VIDEO SURVEILLANCE: MARKET TRENDS AND EXPECTATIONS

SPONSORED BY

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T his white paper provides a snapshot of the surveillance technology currently installed around the UK and, to a lesser extent, the world. Having surveyed hundreds of security professionals from security managers and control-room operators to heads of security and CEOs weve provided insights into the most widely used brands, the factors that influence procurement decisions and how control rooms use their CCTV systems, among other things.

CCTV has arguably undergone three significant paradigm shifts in the last two decades: the migration from analogue to IP, a quantum leap in image quality and latency and, most recently, a change in how surveillance cameras are even used. Mindful that the first of those shifts is very much still ongoing we asked respondents if they still have analogue cameras and a majority 58% did.

But while businesses have embraced the HD revolution more readily 65% of those polled had HD cameras securitys traditional status as a grudge purchase meant it was worth delving into how much old technology is still out there.

BEYOND DETECT & DETER: A NEW ERA IN SURVEILLANCE BECKONS

And yet, the third of those trends is now undermining this very notion, that surveillance as a grudge purchase. CCTV might occasionally prevent criminality and therefore reduce losses, but it hasnt traditionally made any difference to revenues. An attitude of if it aint broke, why fix it? has therefore often prevailed when it comes to upgrading surveillance systems, especially amid challenging economic circumstances like those endured since the global banking system went into meltdown in 2008.

But not only have economic conditions brightened, but a further technological development is incentivising those involved in procurement to invest more heavily in surveillance tech: video analytics. Automating to some extent the monitoring process video analytics software can cut staffing costs and streamline the security operation. Analytics platforms, which can detect loitering incidents and build heat maps based on movement and dwell time, have tremendous potential in numerous sectors, such as retail, to track customer behaviour and boost conversions.

In short, analytics software can bring tangible benefits to both sides of an organisations balance sheet: revenues as well as costs. Though still a nascent market, our survey reveals significant uptake and enthusiasm for using video analytics to glean, and act upon, business intelligence.

Report written by Adam Bannister, content and community manager, IFSEC Global.com

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SURVEY RESULTS AND ANALYSIS

IS YOUR SURVEILLANCE SYSTEM AN END-TO-END SOLUTION BY A SINGLE MANUFACTURER?

Yes the entire system is made by a single brand

No the dierent components are made by more than one brand

36%64%

J ust over one in three (36%) respondents have end-to-end surveillance solutions encompassing cameras, NVR/DVR/VMS and network equipment by a single manufacturer. That left a significant majority (64%) with components from more than one brand.

The plug-and-play aspects of one-stop-shop solutions enable a fast, rapid deployment and technical support from one manufacturer, which benefits both the integrator and end user, plus the end user get the additional benefit of ease of operation and simple, low cost maintenance all delivering a lower cost of ownership. Brian Song, managing director, IDIS Europe

WHO MANUFACTURES YOUR SURVEILLANCE SYSTEM?Despite some major recent acquisitions in recent years notably Tyco of Exacq in 2013, Canon of Milestone in 2014 and a mooted takeover of Axis Communications by Canon still pending the surveillance sector remains highly fragmented. Axis Communications (16%), Hikvision (13%), Panasonic (7%) and Pelco (7%) led the multiple-brand pack with relatively modest percentages. The list of manufacturers selected was long.

The VMS/DVR market is more fragmented still with no supplier garnering more than 7% of responses (Hikvision, Exaq and Bosch being tied), while Axon (5%), IDIS and Canon (4%) also attracted a significant response. Axis and Milestone (9%), Hikvision and exacq (5%) and IDIS (4%) attracted the biggest response in a similarly fragmented client software sphere.The network equipment arena is more consolidated, however. Cisco enjoyed a clear lead, with 29% of respondents using equipment from the Californian multinational, followed by

Netgear (18%) and TP Link (12%).Two manufacturers with origins in the Asia-Pacific have the biggest presence in the end-to-end market if the survey is an accurate barometer. Survey sponsor IDIS, which was founded in South Korea, and Chinese CCTV giant Hikvision were tied on 9% of responses apiece. Just behind them were Canadian-headquartered Avigilon (7%) and German veterans Bosch ( 6%).

