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Market Potential of Home Automation

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1 SUMMER PROJECT REPORT Study of Market Potential of Home Automation, Security Systems and Digital Standalone in Navi MumbaiAT Prepared for the Mumbai University in the partial fulfillment of the requirement for the award of the degree in MASTERS OF MANAGEMENT STUDIES Submitted By: Dinna D’souza Roll No.:74 Year:2013-2015 Under the guidance of PROF. SIMMI PRASAD SFIMAR St Francis Institute of Management and Research, Mt.Poinsur, S.V.P Road, Borivali (W) Mumbai Batch 2013-2015
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Page 1: Market Potential of Home Automation

1

SUMMER PROJECT REPORT

“Study of Market Potential of Home Automation, Security Systems

and Digital Standalone in Navi Mumbai”

AT

Prepared for the Mumbai University in the partial fulfillment of the

requirement for the award of the degree in

MASTERS OF MANAGEMENT STUDIES

Submitted By:

Dinna D’souza

Roll No.:74 Year:2013-2015

Under the guidance of

PROF. SIMMI PRASAD

SFIMAR

St Francis Institute of Management and Research, Mt.Poinsur, S.V.P Road,

Borivali (W) Mumbai

Batch 2013-2015

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DECLARATION

This is to certify that project report “Study of Market Potential of Home Automation,

Security Systems and Digital Standalone in Navi Mumbai” has been successfully completed

by Ms. Dinna D’Souza in partial fulfillment of the requirement for the award of the degree in

Master in Management Studies at St.Francis Institute of Management and Research under

Mumbai University.

The information submitted is true, original and to the best of my knowledge.

Prof Simmi Prasad Dinna Dsouza

Project Guide MMS – II

Marketing

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ACKNOWLEDGEMENT

This project, though an individual project, wouldn’t have been possible without the constant help

and guidance of a few individuals whose support has been vital to the completion of the project.

I would like thank my project guide Ms Bhavana & Mr. Saiprasad (Marketing Manager) who

gave me the opportunity to work under their guidance in spite of their busy schedule, and for

helping me with the various queries and the required information required for the completion of

the project.

I would like to thank my college guide Prof. SIMMI PRASAD (Faculty – Marketing) for her

guidance during the project.

.

Dinna Dsouza

SFIMAR

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Executive Summary

Summer internship project entitled “Study of Market Potential of Home Automation, Security

Systems and Digital Standalone in Navi Mumbai” was undertaken at NCC Telecom Pvt. Ltd.

NCC Telecom is a private organisation working in the field of building Automation as its focus

area. NCC was incorporated in 2002 and was existing as a partnership since 1989 with a motto of

“Design and Develop Indigenous Technology to improve Life Style, Communication and

Security to the utmost level”.

This study is conducted in following four parts a) Training - training was given to all the interns

about the product. We were told about the feature of the products that NCC offers. Training was

conducted by Mr. Pinnakin. We were free to ask any queries about the product then we were told

how we have to approach to the Architects, Builders and Constructors for the promotion of the

product and we were given a target of generating leads. b) Industry Analysis - The Market of

Home Automation was valued USD 3.6 billion in 2012 and is expected to reach USD 16.4

billion by 2019. This industry is growing at a CAGR of 24.6% from 2013 to 2019. It is being

analyzed that current market size of electronic security system is Rs.10 billion. It is expected to

grow by about 26% and become a market of Rs.22 billion by 2015. C) Market Analysis for NCC

Telecom Pvt. Ltd. in India - Industry Analysis is followed by Market research, major Market

areas and Market assessment. Various competitors, direct and indirect are focused in the

research. Potential Market of product is observed in India then market was accessed in terms of

which product has growth in near future. Market Diversion is studied as per Sector and

Technology and finally competitors were observed in the Indian Market. d) Consumer Behavior

Analysis - At last field work is done to get the knowledge of the perception of the clients and

their mind-set regarding the products of organization. I met 150 builders/architects/electrical

dealers etc. to analyze the potential market of product in Navi Mumbai in near future. During the

conversion with these people I understood mind-set of customers, competitors, Current Scenario,

