FREMONT, CA: Technavio’s report, ‘Global Physical Security Market in the Retail Sector 2016-2020’ predicts that the global physical security market in the retail sector will grow at a CAGR of more than six percent by 2020. Increase in the level of employee theft, shoplifting, supply chain theft, and administrative errors, which are leading to retail shrinkage, is considered to be the major reason behind this change.
The research report categorizes the market into three segments by type, including EAS (electronic article surveillance), video surveillance systems, and access control and intruder alarm system. Since these physical security solutions help control the inflow and outflow of products and reduces retail shrinkage, there will be an increase in the demand for physical security systems in the coming years, of which the EAS market in retail sector will grow at a CAGR of seven percent by 2020, yet the video surveillance market segment will continue to dominate in the market.
The security system providers are focusing on delivering innovative retail security solutions with high efficiency to sustain the level of competition. Axis Communications, Bosch Security Systems, Checkpoint Systems, Crossmatch, Honeywell Security and Tyco Security are some of the leading vendors in this market.
According to the research, America will dominate the market accounting for more than 46 percent shares of the physical security market in the retail sector by 2020. The increased demand for security solutions will mainly attribute to the growth in the number of retail stores and facilities in the region. America will be followed by EMEA with 38 percent and APAC with 15 percent.
“The global retail market will grow significantly during the forecast period, driven by the discount, dollar store, food, and service retail concepts. Restaurants will be the strongest category in terms of overall unit growth among all retail concepts. The demand for physical security deployments will increase in line with the significant growth in the global retail industry,” says Amrita Choudhury, Lead IT Security Research Analyst, Technavio.