Tech Trends: Is Commercial Sector DIY a Threat?

Tech Trends: Is Commercial Sector DIY a Threat?

The emergence of Do-It-Yourself security technology has revolutionized the residential security market, but can this revolution threaten the commercial security business? Will this trend move from the home DIYer to the commercial marketplace?

DIY security technology is being marketed everywhere – TV commercials, online advertisements, big box stores, home improvement stores, etc., and just about every big name (Amazon with Blink, Ring and Alexa Guard Plus, Google with Nest, Blackstone with Vivint, Netgear with Arlo, ADT with Blue, and independents like SimpliSafe, Cove and many others) have positioned themselves in the DIY security game.

You can find alarm systems, various detectors, cameras, smart locks, just about every traditional security endpoint now comes as a IoT device that can easily be added to a home network or installed and configured with a smartphone.

The DIY market has a lot going for it, providing some significant advantages over its more traditional security technology predecessors. Here are five:

1. Easy to install and configure: In many cases, device enrollment is as easy as downloading an app and scanning a QR code, and the user is operational. Let’s face it, this is not the case in the commercial world, where knowledge of the device, the platform its operating on, and the networking system that connects the edge devices are all a part of the configuration process.

2. Quality and reliability: The output quality is comparable to commercial grade (noting some significant drawbacks with the DIY systems) and the reliability – while not to the level of its commercial grade comparable devices – is good enough for most consumers.

3. Low cost and barrier to entry: From cameras under $25 to smart locks hovering around $250, costs for this technology comparative to the commercial market are significantly lower. Many systems offer a trial or feature limited version of service that make the barrier to entry also very low – enabling consumers to try it out without making a big commitment. This is also very cleverly designed to draw them into a service plan.

4. Built-in RMR: The holy grail of the residential security market, these products have significant Recurring Monthly Revenue (RMR), making this a gold rush to grab market share.

5. Public safety impact: Many service providers have programs to support local law enforcement efforts with camera feeds. While this is a great tool for crime fighting, it is also a concern for privacy advocates in the over use of private-sector security technology for public sector use, and in the mass collection of data on the populous by big tech.

How Integrators Can Take Advantage

The pace has been set, the DIY installation of IoT security edge devices is here to stay. With its rapid growth and benefits that clearly make this an advantageous business venture for manufacturers, is the commercial market in danger of losing market share to innovations in DIY applications?

I believe the answer is yes, as least for small to mid-sized applications. The truth is that VSaaS and ACaaS companies are moving in this direction already, making the installation of security edge devices like cameras, sensors, and access points easier than ever to install and configure.

That said, I see some significant gaps that DIY manufacturers are not in a position to address, and it is where these gaps exist that commercial security integrators can provide a value-add to the emerging residential and commercial DIY market.

While DIY manufacturers are banking on the DIYer, the integration industry should be looking at the obvious holes it creates in both the residential and commercial marketplace. For us as an industry to adapt and embrace advances in technology, we need to find the areas where we can bring value to the user in the process of planning, designing, deploying, and managing this technology. Here are three key areas:

Advanced applications – These aaS and DIY systems are limited in their enterprise-level applications – especially when a customer needs high availability in critical facilities and applications, advanced configurations, integrations, and features from third-party manufacturers. Integrators and consultants need to know how to properly advise clients when they are considering what appears to be an easier solution. What are they losing with the “easier” solution? What are the holes of the “easy” solution?

Design and installation – Sure, any novice can put a camera up to watch the door, but what about resolution, pixels on target, frame rate, back light considerations, retention periods, etc., for video surveillance applications? Consider door hardware, egress requirements, credentialing technologies, etc., for access control. What about appropriate sensor selection and use, local code compliance, communications redundancy, etc., with alarm systems? These are all areas where the security professional is able to surpass a novice in designing and deploying a commercial or enterprise class system.

Specialized expertise – At the end of the day, even the most crafty DIYers have other responsibilities. Taking the time to review, select, purchase, install, and configure DIY systems is still extra work. Integrators have an opportunity to pick up this void in the market by offering residential and small business packages that are turnkey and also provide RMR.

Security technology professionals need to be ready to identify and respond to the changes in the market with viable solutions. By studying this and other market trends, you can see where the emerging technology is going and where it will influence the rest of the industry.

Article Link – https://www.securityinfowatch.com/integrators/article/21296316/tech-trends-is-commercial-sector-diy-a-threat

This article originally appeared in the March 2023 issue of Security Business magazine. Paul F Benne is the President of Sentinel Consulting and has over 35 years in the protective service industry.

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