Toughest Manufacturer Competitors 2018

Author: IPVM Team, Published on May 07, 2018

150+ integrators answered:

Which manufacturer, when offered by rival integrators, is toughest to compete against? Why?

The overwhelming trend from integrators was low-cost products and, in particular, Hikvision.

In this note, we examine the trend, share detailed color commentary from integrators and examine how this impacts integrator tactics.

Hikvision

The overwhelming winner was Hikvision, with 50% of all integrator responses, far above any other manufacturer.

Integrators made clear three things: (1) Hikvision's low cost was a critical advantage, (2) that they have difficulties countering this and (3) they believed many buyers were not understanding the downsides:

  • "Hikvision because it's so cheap. It's very difficult to explain why one camera is better then the other if you don't know a lot of back-end knowledge. So customers think they are the same as all the others."
  • "HIKVision, the cost difference is often hard to compete against in stand-alone video market. When competing dealers often downplay (or lie about) the government ownership and the lack of cyber protections it can often times confuse end-users, which leads to them reverting to price based decisions."
  • "Hikvision because people don't understand the security risks until we explain it. It's a harder concept for some folks to wrap their head around vs. reliability or resolution quality."
  • "Hikvision, simply price pressure."
  • "Hikvision. Mainly due to its extremely low cost. Also the competitors in our area that use Hikvision also typically have a much lower labor rate. We will go into a place thinking there is no way they would go with Hikvision after we explain the multiple security issues Hikvision has had but sometimes the dollar difference doesn't matter. Anymore we try to quickly weed out customers we suspect that will go that route."
  • "HIK because they drop the price so much."
  • "Hikvision down price is the main problem, but when explaining to the client about the details in the market, he understood and change his decision. but not always works especially when the client is price oriented."
  • "It has to be Hikvision. Because the price is the one factor that can make people abandon their priorities."
  • "Hikvision is the toughest manufacturer to compete against when the price is the most important factor to the customer."
  • "Hikvision. Usually, because the end user gets dazzled by the price. It takes a lot of explaining the vulnerabilities and costs that will be associated with on-site updates and patches to make them see the TCO will be more."
  • "Hikvision is toughest to compete mainly due to lower cost compare to Exacq, Avigilon, Axis etc. We do not offer Hikvision due to its famous Network security features."
  • "Probably Hikvision, and only due to cost advantage. Customers willing to risk "going there" are extremely price-sensitive."
  • "Hikvision for sure. Customers will first see the "great low price" and immediately start comparing our prices. You can try communicating the issues and benefits of other systems: network security, software ease of use, stability, etc. But those are harder to explain to customers who are not technically savvy."
  • "Catch 22 - Hikvision because it's cheap and always the deal of the day hardware but i would counter that easiest to compete against if you can have an honest talk with the customer about how important security is to their business."

Dahua was mentioned far less frequently than Hikvision and the majority of those mentions were said as a combination of the two companies, such as:

  • "Dahua and Hikvision because of price"
  • "Hikvision and Dahua - simple price/performance ratio.. We prefer higher-end products like Axis but regularly lose work to Chinese products."
  • "HIKVISION and Dahua, when they come with Best offer, it is hard to compete them."
  • "Hikvision, Dahua. Dumped price."
  • "Hikvision/Dahua - Price. Rivals need to clearly show."
  • "Typically Hikvision/Dahua"

Low Cost Generally

Get Video Surveillance News In Your Inbox
Get Video Surveillance News In Your Inbox

More generally, a number of integrators cited low cost products even when not mentioning a specific manufacturer:

  • "Any of the lowest cost ones. Cost over quality sometimes is the priority for those who don't factor in what lack of quality actually costs. We tend to stay away from end users whose primary decision factor is price."
  • "Generally if the client is making a decision on money alone we try and educate them on the pros and cons the complete package."
  • "Normally rival integrator will go with a cheap solution that might not work as well, so even though the up front cost seems less the up keep cost and lack of quality in the system can end up costing the customer more in the long run"
  • "Cheap alternative are hard to compete against. A not insignificant percentage of small business owners just want the cheapest thing they can get regardless of performance."
  • "Any of the cheap one but only if the customer is price driven only. If not i can usually demo the better option and steer them away from the cheap stuff"

Avigilon

Outside of low cost, Hikvision and Dahua, the only other manufacturer to receive a meaningful number of selections was Avigilon, though with only a fraction of mentions of Hikvision, including comments such as:

  • "Avigilon; Dealer pricing."
  • "Avigilon because it's built into some specs and Avigilon won't sell to us as we're not a dealer."
  • "Avigilon, they have a superb sales force"
  • "Avigilon. They do a good job of selling the "No reoccurring licensing costs".
  • "Avigilon = cost and performance is very close to our preferred vms exact."
  • "Avigilon because a lot of people still like to use 1 product for integration as they believe it will work better."
  • "It should be Avigilon, but our local dealers are pretty awful so it really isn't."
  • "Avigilon. Performance, offerings, pretty well distributed in specs. Good integrators."

