Selling IP Against Analog?
I spoke with a member today who asked for feedback on educating customers / selling IP vs analog, especially for those that are budget / cost constrained.
I'd like to throw this out to the group and see what your approaches are.
Let's get the bad out of the way first. Trying to argue that IP is actually less expensive (the old Axis approach and the more recent Anixter one). Or silly top 10 lists.
The most obvious beneficial tactic is to show the image quality improvements from moving from SD to megapixel (e.g., 1, 2). If you cannot sell them on more details, I am not sure what you can.
The bigger strategic issue I see is picking an IP line that can compete with analog pricing (for markets/application/users that prioritize price). For someone seriously considering analog, $500 IP cameras are likely a deal breaker, regardless of how good you are at selling, simply because of the massive price gap that creates.
To be cost competitive here, you need a sub $200 IP camera to close the gap to a level where the improved details / quality can be justified.
Agree/Disagree? Other approaches?
A camera is a camera and cost of that unit is what it is. Now installation is all but the same with exception of cabling. As industry moves to build smarter buildings at lower cost, being able to share infrastructure can provide significant cost savings. Good example, you can run data over twisted pair but try running data over coax. Classic example is home security which is pretty much wireless today. Why run ugly cabling thru the house which also costs time to install, than just screwing a camera and turn it on.

01/29/14 03:24pm
I don't understand this question.
What does the customer need? Because that's what you should be trying to sell him.
One other issue I think is legitimate is expanding an analog system to MP/HD. I've talked to quite a number of users who are confused and surprised that they cannot add MP to their existing cheapo system that they just bought a few months ago. It's understandable that they'd imagine they could just swap cameras, but obviously that is not how it works.
So once you commit to an analog system, you are committing to no MP/HD until you buy a whole new recorder. And what do you do then? Buy encoders for the existing analog cameras? Get a more expensive hybrid DVR?
If there is any doubt they want MP/HD and the price is not dramatically more, better to just go with an IP system to start.
I always see comparisons of analog to ip to that of standard tv and hdtv. Realistically, there are still people in this world that enjoy their box tv and/or analog cameras becuase they have worked well in the current era without a need for additional investment. Now by the same token, HDTV are the latest trend for various reasons, like ip solutions, however the same way every tv manufacturer offers various options, such as 780 vs 1080 60mhz vs 120mhz, 4 hdmi ports to 1 hdmi port, the bottom line is this, for every TV manufacturer available there is a specific target customer for. Cost is important to discuss but the smart conversation is cost to the individual customer. Get to know your customer then and only then can you sell a sony tv vs a samsung tv vs a colby tv etc. You get my figutive speach. Not every customer is working with your budget to sell something. Get to know their needs and their budget, and you will make your numbers across the sea of ip and even analog options out there.

01/30/14 02:35pm
At the start of the conversation, you just show them video of both. I will log on to a DVR over the network and show them an encoded video of the best analog camera available to me and then I compare it to one of the "lower" resolution IP cameras such as 720p or 1.3mp and tell them is this the cheapest IP camera I have. This way, you have narrowed the pricing gap down as much as possible.
Then let them make the decision. 90% of the time, they go with IP and we are no longer talking about Analog anymore from that point on.

01/30/14 04:47pm
Well, as far as systems go, Like for a cheap 4 channel system. $400-600, for a cheap IP system $900-1200. A "higher end" analog system would cost just as much or more as an IP system.
I prefer not to and rarely do sell pre-packaged systems, as most people arent 100% sure what they need or want, so that is why we start talking about individual cameras at first, to get a feel for what their budget is and what they really want. I ask them questions like "are you looking for Hi-Def images or Standard Def images?" Which sounds like a no-brainer question, but it gets the conversation started. We then go onto to showing video and comparing the prices. Once they decide on IP, I never mention analog again in the conversation and proceed to compiling an IP system.
But then you get those folks who just want a bargain, prepackaged system, we have those available as well, and those types of folks usually do go for the analog.
"I've talked to quite a number of users who are confused and surprised that they cannot add MP to their existing cheaposystem that they just bought a few months ago. It's understandable that they'd imagine they could just swap cameras, but obviously that is not how it works."
But... but... I just bought this snazzy new H-Dee-CEE-cee-something camera, it's got the same connector on it, why CAN'T I just plug it in??
As others have noted, the best sales tool by far is just to display the two side-by-side; saying MP "sells itself" this way may be cliche, but it's probably true more often than not. If you use the other approaches above, and someone is still waffling on the cost, the "visual aids" will almost certainly seal the deal.
At least, that's been my experience...
The method I use to sell the MP system instead of SD is to provide a demo, and here's how I do it.
For "low-cost" video systems I've been using equipment from ICRealtime, and have found a small mini dome (ICIPD2000, 2.1MP 1080P, 2.8mm) to be a decent little camera for the money, less than $300. Incidentally, through a discussion here on IPVM I learned that many of the ICRealtime cameras are manufactured by Dahua including the mini dome mentioned above. I found that the same camera is available from Amazon for much less.
On a sturdy camera tripod I mounted a small plywood platform. On the top of the platform I mounted a good quality (704x480) SD camera. If the client already has a D1 or CIF system then I will use one of their existing cameras. On the underneath side of the platform I have mounted one of the mini domes. I screw a lens into the SD camera to match, as close as possible, the view from the MP camera. Of course, both cams are covering the same horizontal field of view.
The SD cam can be powered with a separate power supply, or even a 12 volt battery. The MP mini dome is powered by a built-in POE port on a small 4-channel NVR which is also part of the demo package.
The last item in my demo package is a 24" TV/monitor that is capable of displaying a 1920x1080 picture. The inputs on the monitor are SD composite, VGA, and HDMI. So, with the two cameras connected to it I can switch back and forth between the two formats. The difference in the image quality usually seals the deal.
I suppose an even better demo would be to have two side-by-side monitors, one with SD and the other with MP. But space is usually limited.
Anyway, this works for me.
I am not including my name on this post, but any replies can call me Woody.
If you're living on the CIO's budget, the question is backwards. It's how do you sell Analog against IP.
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