Guard watch: Electronic security systems will pose a threat to industry revenue growth

Operators in the Security Services industry commonly provide guard and patrol services, in-transit cash and valuables protection and investigation and detective services. Over the five years to 2018, industry revenue is expected to increase as guard, investigative and other industry services became increasingly popular among corporate and government agencies. The industry provides security measures for businesses and public areas that have chosen to outsource security systems rather than take on the logistical burden of protecting their facilities themselves. Over the five years to 2023, the Security Services industry is expected to encounter serious competition from security alarm service systems, which install remote-monitoring security systems and provide off-site response services...purchase to read more.

Industry Statistics & Market Size
Revenue
$35bn
Annual Growth 13-18
0.5%
Forecast Growth 18-23
Profit
Employment
795,500
Businesses
14,947

Industry Threats & Opportunities

  • Businesses will expand their security staff as budgets improve, boosting industry demand
  • Government spending historically accounts for a significant portion of industry revenue
  • The industry is expected to endure competition from high-tech security systems
  • Industry Report - Industry Analysis Chapter

    The Security Services industry provides security measures for businesses and public areas that have chosen to outsource security systems rather than take on the logistical burden of protecting their facilities themselves. Therefore, industry revenue relies heavily on corporate expenditure patterns and business formation rates, as new businesses are likely to require security services. The industry also depends on government spending, as federal, state and local governments may decide to outsource security services for office buildings, parks and facilities. Rising demand from these vital downstream markets bolstered industry revenue, which is expected to increase at an annualized rate of 0.5% to $34.5 billion over the five years to 2018. The...purchase to read more.

    Additional Insights for the Security Services Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Security Services Industry are

  • Ability to compete on tender
  • Fast adjustments made to changing regulations
  • Close monitoring of competition
  • IBISWorld analysts also discuss how external factors such as Corporate profit and Number of businesses in the Security Services industry impact industry performance..

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    What's in this report

    What is the Security Services Industry?

    Security service companies provide one or more of the following: investigative and detective services; guard and patrol services; and protected transport of valuables including money, receipts and other items. The industry does not include companies that perform credit checks or sell security systems, such as burglar and fire alarms.

    Industry Products
  • Security guard services for buildings and grounds
  • Security guard services for special events
  • Armored vehicle services
  • Investigation services
  • Other services
  • Industry Activities
  • Armored car services
  • Security guard and patrol services
  • Polygraph services
  • Corporate investigative services
  • Security guard and crowd control services for temporary events
  • Private detective services
  • Bodyguard services
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Corporate profit
  • Number of businesses
  • Crime rate
  • Value of private nonresidential construction

  • Current Performance
  • Economic growth boosts industry demand
  • Industry structure and profit
  • Chart: Revenue Growth

  • Industry Outlook
  • Technology-based competition
  • Industry consolidation and new technology mitigate wage growth
  • Table: Security Services Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Security Services Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Construction
  • Manufacturing
  • Retail Trade
  • Transportation and Warehousing
  • Finance and Insurance
  • Non-Hotel Casinos
  • Casino Hotels
  • Public Administration

  • Key Selling Industries
  • Audio & Video Equipment Manufacturing
  • Electronic & Computer Repair Services
  • Security Alarm Services

  • Products & Services
  • Security guard services for buildings and grounds
  • Investigation services
  • Armored vehicle services
  • Other services
  • Security guard services for special events
  • Chart: Security Services Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Residential and other
  • Corporations
  • Retail and leisure
  • Government clients
  • Financial institutions
  • Chart: Major Market Segmentation for the Security Services Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchasesOther
  • Chart: Cost Structure Benchmarking – Sector vs Security Services

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Security Services Industry

  • Industry Globalization
    Allied Universal, G4S PLC, Securitas AB,
  • Table: Allied Universal - financial performance
  • Table: G4S PLC - financial performance
  • Table: Securitas AB - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Security Services Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Security Services Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Number of businesses with employees (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Biometrics
  • A technology that involves the use of face, fingerprint or similar recognition of individuals to ensure secure access.
  • Closed-Circuit Tv
  • A technology that uses video surveillance equipment to transmit images to a specific set of monitors.
  • Monitored Security System
  • A security system that involves the use of video, such as CCTV systems.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Security Services Industry Research Report offers insight into the market at the national level. Our analysis highlights macro trends in the overall sector and the micro trends faced by companies that do business in the Security Services industry. Our five-year outlook forecasts explain how the market is set to change and the product segments that will drive growth.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Security Services:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Security Services market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Security Services, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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