Organizations today want an integrated security system capable of efficiently combining access control, surveillance and other essential crime-deterring solutions. For this reason, decision-makers are investing more heavily in physical security information management (PSIM) software, which is the middleware that makes consolidating protective tools possible.
According to a new report by IMS Research, the market for PSIM software more than doubled between 2009 and 2011, suggesting a major uptick in adoption. Despite the growth, however, the industry's revenues remained less than $100 million in 2011, confirming the fact that lack of awareness is one of the biggest inhibitors to the technology.
Analysts said the future market for PSIM software is also lower than previously expected. This is because of several reasons.
"In general, the industry has required time to get its message across to potential customers and this remains a challenge. There has also been a lack of new entrants in the market to drive marketing and education of the potential benefits of the technology," report author Niall Jenkins said. "This is unusual for new technology markets and is directly related to the upfront cost and resource required to build a PSIM platform creating a high barrier to entry."
Will the PSIM market grow in the future?
Despite having trouble growing in the past, the long-term forecast is expected to be relatively positive. IMS Research analysts said this will largely be driven by opportunities for manufacturers to reach companies in emerging markets, including Latin America, India and China.
Jenkins noted that the industry for PSIM software will likely fall back in line with previous predictions by 2014.
"Customer referrals will continue to be a strong sales generator with vendors specializing in specific vertical markets by accident as much as by design," Jenkins asserted. "A number of vendors have also identified healthcare and high-end commercial as emerging markets for the platform, offering new opportunities for well-placed vendors in the future."
A separate report by SecurityInfoWatch said companies are using PSIM software to better understand the reasons surveillance cameras and access control systems, as well as other general alarm solutions, are alerted of intruders. By learning how these technologies perform, decision-makers can deploy them in the most effective areas around their organization to prevent crime from taking place.