Industry Analysis & Industry Trends
Security providers experienced flat revenue growth during the recession as companies scaled back their security spending and bankruptcies reduced the pool of potential clients. However, as the economy recovers, so will industry demand. Security providers will face competition from high-tech alternatives like CCTV and alarm systems, but large operators will adapt by providing integrated security services... purchase to read more
Industry Report - Starting a New Business Chapter
The Security Services industry has a low level of concentration, with the top four players accounting for about 30.0% of market share. This concentration indicates that there are no significant barriers to entry based on major player dominance. However, companies that aim to enter the industry need to be aware of increasing competition from alarm companies (IBISWorld report 56162). These firms will pose a threat to the industry as more clients look for cost-effective alternatives.
This industry is highly labor intensive, but it has minimal capital requirements. The establishment costs, which are typically associated with hiring security guards, are relatively small. Some service segments require more capital, such as the purchase of armored trucks for cash transport... purchase to read more