Security Market Development Outlook

The security industry has its own particularity and is more obviously affected by the national policy. Security listed companies are the representatives of the companies in the industry. Their annual report outlook has become a benchmark for the development of the industry. This article will combine the 2014 corporate development plan for the 2013 annual report of relevant companies and look forward to the development of the security market in 2014.

I. Smart cities become the next growth driver for the continued development of security

The smart city is an integrated information system-based platform, integrates various public management information systems, and network (architectural) independent information systems to achieve optimal allocation and scheduling of urban resources, real-time perception, accurate identification, rapid response, and effective urban functions. Control, improve in time. Specific investment, the main investment opportunities exist in the smart city construction master plan design and implementation, intelligent transportation, smart green building, digital city, e-government, safe city and security monitoring and other core sub-fields.

Under the call of smart city construction, security is increasingly integrating into smart cities and serving smart cities. Security technology is changing from classic to modern, and common technologies, especially video technology, are entering the public security field and serving smart cities. The trend of information technology development has prompted security technology to provide technical support for smart cities. With the core, service, and openness of technology integration as part of the social management platform, it has become an important (functional) component of smart buildings and smart cities. In the process of building a smart city, more and more security products and technologies play an important role. From the perspective of mainstream products and technology applications, they mainly include the following types: IPC (network camera), sensor networks, tags, and mobile communication applications. , image technology and other sensor interconnection, intelligence, open service platform construction, Internet of Things applications, high-definition products and technologies

Under the trend of the information age, security products and technologies have similarities with smart cities. The application and development of these products and technologies has accelerated the integration of security and smart cities; at the same time, the pace of smart city construction has accelerated. The development of the security industry also brings opportunities and challenges. On the one hand, more security products and technologies are needed; at the same time, higher requirements are placed on these products and technologies.

Since 2013, smart cities have gradually gained attention at the government level, and the Ministry of Housing and Urban Development has established pilot cities for the construction of smart cities in 90 countries. In August, the list of the second batch of smart city pilots was released, and according to the prediction of relevant institutions, China will have 600 to 800 cities to build smart cities during the 12th Five-Year Plan period, and the total market size will reach 2 trillion yuan. With the advent of 2014, relevant national smart city-related policies will gradually come to the fore.

In the 2013 annual report of security companies, it can be clearly seen that smart cities are gradually becoming the driving force for the development of security companies.

In 2013 Annual Report, Hikvision pointed out that the scale of video IoT application market represented by smart cities in 2014 will further increase. With the development of economy and the progress of urbanization, and the impact of public security incidents, the construction of safe cities in China continues to maintain rapid development. At the same time, with the rapid development of video technology and the deep integration with industry applications, the security system has evolved from pure video surveillance to intelligent visualization management, and has become the main content of all kinds of Internet of Things application projects represented by smart cities. Continue to maintain a relatively strong market demand. Therefore, the market size of the video IoT application market will further increase in the next few years.

Dahua said in its annual report that the construction of smart cities has entered a period of rapid development. The in-depth development of smart city construction has greatly expanded the market demand for the industry and created favorable conditions for the further development of the company. The essence of a smart city is to provide data services through the integration of city information in all walks of life, using big data, cloud storage, and other technologies to realize the humanized management of the city and create an ecological circle conducive to sustainable innovation. As an important information acquisition and storage tool, video surveillance system is an important source of information and data for smart cities.

Yi Hualu pointed out in his annual report that the company is adjusting the business structure in accordance with the adjustment of national industrial policies and the introduction of the national smart city strategy. Based on the original traditional intelligent transportation business, the company has strengthened the research on smart city industry and pointed out that Yi Hualu has achieved certain achievements in the smart city industry in 2013, and has increased the smart city industry into one of the core business of the company's future development. On the other hand, the intelligent transportation itself is also an important part of the smart city. The company's main business will mainly focus on smart cities.

