For many traditional home security professionals, self-monitored home security is nothing more than an amateur attempt to mimic real monitored security. But a surprising article by Bob Bryan, “Silicon Valley will soon become a massive player in home security”, published by Business Insider on July 27th, 2015, may get you to think otherwise.
Self-monitoring is a fully automated security system that alerts the user via SMS text messages and/or email messages in cases of break-ins or intrusions in a home or business. Until recently, most companies offering self-monitoring security were independent start-ups with a limited set of proprietary hardware. Some of these companies charge a small monthly fee for the use of their apps, while others give you the service for free when you purchase their hardware.
Traditional security has always agued that the user is never really protected with self-monitoring, once there is a chance that a break-in could happen while the user is out of reach or the phone has a dead battery.
Self-monitoring companies, on the other hand, have always agued that most systems can be programmed to send alerts to a large group of people, therefore someone in the user’s circle can always be alerted in cases of intrusions, fires, floods and so on.
So, back to Business Insider: the article states that Silicon Valley companies like Google and Apple are entering the home security industry. Not a big surprise, since these companies tend to get involved in everything. What is surprising is the statement that “self-installed and self-monitored are going to become the new norm for home security” according to a cited Citi note. The article goes on to predict that within the next five years these DIY self-monitored systems could increase their market share from today’s 2.3% to 34% of the total market.
The main argument is that millennials prefer tech companies and have knowledge of smart devices, thus most likely will choose DIY self-monitored home security systems. Millennials are the next generation of homebuyers, according to the article.
A predicted market shift from 2% to 34% in just five years is not an evolution, but a revolution instead. It means that the industry might have to forego old concepts before the next full moon.
If this is really going to happen, it remains to be seen. Many market analysts tend to focus only on new market niches, and millennials are the new group of choice. It seems that nowadays all products and services are only targeting them, as if they were the only consumers in the marketplace.
Most likely older, more traditional customers that are not as tech savvy will not embark this new journey, and will certainly demand the traditional monitoring system. And there are a lot of them.
At the end of the day, we all benefit from having more options to choose from. It’s not because one is a baby boomer, an X or Y generation, a millennial, a hipster or a yuppie, that the choices should be pre programmed. It boils down to individual preferences. What you as an individual fell is safer and more comfortable for you and your family.
Nonetheless, welcome to a new world.