China's security industry development situation

At present, the scale of China's security industry continues to expand. From 2008, the growth rate of the total output value of the security industry has remained at a high level of around 20% for five consecutive years. In 2012, the total output value has reached 320 billion yuan, and is expected to be in 2015. Breakthrough 500 billion yuan. In addition, the security industry structure in China has been constantly optimized. In addition to the continuous enrichment of product categories, various security service businesses, such as risk assessment, effectiveness assessment, construction supervision, maintenance and maintenance, intermediary consulting, and business training, have also shown a significant growth trend.

The rapid expansion of China's security industry has rapidly emerged as an important force in the world's security industry. With the continuous increase in the number of enterprises in the industry and continuous injection of capital, the problem of homogenization of products caused by the general lack of innovation in enterprises has followed. The resulting low-cost and disorderly competition has seriously restricted the overall competitiveness of the industry. . Under this background, accurately positioning the consumer market and using emerging technologies to innovate products and services to build brand core competitiveness have become effective for many security companies to transfer from the low-profit zone of the industrial chain to the high-profit zone and to get rid of low-level competition. way. Therefore, under the premise of ubiquitous corporate resource constraints, how to achieve rapid product brand building through accurate product positioning, and then carry out accurate marketing, accurately and quickly transfer product and brand concepts to the company's exclusive consumer market, is a number of security Enterprises, especially small and medium-sized enterprises, need to consider issues urgently.

First, the vigorous development of the industry brings unprecedented opportunities for security companies. (1) Increased industrial strength puts higher demands on enterprise innovation capabilities The overall strength of the security industry continues to increase, and the requirements for industrial development on internal enterprises’ technological innovation capabilities are also increasing. Security products are moving toward digitalization, networking, high-definition, integration, specialization, intelligence, standardization, and mobilization. The industry-based technology innovation system is gradually being formed.

(2) The continuous expansion of market applications has brought new opportunities for development. The social economic development and the development of the security industry have led each other. The market application range of security products is gradually expanding. With the advancement of “safety construction”, the application of security products in the traditional fields such as finance, culture, transportation, and government has deepened. At the same time, the demand for security products in new application fields such as education, health, sports, energy, and communications is also increasing. Keep warming. In addition, the market demand for civil security products used in community security has been continuously expanding, and has shown a tendency to extend from first-tier cities to second- and third-tier cities and rural areas, and from coastal areas to inland areas. The continuous change in market demand has accelerated the age of major security and brought unprecedented opportunities for development for security companies.

Second, homogenization of products has become a development of security companies. The problem of homogenization of products within the industry has become increasingly prominent, and has become a major obstacle to the overall competitiveness of the industry.

(1) The low-end products and OEM phenomenon are flooding the security market At present, although the domestic security market has a broad prospect, due to the low threshold of industry entry, more and more enterprises join the security industry, and most enterprises tend to focus on short-term In the game, there are relatively few companies that have focused on product innovation and have focused on product innovation. This has created a situation in which low-end products are flooded. In addition, due to the long history of mutual OEMs in the industry, many low-end products are highly similar in terms of technical parameters, appearance, specifications, and packaging, and product individuation is inadequate. Although profits are reduced and large manufacturers join in certain To a certain extent, it has suppressed unfavorable competition in the industry, but it has not fundamentally reversed the situation of OEM and counterfeiting, and the homogeneity of security industry products is still very prominent.

There are three main reasons that lead to the problem of homogeneity of China's security industry products. First, from the origin and history of industrial development, China's security industry started as an agent for foreign products. At the beginning of industrial development, there was no innovation atmosphere covering all enterprises. Second, the soundness of industry management concepts and management systems lags behind the growth of industrial scale. Enterprises do not form industry self-regulation conventions under the guidance of regulations. Although the industry's self-regulatory management system is initially formed and begins to play a role, it has accumulated for a long time. The bad wind still needs a long time to completely change; Third, the enterprise's sense of innovation, innovation, and awareness of intellectual property protection are generally lagging behind. On the one hand, the lack of investment in enterprise resources and the lack of innovation capacity have greatly reduced product innovation. Sexuality leads to new products being easily followed by imitation. On the other hand, companies do not pay enough attention to the protection of intellectual property rights. The market competitiveness of new products is difficult to maintain for a long time, and they are often imitated by peers in a short period of time, such as Hangzhou Hai Kangwei. Depending on the company's investment in research and development of video and audio compression chips to the market less than half , The market appeared a large number of counterfeit products, counterfeit chips allow the company lost nearly billion a year.

(2) Homogeneity poses double hazards to the development of enterprises and industries The harsh environment for innovation within the industry has severely reduced the enthusiasm of R&D and innovation of enterprises and restricted the overall competitiveness of the industry.

Security companies have fallen into a vicious circle of low quality and low price competition. The problem of homogenization of products has exacerbated the internal competition of the entire industry. The low-price strategy has become the only competitive means for enterprises lacking core competitive advantages. The profitability space of enterprises is constantly being squeezed, and the decline in sales revenue will inevitably lead companies to increase costs in all aspects. The intensity of control can be used to research and develop new technologies and new products. Resources are limited. According to incomplete statistics, there are very few companies investing between 500 and 10 million yuan per year for R&D in domestic security companies. one. R & D investment is limited, the output capacity of new products will naturally be reduced accordingly, the company thus into a vicious cycle of "low quality - low price - low quality", the establishment of the company's core competitiveness is increasingly difficult.

