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Key Note estimates the value of the vehicle
security market at around £165m at msp in 1994, growing to £198m at
msp in 1995. These estimates take into account both the new car market sector
and the aftermarket sector, but do not include the charges of the professional
installers.
The retail aftermarket for security products grew very
rapidly between 1988 and 1994. Growth has now slowed, as the car manufacturers
have tended to install immobilisers and central locking as standard features of
many of their models. It is agreed by the industry that the retail market is
likely to dwindle eventually, but there are still many old cars on the road
with inadequate security which continue to provide a fairly strong retail
demand.
The main categories of product on the market are locks,
mechanical immobilisers, electronic and electromechanical immmobilisers,
alarms, combined immobiliser/alarms, tracking services and security marking
systems. There are also many niche sectors, especially concerning commercial
vehicles. No single security measure can be expected to give 100 percent security and
a combination of measures is recommended.
The general trends which have
given rise to the growth in the market are the vehicle crime rate, which is
very high despite an improvement in 1994 and 1995, the rising number of
vehicles on the road, the increasing cost of insurance, and the incentives
offered and conditions made by the insurance companies. There has also been
publicity by the police, motoring organiations and the press.
More
specific trends currently affecting the market are an increased demand for
products which have been approved by the Association of British Insurers and
which are installed by approved fitters, and a tendency for the car
manufacturers to place more emphasis on the fitting of sophisticated security
devices as a selling point for their cars.
There is still substantial
scope for future market growth. Many heavy goods vehicles lack adequate
security and cost of of losses of vehicles and cargoes is substantial. There
are still many old cars on the road with little in the way of modern security
sytems. There appears to be a demand for a span of products ranging from
simple, low-cost mechanical devices to high-specification alarm/immobilisers.
Text © 1996 Key Note
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Last updated by Duncan Nottage 5th March 1999