DIY, smart devices drive continued growth in home security market

YARMOUTH, Maine – Home security has experienced significant growth over the past decade, driven by advances in technology, affordability and changing consumer demands, says Jennifer Kent, senior vice president and principal analyst for Parks Associates.

Smart home adoption accelerates growth

In a new Parks Associates research report commissioned by the Electronic Security Association (ESA), 48% of U.S. households report having a home security solution, up from 38% in 2022. During that same time period, the number of device-only households doubled and now comprises 14% of U.S. households.

Most popular: video doorbells and exterior cameras, as well as smart thermostats, lighting and door locks

“There's all sorts of smart home devices that can make a system, not just an intrusion detection system, but really a smart home security system that gives you context and control about what's going on in your home,” said Kent.

The rise of DIY and lower costs

Another factor driving momentum in the home security market is the ability for consumers to research, price and buy their own systems online, says Kent.

“I can pick out a system that fits my price point and send it to my home,” she said. “I can get it installed, or I can choose to pay for an installer to come to my home, but I never have to deal with a salesperson coming by. So that's really unlocked a whole new type of buyer.”

In conjunction with the rise of do-it-yourself (DIY) shopping and installation, security devices and systems have seen an expansion in price range, creating a lower cost barrier to entry type compared to the traditional single-family, high-income household, says Kent.

“If I can install it myself, and it's battery powered and wireless, I might be able to put a system like that up in my apartment and take it with me when I move to my next place,” she said. “Security's never been more affordable. There have never been more choices, and it's never been quite as capable as it is today.” 

Installing peace of mind

Consumers today are also interested in safety monitoring services for a wider variety of risks, including fire and gas monitoring (61%), vehicle monitoring (59%) and water leak detection (57%), according to the report. 

While traditional security systems have offered fire monitoring, self-installation systems are now starting to add those capabilities, says Kent. Another population add-on: pool monitoring.

Market remains resilient amid uncertainty

Consumers tend to prioritize security almost regardless of broader economic conditions. While households may reassess discretionary spending - cutting a third or fourth streaming service, for example - security services are far less likely to be viewed as optional, says Kent.

“When people feel uncertainty in their lives generally, or real uncertainty about what's happening in the world, security solutions are actually addressing some of that need for peace of mind,” she said.

That said, the security market is not completely insulated from macroeconomic forces. It is influenced, to some extent, by the housing market. Many consumers first consider security products and services when they move into a new home when the housing market slows.

“The security industry can experience some sluggishness,” says Kent. “(But) it is partially tied to housing activity, yet comparatively resistant to broader consumer spending pullbacks. Macroeconomically, it's kind of a unique market.”

Photo courtesy of Electronic Security Association