In 2015, the global market was valued at $5.92bn and is projected to grow to $9.8bn by 2022. The sector’s growth is attributed to increased security threats across the world, growing urbanisation and technological developments.
The access control market includes readers, panels, credentials and electronic locks. Approximately 95% of the installed base in 2016 was in credentials because of the need for each user to have a card or pass according to IHS Markit.
Panels, although they make up only a 1% share of the market, comprise 32% of the revenue in 2016. The quantity of panels is far lower than the number of readers, which are needed at each entry point. Electronic locks have overtaken readers as the second-largest segment of hardware.
Recently, Oregon State University used existing credentials issued to students to streamline operations in Austin Hall, a state-of-the-art facility for students and faculty.
Although panels were a part of the install, the real investment was made in a single data management solution that allows school officials to streamline ingress and egress, as well as enable students and staff to reserve one of 21 project rooms in the facility simply by using their existing credential.
Far more enterprise organisations and school campuses are looking for ways to integrate existing hardware and software into more streamlined approach to security
Far more enterprise organisations and school campuses are looking for ways to integrate existing hardware and software into more streamlined approach to security, and the trend to extend that further is growing.
Now, these organisations want to link the information gathered from access control systems to one card, human resources and student information systems, to better manage and automate workflow for security personnel. This is a trend that’s sticking around as these organisations try to find systems that will increase ROI and better serve students and employees.
Of the various vertical markets, the commercial sector holds the largest portion of the installed based with a 21.6% share, with the governmental sector coming in second. Both vertical markets were early adopters since they share a growing need to secure their premises and properly audit entry and exit.
The residential sector is expected to rise the fastest, growing at a compound annual growth rate of 7.4% because of the increasing demand for solutions to minimise unauthorised access and to prevent invasion and burglary.
As the access control market grows exponentially over the coming years, there is real opportunity for security directors, integrators and manufacturers to recommend solutions that address far more than access.
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thanks for the summary Mitchell – I’d be interested in the market share of software in the access control market. I assume that’s close to 0 since it comes with the “panels”. That’s why I believe the 32% of revenue share of panels is misleading since it includes the software. If people get the software for free and buy maintenance contracts, that would be fine but should be mentioned. At getkisi.com we like to believe the value of access control lies in software.