Upcoming Technology Trends, Future Trends and Challenges. Some people even mentioned the

disadvantages and negative points of the product. They also told me the ways to improve these

negatives. They even mentioned that what actually is needed in the market and company should

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come up with new products to meet the requirements of the consumer. This all helped me to

understand the consumer behavior. It was analyzed that awareness of NCC was negligible in

market. Only 0.3% market was aware of NCC and its products. It was analyzed that Intercom

System was on high demand whereas there was less demand of Standalone and Home

Automation System. Mainly construction sites between 80-100 Lakh are likely to purchase NCC

products. Around 36% people in Navi Mumbai consider NCC products as luxury rather than

necessity. Reasons monitored that people are not likely to purchase Digital security system and

Home Automation System includes-they are expensive, hard to maintain, other organizations

product are coming with more features than NCC, high false alarm rate etc. Major sector where

future of product can be seen includes Transportation, Defence, Border Securities, Commercial

and Public Buildings.

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Table of Content

Sr. No TITLES Page No.

1 Introduction of the company 9

2 Organisation Chart 17

3 Need for Study 18

4 Objective and development plan 19

5 Literature Review 20

6 Research Methodology 29

7 Data Collection & Analysis 30

8 Findings 34

9 Conclusion & Recommendation 35

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List of Figures

Figure Number

Figure Description

Page Number

Figure 1.1 NCC Work Structure 14

Figure 1.2 Intercom Terminals 15

Figure 1.3 Watch Dog System 16

Figure 1.4 Vision Terminal (Type-1) 17

Figure 1.5 Vision Terminal (Type-2) 18

Figure 1.6 Porch Unit System 19

Figure 1.7 Visitor Tracking System 20

Figure 1.8 Sales and Distribution 21

Hierarchy

Figure 3.1 Snapshot of Home 32

Automation

Figure 3.2 Major Market Area (India) 34

Figure 3.3 Market Distribution 35

Figure 3.4 Market Diversion Graph 37

Figure 3.5 Technology Diversion Graph 38

Figure 5.1 Work Flow Diagram 41

Figure 5.2a Brand Awareness 42

Figure 5.2b Brand Awareness 42

Figure 5.3 Expected Future Demand 43

Figure 5.4 Economically feasibility of 43

Products

Figure 5.5 NCC Products, Necessity or 44

Luxury

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List of Tables

Table Number

Table Description

Page Number

Table 1.1 Vision Terminal Technical 17

Specification (Type-1)

Table 1.2 Vision Terminal Technical 18

Specification (Type-2)

Table 1.3 Porch Unit Technical 19

Specification

Table 3.1 May 2007 Market 37

Assessment

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Chapter 1

INTRODUCTION OF THE COMPANY

Company Profile

Overview

NCC Telecom Private Limited with its popular abbreviation NCC was established in the year

1989. It is privately owned organisation working on the field of building Automation as focus

core area.

Since its inception NCC has determinately forged ahead with the aim of constantly providing

value additions to its customers. This is achieved due to NCC’s firm belief in channelling

dedicated resources towards research and development activities. As

a result today we present a range of products. In building automation we offer intercom, video

apartment and security systems while in the realm of home automation products we have come

with products such as video door phones and security solutions and communication solution

through the EPABX systems.

Motto of Organisation

NCC draws 19 years of quality work, strong client relationship and value driven solutions for

focussed industry to provide best in class results. We strive to help each client to see ideas,

solutions, improvements and so results. The motto of organization is “Design and Develop

Indigenous Technology to improve Life Style, Communication and Security to the utmost level”.

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Products

All products are designed, developed and manufactured by the organization which is ISO 9001-

2000 certified. Products are as follows:

Automation systems – Lighting / AV / Security

Building Intercom and security systems upto 4096 apartments

Video Apartment systems with 4 zone security

Stand-Alone video Door phone

Visitor Traking system

Guard Patrol system

Lighting Control Touch Panels

Features of Products

Open and Futuristic

Cost effective and affordable products

Simple and easy to use

Scalable

Staff

NCC is composed by 45 ambitious employees.

