And analogue is expected to stay strong in that segment, with a significant revenue shift to network products unlikely in the next five years.
While a strong transition to network-based IP video equipment is occurring in the professional market, the IMS report said the consumer market would remain solidly analogue through 2017 for 2 main reasons – consumer network cameras are typically twice as expensive as analog cameras, and the market is very price-sensitive.
Meanwhile, many major suppliers in the consumer market are primarily focused on analogue equipment and have comparatively small ranges of network products.
Josh Woodhouse, an IMS market analyst and author of the report, said education also plays a role when it comes to determining which cameras to choose.
“Many consumers do not understand the difference between analogue and network equipment,” he told SSN.
“Often the functionality appears similar. For example, both consumer analogue and networked systems can offer wireless connectivity and remote viewing, but achieve them in different ways. Additional benefits that network equipment can offer are often not applicable or are lost on consumers.”
The consumer and DIY equipment covered in the IMS report is sold online or in retail stores, Woodhouse said. The majority of the analogue equipment is sold bundled, with multiple cameras and a DVR, while consumer network security cameras are often sold individually.
The IMS report said that despite the difficult retail climate, the consumer market for video surveillance has continued to perform well, with double-digit growth forecast for both analog and network product categories.