The Oriental Reliance Annual Report pointed out that the company will initially establish and improve a nationwide marketing service network system. While continuing to focus on the safe city area, it will also seize market opportunities and use technology penetration as a precursor, and continue to expand into smart cities, smart power, intelligent transportation, intelligent buildings and other industries. At the same time, the company will optimize the marketing system from the three dimensions of industry, product, and region, achieve parallel development of multiple industries, and the breadth and depth of market coverage within the industry, “transverse to the edge, vertical to the end”.

Second, the overseas security market has further recovered

As the global economy continues to recover, the demand for traditional security markets represented by Europe and the United States begins to recover. Emerging markets such as the Middle East and Latin America also show strong demand for security and control, and overseas markets will recover further. Overseas markets are less concentrated, and the increase in their demand will also promote more domestic security companies to go abroad. Although they will face low competition among domestic counterparts, brand, delivery, and service will replace the price and become attractive to overseas customers. Key factor. By nurturing a global vision, attracting global talents, constructing a global delivery system and products suitable for localization, some security companies that have technology, financial strength, brand influence, and large-scale production capacity will quickly go abroad. Further increase overseas market share.

Hikvision pointed out in its company development plan in 2014 that after years of efforts, domestic security companies have gradually entered the overseas market in large scale, and domestic brands are also being recognized by overseas markets. With the integration of the global economy, the transparency of trade is getting higher and higher, and the maturity of the market will further increase the competition in overseas markets. From the past pure product price competition to the development of comprehensive strength competition, overseas customers will pay full attention to prices. The various elements such as brands, technical support, localization services, logistics, warehousing, maintenance and so on. In terms of overseas business, Hikvision will continue to increase the construction of an overseas localized marketing service system and achieve a comprehensive upgrade of its business model.

In its annual report, Dahua stated that in 2014, the company will increase overseas investment, further improve overseas sales channels, make full use of Dahua Technology, Hong Kong Dahua and other subsidiaries' business platforms to further increase the level of overseas product delivery, and increase the introduction of talents. We will focus on nurturing an international team and strive to forge a localized service team to speed up the globalization strategy and enhance the global influence of Dahua Brand.

In an annual report, Dali Technology planned the overseas markets in 2014. It will strengthen domestic and overseas market expansion capabilities and build an efficient marketing management system. In 2014, based on the existing marketing management model, the company will increase its marketing efforts and actively promote the business operations in both domestic and international markets. At the same time, the company will continue to develop ideas, build a global marketing system, through product innovation, expand production scale, improve product quality, and further enhance the competitiveness in the international market.

Third, civil market enlightenment, market space is worth the wait

The network communication technologies, especially the wireless network transmission technologies such as 4G, the development of mobile internet, and the popularization of smart phones, have broken the bandwidth and other obstacles that restrict the development of the civil security market, and provided favorable conditions for the rise of the civilian market; smart home, On the one hand, the development of social networks will accelerate the rise of the domestic civil market. On the other hand, it also gives video surveillance functions such as remote intrusion detection, security, remote care, video sharing and other functions, and further highlights the video monitoring and storage data in the future The importance of smart management in the areas of family, medical, and security. However, at this stage, there are also problems in the civilian market, such as high network traffic costs, consumer habits that need to be cultivated, and mature business models that have not yet emerged. How to cultivate consumer habits, reduce consumer use costs, and enable video surveillance in the daily lives of consumers The irreplaceability of China will be the key to promoting the outbreak of the civil market. Although there are still many problems in the development of the civilian market, its vast market space is still worth the wait.

The Hikvision Annual Report pointed out that the combination of civilian security services for small and micro enterprises, families, and individuals has become very obvious. The relatively "closed" security industry began to show obvious features in the consumer electronics and Internet industries. Google The acquisition of Nest Company by US$100 million brings more imagination and cross-border influence to the industry. Take the most typical smart home industry as an example. In recent years, driven by the mobile Internet, it has rapidly entered an active period. Security is the most important part of smart homes, and video is the entrance to safe life. Security and the Internet have been deeply integrated. Civilization of civil security has become a trend. 2014 Hikvision will focus on consumers in the networking business, strengthen consumer experience, and use Internet thinking and methods to operate civil security business.

