Market for electronic security technology with record sales

In 2022, the market for electronic security technology in Germany recorded an increase in turnover of 5.2 percent, reaching a record turnover of around 5.2 billion euros for the first time.

"Overall, security technology in Germany is growing significantly, although there are differences in the individual trades," Dirk Dingfelder, Chairman of the ZVEI Security Trade Association, tells us. "The trends towards digitalisation and networking in security technology are continuing. The market is moving towards software-driven, networked products and systems and accompanying digital services," Axel Schmidt, Chairman of the Board of BHE Bundesverband Sicherheitstechnik e.V., explains the positive trend in the market.

Dingfelder sees integration into building technology, alongside digitalisation and networking, as the basis for future market growth in security technology. "We have to look at the building as a whole in order to make further progress both in terms of security, but also energy efficiency, comfort and health."

The associations consider the legal framework and the development of the construction industry to be challenging. "With the European Construction Products Regulation, a legal act that is extremely important for us is currently being revised, which may have far-reaching consequences," Dingfelder reports. "Overall, the signs for construction are not quite as good for the future. The indicators for residential construction tend to point downwards, and for commercial and functional construction they are inconsistent. This could mean a more difficult environment for security technology," Schmidt estimates. In addition, the industry continues to be burdened by the shortage of skilled workers.

Growth varies between the individual trades.

Fire alarm technology - by far the largest trade in security technology and also heavily dependent on the construction industry - achieved sales growth of 6.3 percent in 2022, rising to 2.44 billion euros. Voice alarm systems, on the other hand, remained at the same level with a constant turnover of 130 million euros.

The turnover of video systems developed above average with an increase of 6.6 percent to 746 million euros. The diverse application possibilities and the flexibility of video security technologies, especially in combination with other technologies, contribute to the continuously strong growth. Access control systems also performed well in the market, recording an increase of 8.1 per cent to 454 million euros.

Robbery and burglary alarm systems picked up again in 2022 after a somewhat weaker phase, achieving growth of 1.8 percent to 891 million euros. However, it remains to be seen what effect the discontinuation of KfW subsidies will have in the area of private burglary protection. Currently, only KfW loans and federal subsidies for efficient buildings are available.

Sales of smoke and heat ventilation systems including natural ventilation (RWA/NL) recorded a significant increase to 176 million euros. On the other hand, there was a decline in other technologies such as call systems according to DIN VDE 0834, escape door systems, personal assistance call and other systems and components. Overall, this area nevertheless achieved a plus of 2.5 percent.

Quotations translated by the Editorial Team

Source: bhe.de, BHE, 2023
Image: BHE