The Advantage of Low Cost

On the positive side for Hikvision, this shows that their strategy of keeping prices low and running frequent sales is having a competitive impact on integrators. Plus, the fact that Hikvision is cited far more often than Dahua (who often sells for less than Hikvision), shows Hikvision's far greater and better marketing (shows, events, parties, ads, etc.) is keeping Hikvision top of mind with many integrators. So long as they continue this combination, Hikvision will no doubt be the toughest competitor to integrators.

Comments (11) : PRO Members only. Login. or Join.

Related Reports

ISC East 2018 Mini-Show Final Report on Nov 16, 2018
This is our second (updated) and final show report from ISC East. ISC East, by its own admission, is not a national or international show, billed...
Magos Radar Company Profile on Nov 12, 2018
Magos America General Manager Yaron Zussman admits when he first came across Magos, he asked himself: "What's innovative about radar?" Be that as...
Video Surveillance Hard Drive Size Statistics 2018 on Nov 08, 2018
What is the most common hard drive size for video surveillance? 150+ integrators answered: What size hard drive do you most commonly use? What...
Favorite Video Surveillance Hard Drive Manufacturer 2018 on Nov 06, 2018
Who is the favorite hard drive for video surveillance use? 150+ integrators answered: What is your preferred brand/model of hard drive for...
Network Cable Shootout - Belden, Hikvision, Honeywell, NavePoint CCA, Windy City Wire on Nov 05, 2018
Every IP camera install needs UTP cabling. But how much of a difference is there between dirt cheap generic cables found online and the bigger,...
Worst Products on Nov 03, 2018
Security integrators periodically report on their favorite and worst products to IPVM. These are known integrators who IPVM pays to answer surveys....
Video Surveillance Hard Drive Failure Statistics 2018 on Nov 02, 2018
Hard drive failures can be significant service problems but how common of an issue are they in video surveillance? How long do drives last when...
Cloud Video Storage Usage 2018 on Oct 31, 2018
Storing email and documents in the cloud have long been common, with on-site email or file servers increasingly eliminated. However, what about...
ADT Acquires Red Hawk, Becomes Billion Dollar Commercial Business on Oct 25, 2018
With its ~7th commercial acquisition in the past year, ADT is transforming itself from a residential provider to a commercial player with now more...
Exacq Co-Founders Return, Start Qumulex on Oct 24, 2018
Exacq co-founders Dan Rittman, Tom Buckley, and David Underwood are back, starting up Qumulex. In 2000, they sold Integral to Andover...

Most Recent Industry Reports

Milestone Disrupts Milestone With Arcules on Nov 19, 2018
Milestone is now competing against... Milestone's own spinout Arcules New IPVM testing shows that Arcules has incorporated a substantial amount of...
Pressure Mounts Against Dahua and Hikvision Xinjiang Business on Nov 19, 2018
Pressure is mounting against Hikvision, Dahua, and other companies operating in Xinjiang as an international outcry brews against the Chinese...
Arcules Cloud VMS Tested on Nov 19, 2018
Arcules is a big bet, or as they describe themselves a 'bold company', spun out and backed by Milestone and Canon.  But how good is Arcules cloud...
'Sticker' Surveillance Camera Developed (CSEM Witness) on Nov 16, 2018
The Swiss Center for Electronics and Microtechnology (CSEM) has announced what it calls the: world’s first fully autonomous camera that can be...
ISC East 2018 Mini-Show Final Report on Nov 16, 2018
This is our second (updated) and final show report from ISC East. ISC East, by its own admission, is not a national or international show, billed...
Facial Detection Tested on Nov 16, 2018
Facial detection and recognition are increasingly offered by video surveillance manufacturers. Facial detection detects faces in an image/video...
Throughtek P2P/Cloud Solution Profile on Nov 15, 2018
Many IoT manufacturers either do not have the capabilities or the interest to develop their own cloud management software for their devices....
ASIS Offering Custom Research For Manufacturers on Nov 15, 2018
Manufacturers often want to know what industry people think about trends and, in particular, the segments and product they offer.  ASIS and its...
Hikvision Silent on "Bad Architectural Practices" Cybersecurity Report on Nov 14, 2018
A 'significant vulnerability was found in Hikvision cameras' by VDOO, a startup cybersecurity specialist. Hikvision has fixed the specific...
French Government Threatens School with $1.7M Fine For “Excessive Video Surveillance” on Nov 14, 2018
The French government has notified a high-profile Paris coding academy that it risks a fine of up to 1.5 million euros (about $1.7m) if it...

The world's leading video surveillance information source, IPVM provides the best reporting, testing and training for 10,000+ members globally. Dedicated to independent and objective information, we uniquely refuse any and all advertisements, sponsorship and consulting from manufacturers.

About | FAQ | Contact