Security Fears May Drive New Sales

March 7, 2003
With national attention focused on improving homeland security, industry insiders are evaluting the sales opportunities the security market may offer

With national attention focused on improving homeland security, industry insiders are evaluting the sales opportunities the security market may offer electrical manufacturers, independent manufacturers' reps and electrical distributors.

One industry veteran says profitable sales opportunities for electrically related security equipment exist in schools, universities, offices, factories, airports, homes, public buildings and roadways and sports and entertainments facilities.

Security became a front-of-mind issue for U.S. citizens after the 9-11 attacks. According to a report in Access Control and Security Systems magazine, President Bush has set aside $26.7 billion for the Department of Homeland Security as part of his $2.23 trillion spending package.

Included in the budget is $373 million for border security improvements and $500 million to conduct vulnerability assessments for critical infrastructure such as water facilities, nuclear power plants and government computer and communication networks.

Schools and universities have been spending big money in this area for several years, according to the results of a survey published in May 2000 by American School and University and Access Control and Security Systems magazines. The survey reported that public schools spent an estimated $795 million on security systems — an average of $19.28 per student — in 2000.

Many electrical companies are already in the security market without even realizing it because of their experience selling outdoor lighting. Security experts see lighting as a major deterrent to crime.

Ron Landisi, president, Landisi Electrical Consultants, Celebration, Fla., believes electrical distributors and manufacturers can group their security-related products in a special security section in their catalogs. Landisi, who recently started up a security division in his consulting business, said “This is a rapidly growing market to be seized by manufacturers, distributors, independent manufacturers' reps and electrical contractors.”