Style / Culture

Management by walking around

Participative management

Skills set

Self-motivation

Presentation skills

Presence of mind

Art of negotiation & closure

Understanding the requirements of clients & offering solutions as per requirements

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Products and features offered by NCC

NCC Telecom manufactures a lot of products in Home Automation Industry and digital

security system. It major products and their features has been described below:

1. Intercom System

Figure 1.2 Intercom Terminals Source: NCC Telecom Features:

Interactive Voice response system

HOTLINE to security extension

5 party conference facility

Talking caller line identification

Voice conformation on last call received

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Extension to extension calling with restriction / do not disturb / call blocking

2. Watch Dog

Figure 1.3 Watch Dog System

Source: NCC Telecom

At night a ‘Jagte Raho’ call given to a security extension, every 30 minute. The security personal

has to answer this call. All unanswered call stored in memory, the data which can be accessed

via serial port

3. Display Unit

A visual display unit indicates current time and incoming call number. This has an Additional

Hooter attached which rings in panic situation.

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4. Vision Terminal

Figure 1.4 Vision Terminal (Type-1)

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Source: NCC Telecom

Figure 1.5 Vision Terminal (Type-2)

Source: NCC Telecom

Table 1.2 Vision Terminal Technical Specifications (Type-2)

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Source: NCC Telecom

5. Porch Unit

Figure 1.6 Porch Unit System Source: Provided by company

Table 1.3 Porch Unit Technical Specification

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Source: NCC Telecom

Visitor Tracking System

Figure 1.7 Visitor Tracking System

Source: Provided by company

You can keep a complete track of visitors at your home, along with date, time & a video stamp.

You can actually talk to visitor before he / she enter to your home. In case you are not at home,

the visitor can leave a video message or SMS alert.

Features:

Image / video recording of visitor

Text messaging

Voice messaging

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ORGANIZATION CHART

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NEED FOR THE STUDY

Not many builders are aware of NCC telecoms

To know the acceptance level of the standalone product

To know future expectations & trends

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OBJECTIVES

To spread awareness among the Builders and Architects of Navi Mumbai about the

organisation.

To study potential market of NCC Telecom.

To research about the competitors in the market and competitive advantages of various

competitors have over NCC.

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LITERATURE REVIEW

Home automation refers to the use of computer and information technology to control home

appliances and features such as windows or lighting. Automation systems can range from simple

remote control of lighting through to complex devices with varying degrees of intelligence and

automation. The popularity of home automation has been increasing greatly in recent years due

to much higher affordability and simplicity through smartphone and tablet connectivity. The

concept of the "Internet of Things" has tied in closely with the popularization of home

automation. Home automation is the residential extension of building automation. It is

automation of the home, housework or household activity. Home automation may include

centralized control of lighting, HVAC (heating, ventilation and air conditioning), appliances,

security locks of gates and doors and other systems, to provide improved convenience, comfort,

energy efficiency and security. Digital security systems have been made to control all the

activities online, so that you can take care of your home even when you are outside your

residential place.

Home automation technology has been around for several decades in luxury dwellings. But the

industry as a whole has been slow to take off. Blame it on clunky, hard-to-use systems with sky-

high prices that required professional installation and a lot of upkeep. But as smartphones and

tablets become increasingly prevalent, smart home tech is becoming easier to use and

dramatically more affordable. The home automation industry is projected to grow to $14.1

billion in worldwide revenues by 2018, according to ABI Research, predominantly in the United

States. That would be an 11.5% increase over 2012.

ABI Research projects double-digit growth through 2018 in all of the industry’s submarkets, led

by the managed subscription market (automation subscriptions provided by security and telecom

companies), with expected growth from 1.9 million devices shipped per year to 19 million. ABI

also expects the mainstream market, comprised of less expensive products and lower-cost vendor

installations, to grow 60% to more than 6.4 million devices.

“Home automation is not a very new market,” says Adarsh Krishnan, an ABI Research senior

analyst. “But the mass awareness of home automation is relatively new, primarily driven by

initiatives from security companies and more recently telecom and cable companies.”