In its annual report, Dahua proposed a rich reserve based on the company’s existing civilian technology. In 2014, the company will increase investment in resources and innovation in the civilian sector, accelerate the construction and improvement of civilian products, operations, and cloud storage platforms, and strive to increase the scale of users. Improve the user experience, combine the development of the civilian security market, introduce professional Internet professionals in a timely manner, build an independent business operation model, make full use of the open characteristics of the Internet, strengthen cooperation with Internet companies, achieve mutual win-win results, and actively create pre-event prevention and control Ping An Community and the online community centered around visual care, video sharing, and video push are well prepared for future civil market outbreaks.

Huaping Co., Ltd. believes that home-targeted smart home products will gain greater development in the next 10 years. It is the next blue ocean market. The scope of smart homes is not limited to home entertainment and home control (such as switch, lighting, temperature and humidity control In the near future, traditional industries such as energy, medical care, security, and education will also be closely integrated with home applications. Providing local and regional-based localized services to residents and residents, providing high-definition video communication products and services and security alarm products and services to homes with the living room as the main site will become a focus area for Huaping.

High German infrared in the report pointed out that according to the company's development strategy, the detector industrialization project will be used to focus on the development of automotive traffic night vision, security and industrial detection and other emerging civilian and national defense market, the future will be in the emerging civilian applications . In the next step, the company will continue to increase the market expansion in the emerging civilian areas.

IV. Cooperation between traditional security companies and non-security enterprises in various forms

Objective analysis, why home appliances, Internet giants will enter security? The most essential reason is that the original customers of these giants have security needs, or that these giants are trying to bring new value to their customers through the introduction of security products and technologies. From the analysis of the types of customers, traditional security companies are more oriented to industry customers, and these home appliances and internet giants are more oriented to the public and individual users. Their advantage lies in having public users' brand recognition, and the home appliance giant is even more Occupying the living room of individual users, Internet giants occupy the Internet portal of individual users.

What is more important is that these giants have a deep understanding of the explicit and invisible needs of public users and individual users due to their years of experience in customer exchanges. They have acutely captured that with the improvement of living standards, people's security needs for personal and property, and in terms of products, some security products need to be upgraded or further improved in order to fully meet customer needs. At the same time, it also requires a business model that customers can easily accept.

Traditional security companies need to make changes based on customers' new needs at the product side. Not only are the new demands of the public customers, even industry customers with a larger proportion of customers in the security industry need security companies to launch more suitable security products.

For security companies, especially traditional security manufacturing companies, it is important to put aside their burdens. With a positive attitude, the existing customers' needs for improvement and the new needs of the public customers are regarded as new opportunities for the development of enterprise products. More Combining the actual situation of the company, absorbing advanced technology, selective planning and design, and more market-competitive security products, will be a suitable choice of corporate direction.

The market demand exists, and in addition to the product quality and functional performance indicators of successful products, the appropriate market business model is also an important factor in market success. In the current situation of intense competition, the cycle of product replacement is getting shorter and shorter, which in fact requires companies to have a quick response mechanism to ensure the success of the product market.

Based on these factors, in the face of these new opportunities, security companies, home appliance companies, and Internet companies, if they can cooperate in customer positioning, product design, market model, etc., can be regarded as an appropriate choice. Household appliance companies and Internet companies have their own advantages in market research, commercial channels, and market models. Security companies give full play to their advantages in security product R&D and technology research. Both companies jointly implement product planning and business model definitions. This model is a good solution to the bottleneck of rapid product launch and marketing, and will also meet the needs of end customers, and ultimately achieve a win-win situation for security companies, home appliances and Internet companies, and end customers.

Dahua stated in its annual report that it will introduce professional Internet professionals in a timely manner, build an independent business operation model, make full use of the open characteristics of the Internet, and strengthen cooperation with Internet merchants to achieve mutual win-win results.

In 2013, Jiadu Technology acquired the 51% equity of Shenzhen Tianyinglong Technology Co., Ltd., which enabled the company to successfully enter the national financial intelligent security market and become one of the leading companies in the national financial security industry.