The video surveillance market, which includes VSaaS (video surveillance as a service), is expected to reach $42.8 billion by 2019, growing at a compound annual growth rate of 19.1% from 2013 to 2019, according to a report from Transparency Market Research. Physical security integrator Vector Security, which has provided access control, alarm systems, and video surveillance systems for nearly 45 years, is reaping the benefits of this market upsurge.
I spoke with Steven White, corporate VP of business development at Vector Security, who shared with me some of the details of his company’s success, which included 9.6% revenue growth in 2013 over the previous year, translating to $256.2 million in annual revenue (2014 revenue stats were not yet available).
One area White sees new growth potential is the cloud.
“We believe that as bandwidth cost and availability continue to improve, the cloud will play a much more significant role in enterprise video surveillance implementations down the road. Even before that happens, however, we are seeing the cloud’s role increasing in other areas. For example, aggregating data from multiple systems into customer portals, which are used to view networked devices, provides real-time alerts via mobile apps, and to produce reports, is most effective when delivered via the cloud.”
Currently, Vector Security operates its own call center, and it uses its own NOC (network operations center) to host its central monitoring station and house most of its customers’ data and applications. But, it is continually looking for new strategic partners and services that will enable it to keep up with this growing opportunity. “In the same way that physical security and IT networking require two different skill-sets, effectively deploying data analytics and other advanced services requires specialized resources as well,” says White. “We want to deliver the best customer experience possible — whether through our own in-house capabilities, our partners, or a combination — so we’re always refining our approach based on what is right for them.”
Check out my full interview with White by reading, “Don’t Treat IP Video Like Just Any Network Add-On” in this month’s issue of Business Solutions magazine.