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Brush et al. (2011) in their paper entitled “Home Automation in the wild: Challenges and

Opportunities” studied about the four barriers that need to be addressed before home automation

becomes amenable to broader adoption. They collected primary data by visiting 14 household

with home automation. They found the four barriers to be high cost of ownership, inflexibility,

poor manageability and difficulty achieving security. They had interview with 14 households and

ask why the household had installed home automation, their experience of living with it, and

how they handled guests and security considerations. We also asked participants about their

interest in a set of possible home automation applications to elicit information about

configuration and access control considerations. They found most of the people were happy with

the performance of Home Automation irrespective of above mentioned problems. They also

concluded the future problems- eliminating the need for structural change to install home

automation, providing households with simple, confidence building security mechanisms, and

the ability to compose household devices.

Verma et al. (2010) in their paper entitled “A Digital Security System with Door Lock System

Using RFID Technology” said that they have implemented a digital security system contains

door lock system using passive RFID. Their final conclusion as per experiences is [1]. This

technology has not been very often used in industry due to lack of standardization among the

manufacturing companies earlier. RFID technologies are efficient [2] and secure compare to

other network [3]. With RFID wireless automatic identification takes a very specific form: the

object, location, or individual is marked with a unique identifier code contained with an RFID

tag, which is in some way attached to or embedded in the target [6]. RFID is not a single product

but a comprehensive system, a typical RFID system include three basic elements: RFID tag

(transponder), reader (transceiver) and back-end application system (or database), which

demands the support of the computer network. The software is used for management,

controlling, transaction, operation and maintaining record of the various users.

Ahemed et al. (2011) in their paper entitled “Implementing Computerized and Digitally

Mobile Home Automation System towards Electric Appliance Control and Security System”

addressed on the importance of home automation system as compared to the old and traditional

living systems. They showed the concept towards the practical implementation of a home

automation and security system. They designed hardware and software architectures which then

implemented in the form a real time prototype application i.e. Smart House. They concluded that

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people were happy and they proposed a new approach that is Smart House. They said that their

proposed approach and implemented software and hardware system can add some good values to

the field of Home Automation System Design and Development.

Delgado et al. (2005) in their paper entitled “Remote-Controlled Home Automation Systems

with Different Network Technologies” investigated o the potential for remote controlled

operation of home automation systems. It discusses about the possible solutions through various

network technologies and indicates how to optimize the use of such systems. It says there are

some major factors that must be handled always before developing and installing a Home

Automation System; factors like security, reliability, usefulness, robustness and price are critical

to determine if the final product will accomplish the expected requirement. It gives the example

of E-home standard setting up in Europe that is the world's leading system for "intelligent"

electrical installation networking. They concluded by saying that completion of a whole cycle of

control between a remote device and the building will be critical for the success of the research;

once control is achieved a meticulous study about how users and the system interact has to be

done.

Kaur (2010) in paper entitled “Microcontroller Based Home Automation System with Security”

after a research and study concluded that An automated home can be a very simple grouping of

controls, or it can be heavily automated where any appliance that is plugged into electrical power

is remotely controlled. Costs mainly include equipment, components, furniture, and custom

installation. Ongoing costs include electricity to run the control systems, maintenance costs for

the control and networking systems, including troubleshooting, and eventual cost of upgrading as

standards change. Increased complexity may also increase maintenance costs for networked

devices. Learning to use a complex system effectively may take significant time and training.

Control system security may be difficult and costly to maintain, especially if the control system

extends beyond the home, for instance by wireless or by connection to the internet or other

networks.

Ahmed (2009) in paper entitled “Home Automation” briefly discusses the importance of home

automation system. It talked about the Auto electrical house. How Home Automation is booming

these days in country. It is very important for security. It talks about various devices that can be

used as Automation and how these devices can be controlled even if you are far away from your

place.

