12.23.20 – SSI
New research from Parks Associates reveals security dealers are offering more services such as video verification, PERS and cybersecurity to compete against the DIY trend.
DALLAS — New security dealer research from Parks Associates shows 85% of security dealers report they provide extra services beyond professional monitoring, including video verification, PERS, cybersecurity and independent living services.
The research firm’s annual study, Home Security Dealers: View from the Front Line, provides trending data and current insights based on a survey of US.. dealers studying their view of the security market, competitive pressures, industry conditions and new trends, including the addition of smart home and interactive technologies.
The also study reports only 15% of dealers provide no extra services beyond professional monitoring.
“Going forward, greater emphasis will be placed on PERS and independent living services,” says Brad Russell, research director, Parks Associates. “The devastating impact of COVID-19 in senior living facilities ensures that more seniors will want to stay in their homes or apartments and their families want to help that happen.”
In Parks Associates’ Q2 consumer survey of 10,000 US broadband households, 24% of consumers reported having completed some home improvement project during the pandemic, many of them choosing to do-it-themselves.
“This DIY trend is driving revenue growth for home improvement stores like Ace, Lowe’s,and Home Depot,” Russell says. “It also drives an increasing share of consumers choosing DIY security systems. This year’s consumer surveys show a big jump in the percentage of home security system purchases that are DIY with professional monitoring. Our dealer survey finds that this ecosystem is responding to this market shift, with 43% of traditional security dealers now offering DIY systems in addition to pro-installed.”
Additional findings from the security dealer study include:
- 25% of dealers report providing fee deferments or relief to customers during COVID-19
- Professionally installed systems have declined by nearly 25% since 2017
- The sales of DIY systems have increased by nearly 60% since 2017
For more information in this area, make sure to check out DIY FYI, a bi-monthly column produced by Parks Associated in partnership with SSI that addresses the latest trends in DIY and how security pros can best compete.
Parks Associates will present this research at the upcoming CONNECTIONS Summit: Smart Home Growth Strategies, a CES Conference Partner taking place January 14.