It is difficult for national brand products to compete with imported products. For a long time, domestic security companies have been developing along the follow-up route. Compared with imported security products, national brand products have always been in a passive situation in competition, and the overall lack of a competitive advantage. Although the low-price competition strategy has obtained a certain market share for domestic brands, from the perspective of long-term game competition, the vitality of low-cost strategies is far lower than that of cutting-edge technologies. In addition, in the area of ​​high value-added security products, foreign brands have long established a solid reputation and formed a high barrier to entry. Under this background, if national brands persist in low-price competition, they will The gap between leading companies in the security industry will continue to increase.

III. Product Positioning and Marketing Strategies of Security Enterprises Faced with the increasingly complex macro environment and constantly diversified market demands, security companies face both opportunities and challenges. How can we get rid of competition in the Red Sea by building core competitiveness? According to CCID, security companies should conduct in-depth market research, accurately conduct product positioning, and improve product development capabilities. Based on this, they should create brands with their own characteristics and leverage emerging marketing methods to achieve accurate marketing.

(1) Paying high attention to changes in application areas and continuously optimizing the product structure Security companies should set up special market research institutions or use external intelligence service agencies to conduct continuous research and analysis on the security market, and timely and accurately grasp the changing trend of demand and technology in the security market. Innovation frontier. At the same time, in combination with the company's short-to-medium-term and long-term development strategy, it seeks new opportunities in new areas, new uses, and new technologies for security products, accurately positions products, and continuously optimizes product structure. With the rise and development of civil security product market in the community, enterprises can make differentiated design of raw materials for security products according to the climate differences in different regions, and provide suitable wet and dry climate community monitoring for the inland areas in the south and the north respectively. The product provides security products for installation of lightning protection devices in coastal areas. Another example is to comply with the needs of “Smart City”, “Safe City”, and “Tianwang Project” to further promote and provide customers with comprehensive, systematic, and personalized solutions for product and service integration.

(II) Continuing to carry out research and development of key technologies to improve the innovative capacity of enterprises. For a long time, from the CCTV and burglar alarm products to building intercom and access control products, almost all core technologies applied in the Chinese security industry have been mastered by large foreign companies. Always in the imitation stage, lack of independent innovation capabilities. Although some domestic security companies have certain advantages in downstream application and development technologies, the advantages of Chinese enterprises actually derive more from the low production and processing costs and labor costs. The relative lack of scientific and technological innovation capabilities of domestic security companies is mainly reflected in three aspects: inactive research and development activities, insufficient investment in R&D, and inefficiency in corporate R&D activities. In the environment where companies in the industry generally pursue short-term interests, in order to get out of the vicious circle of low-price, low-profit competition, the company must continue to develop key technologies based on market research and product positioning conclusions, and use competitive technical results to support the product structure. Optimized to complete the entire process from product positioning to product development and product production. CCID slightly believes that companies must continue to innovate in order to guarantee their unyielding presence in fierce competition. Therefore, dynamic product and service positioning management based on changes in market demand can instill vitality into corporate innovation, so that enterprises can truly advance. The door to success.

(III) Rapid establishment of a brand management system and the formation of a unique brand effect Although the rising trend of national security brands in China has become more apparent in recent years, the brand effect has not yet produced a significant driving effect on the growth of Chinese security companies’ profits. According to statistics, the number of China's security companies has reached nearly 10,000, but in a large number of security companies, only a handful of companies have won "China Famous Brands" and "China Top Brand Products". The domestic security industry still remains " The pattern of the positive triangle with fewer giants, slightly more medium, and the most micro-enterprises. However, in today's commercial society, the brand has become the best way to help companies realize the conversion of product value to customer value, and it is an inevitable part of strategic decision-making for security companies. How to formulate an appropriate brand strategy based on the company's own product positioning and actual development status has become a successful password that security companies must crack. In this regard, security companies should establish awareness of the brand, cultivate corporate culture, and apply corporate philosophy, technology, products, marketing, strategy, and culture based on a clear understanding of the nature of the industry, the accumulation of high-level technology, high-quality products, and high-performance production capabilities. Effectively consolidate its own brand and achieve a successful transition from focusing on product production to its own accumulation. According to CCID, the process of building a brand by a company cannot be completed overnight. In the early stage, it should focus on the creation of product awareness, further enrich and strengthen the brand image on the basis of this, and improve the recognition of the brand by the customer through internal improvement and external construction. Loyalty, thus building a strong brand foundation.

(D) Efficient use of emerging information technologies, brand marketing, marketing, marketing, marketing, marketing, marketing, advertising, etc. Through different stages of media-led, television-led, and Internet-led, it has now entered a new era led by social media, when most companies still use the traditional When the media establishes a brand image, a small number of companies are leveraging emerging information technologies to achieve brand-accurate marketing through B2C, O2O, SNS, and other distribution channels, and gain more market share. Further, as the cloud technology, cloud platform, and cloud infrastructure mature, the new life style of the “cloud society” will continue to unfold, and the “cloud marketing” value chain system will gradually form. The so-called "cloud marketing" refers to the cloud computing technology as the driving force, using cloud technology to apply innovation to change the business structure, market structure, media structure, management model, enterprise model based on the establishment of the marketing model. According to CCID, security companies are emerging forces in the marketing field. Under the background of the continuous transformation of new marketing models driven by new technology, accurately finding and effectively adopting innovative marketing models for product and brand marketing will become a breakthrough for the company in the Red Sea. The key to success.