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Elshafee et al. (2012) in their paper entitled “Design and Implementation of a WiFi Based Home

Automation System”. This paper talks about design and prototype implementation of new home

automation system that uses WiFi technology as a network infrastructure connecting its parts. It

said that the proposed system is better from the scalability and flexibility point of view than the

commercially available home automation systems. It says that Home automation systems face

four main challenges- high cost of ownership, inflexibility, poor manageability, and difficulty

achieving security. They came up with a new technology that these systems must work on Wifi

technology to connects system parts, satisfying user needs and requirements. They conclude by

saying WiFi technology capable solution has proved to be controlled remotely, provide home

security and is cost-effective as compared to he previously existing systems.

Industry Analysis

Industry is Home Automation & Security Systems. Global home automation market valued at

USD 3.6 billion in 2012 is expected to see a strong growth at 24.5% CAGR during 2013 to 2019

period. Currently, the market is at a point of inflection and is characterized by following aspects:

complexity of solutions, high level of inter and intra industry competition, large number of

networking technologies, multiple and incompatible standards, and sub-sequent high priced

products. The underlying demand for a universal solution, which is easy to install, works across

multiple platforms, can be integrated with other automation sub-systems in a home, and is priced

competitively, is expected to help the market turn into a mass (mainstream) market from a luxury

dominated market.

Global home automation market which till now saw revenue coming from systems considered as

luxury is gradually witnessing a shift towards systems made for mass adoption. This has induced

trend across players who catered to luxury segment and are now developing solutions for

mainstream market. As a result, luxury segment is expected to give way to managed automation

services and mainstream solutions. Both these segments are expected to collectively account for

71.0% of the global market by 2019, a rise of 27.5% from that in 2012.

Entertainment segment which was a dominant market in the early stage is now

surpassed by safety and security segment, which is expected to remain as largest

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market throughout the forecast period. This is largely attributable to growing consumer concerns

for safety owing to a rise in criminal activities. Moreover, with economic slowdown globally

affecting consumer spending on luxury things, scope for growth of cost saving applications such

as HVAC and energy management is alleviated, resulting in these segments too showing healthy

growth signs. Subsequently, emergence of new applications such as home healthcare monitoring

and home robotics too is expected to increase by the end of forecast period.

Geographically, North America is expected to remain the largest market for home automation

systems, with U.S. emerging as the single largest market throughout the forecast period. Its

revenue share in 2012 was estimated at 40.7%. Across Europe and Asia Pacific region, countries

such as Australia, Germany, China, and India, are considered as high potential market by

industry players. As a result, these regions are seeing an influx of new and existing players.

Some of the leading players among specialized solution providers in the market are: Crestron,

AMX, ADT, and Control4. Generalized players in the market include: Schneider Electric SA,

Legrad, and Siemens, among others. Apart from these, companies such as Verizon, AT&T, and

other telcos too are foraying in this market.

The global security systems industry encompasses many domains from households to the

corporate world and touches on an array of sectors such as energy and transportation. As

businesses and individuals continue to enlist the internet in their day-to-day activities, the need

for protection from cyber threats is increasingly important. Hackers worldwide are using more

complex methods, which drives demand for sophisticated cyber security solutions. Terrorist

threats in particular are prompting greater investment in security, notably in transportation

applications. Innovation in terms of software is equipping the transportation sector with a

necessary security tool.

Key Market Segments

The world Managed Security Systems (MSS) market is expected to reach almost $8.5 billion by

2015, according to Global Industry Analysis. Demand will be particularly strong in developing

markets like the Asia-Pacific region. Market growth is fuelled by rising corporate interest in risk

management and network security to combat hackers. Companies not only purchase security

systems, but also constantly update them to evolve at the same rate as hacker attacks. MSS

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demand is also rising due to the need to track data within companies such as network logs and

emails.

The global security equipment market is expected to record yearly growth in excess of 7%

through 2014 to reach $95 billion, says Freedonia. Emerging markets are set to record the

strongest growth, across Africa, South America, Asia and Eastern Europe. Electronic security

products represented 60% of the overall security equipment market three years ago, and are

expected to grow to account for a larger market share in coming years.

