nations (US and UK) due to a rise in the crime and terrorism rate, growth in infrastructure, and rising awareness about security products • Note: • The market does not include services or products related to the cyber security market. • Future CAGR does not take into account the unknown impact of the recent Mumbai terror attacks (on 26th November 2008) • Source: • Background Research on Indian Electronic Security Market. http://www.valuenotes.biz/research/samplereports.asp (accessed December 10, 2008). • Market Overview of Safety & Security, International Trade Resource Center, http://www.exportnh.org/uploads/safety%20%20seurity%20(2).pdf, (accessed December 9, 2008). • Security solutions sector sees big growth on terror threats, Hindu Business Line, http://www.thehindubusinessline.com/2008/09/29/stories/2008092951520200.htm (accessed December 9, 2008). Private & Confidential

  5. Market Dynamics Market Size—Market Segmentation The government/public sector dominates the security systems market which is primarily concentrated in the North Market Segmentation by End-users (2007)(A),(1),(3) Market Segmentation by Geography (2007)(2),(3) Residential 5% $ 22.5 M • Major Markets: • Kolkata • Orissa • Major markets: • Delhi and NCR • Haryana • Punjab • Western UP • NE Rajasthan Retail 15% Public Sector/Government 40% $ 67.5 M $ 180 M Offices/Commercial 20% • Major markets: • Mumbai • Goa • East Gujarat • Major Markets: • Hyderabad • Bangalore • Chennai • Coimbatore • Mangalore • Trivandrum $ 90 M Largest Market Industrial 20% $ 90 M 2nd Largest Market 100% = $ 450 M 3rd Largest Market Smallest Market • The major consumer of security systems is the government and public sector followed by industrial and commercial segments • The hospitality industry is included as part of the offices/commercial end user segment • North India represents the security systems market followed closely by South India • Western parts of India follow next with eastern parts of the country having the lowest share in the security market • Note: • Hospitality sector is included in the commercial sector. • Source: • India Research Findings, IFSEC India. http://www.ifsecindia.com/files/india_research_findings.pdf (accessed October 20, 2007). • Background Research on Indian Electronic Security Market. http://www.valuenotes.biz/research/samplereports.asp (accessed December 10, 2008). • The Indian Security Industry market, Security Today Online, http://www.securitytoday.in/PDF/CoverStoryMay07.pdf (accessed December 10, 2008). Private & Confidential

  6. For further information on the Indian Security Market or to purchase the entire report with the Table of Contents listed below, please contact Kimberlee Luce via email at kluce@bostonanalytics.com or by phone at 617-457-7888 ext. 311 Table of Contents • Definition and Segmentation • Value Chain Analysis • Market Dynamics • Market Size • Manufacturer Analysis • End-user Analysis • Drivers and Inhibitors • Trends • Conclusion • Appendix Private & Confidential