Report: DIY Self-Monitored Home Security Systems to See Strong Five-Year Growth
The total number of do-it-yourself self-monitored security systems is expected to grow at a 15% compound annual growth rate through 2027, according to Strategy Analytics’ report DIY Security Market Forecast – US and Western Europe – May 2022.
In the wake of rising prices for everything from gasoline to food to housing, a growing percentage of U.S. consumers are shifting to low-cost, self-monitored security solutions such as Amazon’s Ring, SimpliSafe, and new entrants such as Wyze, as well as better known systems from ADT and Brinks, according to Strategy Analytics’ report.
Professionally monitored systems will continue to represent the majority of U.S. home security systems, and will generate more annual revenue, even though the rate of growth for professionally monitored systems is slower than for self-monitored systems.
Many consumers find DIY solutions to be adequate for their security needs, according to the research firm. These systems often rely on home broadband for connectivity.
“Self-monitored security solutions are expanding the whole idea of what a security system is,” said Bill Ablondi, director of Strategy Analytics’ smart home strategies research and advisory service, in a prepared statement. We see the trend expanding the overall security market including the pro-monitored segment. Consumers will seek out more complete systems that include automation as well as security and that’s where professionally installed solutions have an advantage. Self-monitored security solutions are changing the dynamics of the security market.”
Self-Monitored Home Security Systems Growth
While the revenue for self-monitored security systems will increase at a 10% compound annual growth rate (CAGR) between 2022 and 2027, revenue for professionally monitored systems will see only a 5% CAGR the next five years, according to the research firm.
Spending on professionally monitored security is four times that of spending on self-monitored security, however, the researchers noted.
By the end of the forecast period, 18 million households in the US will have a self-monitored security system according to Strategy Analytics’ analysis.