The world security software market for small and medium business is expected to expand at

over 13% yearly between 2010 and 2014, reports TechNavio. Market growth will be driven by

compliance requirements, and demand will be particularly strong for email and web security

solutions. One obstacle to market expansion is the relatively lower IT security budget compared

with larger companies. Leading players operating in the market include Trend Micro, McAfee,

Kaspersky Lab and Symantec.

The world network security industry is expected to reach almost $10 billion by 2014.

Due to the rising number of cyber-attacks being carried out worldwide, companies and

state bodies have been obliged to step up their network security. Visiongain estimates the

world cyber security market will exceed $61 billion by 2012.

The world smart grid cyber security market is forecast to record yearly growth of almost

21% from 2010 to 2014, reports TechNavio. Market growth is fuelled by compliance

requirements, and obstacles to market expansion include the lack of sector uniformity.

Leading players operating in this market include VeriSign, Industrial Defender and BAE

Systems.

The world security technologies for transportation industry was worth close to $2.5

billion in 2010 and is forecast to record yearly growth of 20% to reach almost $6 billion

by 2015, reports BCC Research. Video surveillance technology represents the leading

market segment at just under $2 billion. Biometrics technology is set to record the fastest

growth rate, exceeding 33% growth between 2010 and 2015.

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BCC Research estimated the US home automation systems and devices market was worth

around $3.2 billion in 2010. The market is forecast to exceed $5.5 billion in 2016,

recording yearly growth of close to 11% between 2011 and 2016. Lighting, home

entertainment and security systems combine to represent almost 60% of the home

automation market. This segment should see yearly growth of over 12% to reach almost

$4 billion in 2016. The remainder of the market is made up of ventilation, air

conditioning, heating and energy management. This segment, accounting for over 40% of

the overall market, is forecast to record yearly growth of almost 7.5% from 2011 to 2016,

reaching $1.7 billion.

Indian Market Analysis

The India automation and control systems market has seen significant changes in dynamics over

the years. Initially concentrated in the areas of HVAC and security systems; the market has now

evolved into newer areas like lighting systems, fire detection systems, entertainment systems and

energy management systems as well. The automation not only integrates different automation

systems as mentioned above but also enables substantial power savings.

The automation and control systems market may be broadly classified into building automation

and home automation, finding deployment in industrial, commercial and residential settings. The

commercial market which includes offices, educational institutions, hospitals and other types of

buildings accounts for a bulk of revenues of the India automation market; on the other hand, the

residential market is regarded as an immense growth opportunity in the present scenario due to

the increasing proliferation of dwelling units in a large number of cities and towns across India.

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Figure 3.1 Snapshot of Home Automation

Source:https://medium.com/technology-media-market/home-automation-market-to-reach-usd-

16-4-billion-by-2019-transparency-market-research-a89ff38f13c0

According to industry estimates, the India automation and control systems market is expected to

Page 28: Market Potential of Home Automation

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grow at a CAGR of 30% over the 5 years to 2016, with applications such as security, lighting

and energy management likely to play an important role in achieving this significant growth rate.

Increasing data thefts, burglaries, demand for enhanced security, need for energy management /

conversion are a few of the key factors that have spurred the India automation and control

systems market. Some of the key players in this domain include Honeywell, Legrand,

Advantech, Lutron, Crestron, Siemens Building Technologies, Schneider Electric and Johnson

Controls.

With rising disposable incomes and rising incidence of crime and an all-round sense of insecurity

in the social scenario people are becoming more conscious about their physical security and

hence investing in security products and services. People start with purchase of video door

phones and then home alarm systems and then finally graduating to CCTVs. This gives an

immense opportunity to an Industry to grow. Though the current market size of electronic

security system is Rs.10 billion (June 2013), it is envisaged to be as large as Rs.22 billion by

2015. It is expected to grow conservatively by about 26%.

The Indian market for electronic security equipment is categorised into the electronic sector and

non-electronic sectors and organized and informal sectors. While the total number of players in

the organized electronic sector is around 50, the unorganized sector accounts for about 800 units.

Many Indian companies have collaborated with foreign manufacturers and are marketing foreign

products in India. Security equipment is imported mainly from USA, UK, Germany, Singapore,

Italy, Hong Kong, Israel, Japan, Korea, China, and Taiwan.