0 10 20 30 40 50 60 70 80

WHAT, IF ANY, MISGIVINGS MIGHT YOU HAVE ABOUT REPLACING YOUR ENTIRE SYSTEM WITH AN END-TO-END

SOLUTION BY A SINGLE MANUFACTURER?

Prefer to get the best in class in each field

Dont like being beholden to one manufacturer

Too expensive to buy everything all at once

Think separate components work out cheaper in total

I'm a techie at heart and enjoy putting dierent parts together No misgivings happy to upgradeOther

29%

62%

27%

27%

16%

11%

5%

Asked if they had any reservations about replacing disparate components with an end-to-end solution by a single manufacturer a clear majority (62%) said they preferred to get the best in class in each field. These respondents, as the answer elaborated, dont believe a single manufacturer is likely to master all technologies rather, theyll more likely be a jack of all trades, master of none, if you like.

Its perhaps no surprise that 40% of these connoisseurs for whom only the best will do also proclaimed themselves a techie at heart who enjoys putting different parts together themselves, compared to the 16% overall who ticked this option.

End-to-end solutions are designed for optimum interoperability, which often isnt the case when buying different elements from different manufacturers, even when ONVIF-compliant, as the full functionality of cameras and other products often isnt realised. Brian Song, managing director, IDIS Europe

The 30% who didnt like being beholden to one manufacturer also accounted for a larger proportion of those whose primary worry (in a question covered on page 6 of this download) about their surveillance system was the manufacturer going

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ARE YOUR SURVEILLANCE CAMERAS ANALOGUE OR IP?

100% IP-based

100% analogue

A mixture of analogue and IP

13%

42%45%

WHY DO YOU STILL HAVE ANALOGUE CAMERAS?

Dont want to rip out perfectly good cabling and other infrastructure

Cant aord to upgrade yet

They work eectively if it isnt broke, dont fix it!

Dont need the functions oered by IP in our sector/for our needs

Have misgivings about security vulnerabilities of IP

Think the advantages of IP are exaggerated

Have misgivings about security vulnerabilities of IP

Other

0% 5% 10% 15% 20% 25% 30% 35% 40%

38%

37%

35%

18%

14%

10%

10%

6%

bust and no longer supporting updates (27% against a 20% average overall) an understandable concern in a marketplace increasingly driven by software. In this sense, then, the biggest, most established brands like IDIS, Axis and Pelco hold an advantage over more recent, smaller entrants to the market.

Twenty-seven percent preferred to upgrade individual components in stages rather than approaching their boss or indeed shouldering responsibility for that decision themselves with a request for a huge one-off investment. An identical proportion mostly the same respondents, no doubt thought the staggered approach to buying different components also worked out cheaper overall. Like the aforementioned jack of all trades theory, the perception here, perhaps, was that a single manufacturer couldnt be the cheapest brand in every area either.

Only 11% had no misgivings whatsoever, suggesting that end-to-end solutions providers like IDIS and Hikvision can generate considerable custom by changing perceptions.

End-to-end solutions actually take a lot of complexity out of the security buying chain as well as technically. Distributors can sell complete systems, which saves them time and effort, while integrators neednt source multiple products to build a complete surveillance solution, which saves them time and money too.

even have a single IP camera running. So if its true to say that the migration to IP feels like quite an old story now, it certainly hasnt yet reached its closing chapter.

Asked why they still had analogue cameras, the response of that 58% is probably unsurprising to keen students of the security market. A reluctance to rip out perfectly good cabling and other infrastructure (38%), being unable to afford to upgrade (37%) and an endorsement of the adage if it aint broke, dont fix it! (35%) all attracted a similar share of the vote.

