Integrators Survey Results on Increasing Sales/Revenue

By: John Honovich, Published on Aug 29, 2009

An SSI survey [link no longer available] examines various factors impacting sales and profiability of integrators including technology selection, obstacles faced, market selection and margins achieved.

Technology Selection

Of all security products, video surveillance dominated the technologies selected with a comined 51% selected as the products to generate more non-recurring revenue. SSI broke it down into 10 categories with 4 video surveillance related: IP based systems, video surveillance, megapixel cameras, wireless networks. Interesting, video analytics was not offered but at least a few integrators wrote it in.

Obstacles Faced

Training consistently ranked as the #1 or #2 in both generating new revenue or in reducing costs. While I agree of its importance, this is somewhat surprising as training is not as frequented requested or discussed by industry people.

Market Selection

Government and healthcare dominated the preferred markets for integrators with respectively 33% and 20% of the votes. By contrast, commercial sector only received 5%. This is sensible for US integrators given that government funding is holding up the economy currently.

Margins Achieved

Integrators reported actual margins of only 24% despite tageting margins at 34%. While the poll does not specify, I would assume that these are gross margins and calculated for the entire job (the most common way of doing so). Only 13% reported 40% margins or higher.

Comments : Members only. Login. or Join.

Related Reports

2020 IP Networking Book Released on Jan 06, 2020
The new IP Networking Book 2020 is a 280 page in-depth guide that teaches you how IT and telecom technologies impact modern security systems,...
Positive Outlook for 2020 on Dec 23, 2019
Integrators are overall strongly positive for 2020, according to new IPVM statistics: This continues the trend for integrator sentiment in 2019...
"Good Market, Bad Business Models" - Residential Security on Dec 11, 2019
Industry banker John Mack, at his company's annual event, took aim squarely at the problems in the residential security...
Resideo CEO To Step Down on Dec 03, 2019
Resideo's CEO, Mike Nefkins, is stepping down, just 18 months after being brought in to lead the now plagued spin-out. Inside this note, we...
"Stress in the Residential Market" - Major Lender Exits on Nov 06, 2019
The residential security / 'alarm' market is getting worse, at least for traditional players. Now, one of the biggest lenders in the industry has...
Resideo Stock Plunges 37%, CFO Ousted on Oct 23, 2019
The horrible year for the ADI / Honeywell Home spinout, Resideo, just got worse, with their stock plunging another 37% today. Not even a year...
In China, Foreign AI Companies Banned or Disadvantaged, Says Top China AI Company on Aug 28, 2019
Non-China (PRC) companies are prejudiced and unfairly targeted inside of the PRC's booming AI market, which not only denies them revenue inside of...
Anyvision Aims For 2022 Revenue of $1 Billion on Jul 17, 2019
Only 3 video surveillance manufacturers do a billion dollars or more in annual revenue - Hikvision, Dahua, and Axis. Now, Anyvision plans to join...
Beware African 50,000 IP Camera Contract Scam on Jul 12, 2019
A “Nigerian Prince” scam for the video surveillance market is going around. You, or at least we, could be lucky enough to be the single bidder for...
Verkada Gets Half Billion Dollar Valuation on Apr 26, 2019
Last week, when we profiled Verkada (The Fastest Growing Video Surveillance Sales Organization Ever - Verkada), we predicted they would raise $40...

Most Recent Industry Reports

Embedded Logix Thermal Temperature Detection System Examined on Apr 08, 2020
Embedded Logix has been producing thermal temperature measurement systems for industry and fire detection for over 10 years. Now, they are entering...
Micron 1 TB SD Cards Aim To Eliminate NVRs on Apr 08, 2020
Micron has boldly proclaimed their latest 1TB microSD "eliminates the need for network video recorders", targeting the growing market of...
US DoD Declares "Can No Longer Do Business" With Contractors Using Dahua, Hikvision, Huawei on Apr 08, 2020
The US Department of Defense has confirmed to IPVM that they fully support and intend to proceed with the NDAA 'blacklist clause' covering Dahua,...
IPVM's 12th Anniversary - Thank You! on Apr 07, 2020
IPVM is proud to celebrate it's 12 anniversary expanding our commitment to providing the industry independent and objective information on video...
Mobotix Thermal Body Temperature Detection Examined on Apr 07, 2020
Mobotix has jumped into the Coronavirus temperature detection market, but how do they compare to thermal incumbents like FLIR or ICI who have been...
Verkada Coronavirus Response: Free Temp Systems For Government and Health Care on Apr 07, 2020
Verkada has built a reputation on giving away things for free - free Yeti Tumblers, free trial cameras and now free temporary systems for...
Hikvision USA Refuses, Dahua USA Drives Forward With "Coronavirus Cameras" on Apr 07, 2020
Both have been federally banned, both sanctioned for human rights abuses but only one - Dahua - is taking aim at the booming "coronavirus cameras"...
China Surveillance Vulnerabilities Being Used To Attack China, Says China on Apr 07, 2020
While China video surveillance vulnerabilities have been much debated in the West in the past few years, China is now saying those vulnerabilities...
USA ICI Elevated Skin Temperature Detectors Examined on Apr 06, 2020
Infrared Cameras, Inc. (ICI) is aiming to help slow the spread of COVID-19 with "pinpoint accurate skin temperature measurement" using their...
Trade Groups Request NDAA Blacklist Delay Citing Coronavirus on Apr 06, 2020
Two trade groups representing government contractors have asked Congress to delay implementation of the NDAA's 'blacklist' clause from this August...