Info Tech: January 12, 2011 eNewsLetter |
As a reputed publisher of off-the-shelf market research, Global Industry Analysts (GIA) released a research report titled “Electronic Access Control Systems: A Global Strategic Business Report” that provides a comprehensive review of market trends, issues, drivers, company profiles, mergers, acquisitions and other strategic industry activities.
The report shows that despite the economic downturn, the typically recession proof electronic access control systems (EACS) market is weakening due to the steady deterioration in business climate. EACS growth patterns have been deteriorating with the collapsing of key end-use sectors such as banking, financial services, retail, IT sector, construction, and hospitality. Distortions in economic variables including dried debt market, low capital investments and huge corporate budget cuts have led to reduced EACS market opportunities.
EACS equipment order influx rates have been negatively impacted by construction industry meltdown, high vacancy rates, non-availability of new building permits along with scale-back in government related infrastructure projects. With builders following the survival approach, postponement and cancellation of security projects as well as delayed system replacement has resulted in reduced EACS replacement demands.
In spite of these, prevention of authorized access and perpetrators detection plays an important role in the overall security arrangements. Organizations, government agencies and general public are still focused on safety and security measures to ensure safety of human life and asset protection, resulting in steady but squeezed order for EACS.
The report shows that post recession period, EACS market will be driven by quick resurgence of demand fundamentals such as improved disposable spends, increased infrastructure investments and increased commercial and residential building construction. With the ease of liquidity issues and financial hardships, the EACS market growth is forecasted to rebound. Furthermore, development of advanced, higher value access control systems having integration capabilities with previously installed access control systems will lead to increased demand for EACS market.
As per the report, U.S. still the leads the largest regional market with Asia-Pacific closely following at a CAGR of about 3.7 percent over the analysis period. Economic development in emerging countries such as China and India, increased foreign investment, increased business establishments and increased crime rates are primarily driving the Asia-Pacific growth market. Card-Based Electronic Access control systems market is leading with smart cards representing the largest revenue contributor to the card-based EACS market.