Even with ONVIF, there are so many headaches with IP video equipment compatibility. One IP camera firmware upgrade or a single VMS software upgrade can mess up the whole system.

Anonymous survey respondent

Other responses included: Cable distance exceeds PoE spec IP cameras using H.264 can deliver poor results Constraints about cable length of IP cameras I think there is a place for IP and a place for analogue Unwilling to use IP due to high costs of IP cams

IP solutions have traditionally been seen as expensive, but were definitely starting to see a shift in perspective as manufacturers and systems integrators educate the market. Compared to maintaining and operating ageing analogue systems, the return on IP investment is pretty fast and the cost of ownership much

Brian Song, managing director, IDIS EuropeThe first centralised IP network camera was launched as long ago as 1996 in the dying days of the John Major Government and two years before a website called Google was launched. Nearly two decades on from the launch of the Axis Neteye 200 some 58% of the security professionals polled by IFSEC Global still had at least some analogue cameras operational; 13% didnt

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lower. IP surveillance delivers lower maintenance costs, ease of operation for operators, faster footage retrieval, less of the system downtime inherent in ageing equipment and enhanced coverage and image quality which all improves security and safety and delivers operational efficiencies. IP also allows for more simple integration with other security systems to close gaps in security that increase the risk of a breach. Brian Song, managing

WHEN DID YOUR ORGANISATION FIRST INSTALL IP CAMERAS?

Within the last 12 months

12-24 months

2-5 years

6-10 years 14%

27%

41%

18%

WHICH 3 FACTORS ARE THE MOST IMPORTANT WHEN YOURE CHOOSING A SURVEILLANCE SYSTEM?

High image quality

Reliable, established, trusted brand

Easy integration with existing infrastructure

Good value

Easy maintenance

Reputation for quick, ecient after-sales support

Strong data security

Future proofed

Large storage capacity

Easy installation

0% 10% 20% 30% 40% 50% 60%

60%

43%

35%

33%

24%

24%

23%

21%

21%

15%

WHAT RESOLUTION ARE YOUR SURVEILLANCE CAMERAS?

CIF (352 x 240 pixels)

D1 (704 x 480 pixels)

High-Definition (HD)

Full-HD

Ultra High-Definition (UHD)

Combination of these

36%

13%

29%

19%3%

HOW DO YOU USE/PLAN TO USE YOUR SURVEILLANCE SYSTEM?

I only use it for detecting/ deterring criminal activity

I only use it for detecting/ deterring criminal activity but I want to use analytics for business intelligence

I already use analytics for business intelligence

18%

51%31%

director, IDIS EuropeIf consumers have long been accustomed to high-definition televisions then it remains a relatively recent phenomenon in the CCTV world. Grainy images and low frame rates long characterised CCTV footage but once launched HD cameras swiftly achieved significant penetration. Sixty-five percent of those polled say their cameras are HD, with 29% enjoying full HD resolution. Ultra HD, which only arrived on the scene in , remains an embryonic market with less than 1% of the vote.

brand on 43% which chimes again with the aforementioned revelation that many end users are worried about the prospect of their provider going under and discontinuing software updates (find out more on page 6).

Easy integration with existing infrastructure garnered 35% of the vote, again understandable in the smart-buildings era when customers expect their security apparatus to connect to speak to each other. Just under a third (33%) considered

This apparent hunger for HD quality images is clearly reflected in the fact that image quality topped the poll of factors influencing the choice of CCTV system. Clearly ahead with 60% of the vote image quality is followed by a reliable, trusted

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good value to be paramount.Only a few years after video analytics and business intelligence entered the surveillance operators lexicon a huge number of respondents were already thinking beyond loss prevention in how they used their cameras. Only 31% of respondents did not envisage ever doing anything other than monitoring footage for signs of theft or unsocial/suspicious behaviour.

A significant majority either already used or plan to use their systems for business intelligence for boosting productivity, enhancing the customer experience and making money. Nearly one in five (18%) already deployed analytics platforms. That 51% of those polled would like to acquire analytics software to

WHAT IS YOUR BIGGEST WORRY ABOUT YOUR SURVEILLANCE SYSTEM?

That the system will fail to provide adequate evidence to secure a conviction

That the business will suer losses because the system hasnt worked as a deterrent

That the manufacturer will go under and it will no longer support software updates

That the system will break down and cost a fortune to repair

That I will fall foul of the Data Protection Act

That data will be stolen

0 5 10 15 20 25 30 35

35%

20%

20%

12%

10%

3%

create more value. Brian Song, managing director, IDIS Europe

If video surveillance is now about so much more than crime detection and deterrence then its traditional application nevertheless remains its operators primary concern. The prospect of their system failing to provide adequate evidence to secure a conviction was the biggest worry cited, polling 35%.

This certainly helps explain the headlong rush to upgrade to HD quality cameras. Back in 2007 a Home Office report revealed that about 80% of cameras produced images of such poor quality that they were effectively useless in a court of law. This dwarfs the 20% whose main fear is that the business might suffer losses because the system has failed as a deterrent suggesting that security professionals have as much concern for wider society as their business.

Back in 2007 a Home Office report revealed that about 80% of cameras produced images of such poor quality that they were effectively useless in a court of law.

In the era of Big Data it seems CCTV managers have faith in themselves, the technology or both to prevent data theft or avoid falling foul of regulation governing the storage or use of data. Despite being constrained in how they record, store and manage images by the Data Protection Act only 3% cited the prospect of contravening that legislation as their primary fear.

And only 10% were predominantly worried about the prospect of data theft perhaps understandable given that data is invariably stored on closed networks; break-ins and inside jobs arguably pose a bigger threat to data than online hackers.

understand and predict customer behaviour, among other uses, will please exponents in the field like Genetec and Mirasys.The strong appetite for video analytics is great news for the industry as a whole as it means customers are realising tangible benefits beyond security. Thats a win-win for everyone as we

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WHICH BEST DESCRIBES YOUR ROLE?

I own the business

Im a security manager but not a decision maker when it comes to technology

Im a security manager and a decision maker when it comes to technology

Im a head of security or director of security

Other including CEOs, project managers and business development managers, among others

31%

29%

8%

25%

7%

IN WHICH COUNTRY ARE YOU BASED?

UK

India

South Africa

US

Nigeria

Austrailia

Ireland

Israel

Italy

Kenya

Romania

Turkey

Other

26%

13%

22%

7%6%4%

3%3%

3%3%

3%

4%3%

Security professionals in a wide range of roles and seniority completed the survey. With four in five (80%) either owning their business or being a decision-maker when it comes to procuring technology, their views carry some clout manufacturers, installers and consultants take note!

VIEW FROM A CCTV CONSULTANTSimon Lambert founded Lambert & Associates in 1996 and is currently Technical Lead on the CCTV National Standards Forum.

It doesnt surprise me that there are still a lot of analogue cameras out there. Quite often people will stay in their comfort zone if there is no reason to move out of it. It doesnt mean that analogue cameras fail to be of any use. We simply have both available now

WHO COMPLETED THE SURVEY?

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and its good that we have the flexibility to choose the most appropriate thing for the job. I cant comment on the statistics about video analytics as Ill take the stats as I find them. I do often hear people say I want IP because I want to connect my system to the outside world for remote viewing or I want to use analytics. I think people now feel with professional electronics that the obsolescence is so rapid that what you buy today might be supported, updated and serviceable only for a relatively short period of time. Personally, I do find that strong brands that are known for their quality of support are a strong influencer when people choose systems. For decades now so many CCTV installers havent designed their systems to meet operational requirements with the right fields of view and so on. With HD theres an even bigger danger that good design gets overridden its a good picture quality anyway, so the design doesnt matter so much.Having said that, if the picture is that much better, if there is more detail, then that comment has a ring of truth to it. So while its a bad philosophy, practically speaking, in a lot of situations it could be true. So its a double-edged sword.