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RESEARCH METHODOLOGY

Type of research : Qualitative

Research Methodology- Descriptive and exploratory

Sampling technique- Convenience Sampling

Data Collection:

Primary Data: Collected by field work. 150 meetings were done in a period of 2 Months

during Summer Internship with the various Architects, Builders and Constructors in Navi

Mumbai

Secondary Data: Data needed apart from the responses from various clients is collected

by books and Internet

Field Work

• 150 meetings

• Various Architects, Builders and Constructors in Navi Mumbai region are called

to take appointment for the meetings.

• All appointments are done on daily basis.

• Informed about the company NCC Telecom and what business it is in. Then a

demo of Digital standalone is shown to them.

• Questionnaire is used to collect responses.

• Area covered –From Vashi to Panvel

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DATA COLLECTION & ANALYSIS

Data Analysis is done as per the feedback is taken by the Architects, Builders and Constructors

about the product and the competition is analysed by the asking various queries to the clients.

1) Have you ever installed any security system in any of your project?

2) Are you were aware about our Company (NCC Telecom Pvt Ltd) and

products before?

94

6

yes no

Yes No

8

96

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3) Which brand are you aware of providing security systems? (Mark all

the brands you know?

4) Which company’s security system have you ever installed in any

project?

13

15

16 12

8 5

12

13

2 0.3 0.6

Brand Presence (in per cent)

MatrixGodrejPanaHoneyZicomTyroSiemensGroup4LanelNCCJohnson

82 96 102 76

55 35

77 85

18 2 4 0

50

100

150

No of People aware of brands

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5) Which NCC Telecom product did you find useful and applicable to

your projects?

6) In which price brackets of flats, do you think our products and

services are feasible economically?

52

19

14

6 9

Expected Future Demand (in per cent)

Intercom System

Video ApartmentSystem

Video TrackingSystem

Stand Alone

HomeAutomation

4 16

46

34

Economically feasibility of products (in per cent)

30-50 Lakhs

50-80 Lakhs

80-100 Lakhs

Above 1 crore

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7) Do you find our products and services, necessity or luxury for our

present lifestyle?

36

64

NCC Products – Necessity or Luxury

Necessity

Luxary

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Findings

96% have installed security systems in their project

Maximum people are aware of Panasonic brand

Only 0.6% builders were aware of the brand

2 builders have used NCC products before

Expected future demand - 52% - Intercom System

19%- Video Apartment system

14% - Video Tracking System

6% - Standalone

9% - Home Automation

Economically feasibility of products- 46% - 80-100 Lakhs

Only 36% are of the opinion that security systems are necessary & 64% feel its luxury

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Conclusion

For Standalone Product

• New in the market • Expensive • Does not have charging point • Not repairable

Reasons for growing sales of Security and Home Automation Systems

Increasing crime rates

Low faith in the law enforcement forces

Rise in general education & awareness

Rise in income levels & consumer spending

Legislation

Terrorism & Insurgency - (Homeland Security Market)

Increased Government allocations for Police Modernization & Defense System Upgrades

Critical Infrastructure, Commercial Buildings, Nuclear Sector

Current Situation

With the introduction of technology every field has changed and so has the way we

perceive security.

Guards have been replaced by CCTV’s, motion sensors and new age devices which have

taken over from traditional methods of security

The corporate are taking their own measures in adopting technologically advanced

methods of security

Technological breakthrough has made it possible to decrease costs which have led to an

increase in demand for these products

Price sensitivity has been an issue which has been addressed as security is now a key

cause of concern

Reasons monitored home security isn't worth it

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They can be expensive to install

Most people simply ignore them

They’re annoying

They have a high false-alarm rate

They’re fairly easy to disable

They’re not effective against snatch-and-grab burglaries

They won’t work during an extended power outage

Future Scope in Industries

Defence Sector

Critical Infrastructure Security

Transportation & Logistics

Aviation & Maritime Security

Safe Cities & Smart Cities

Border Security

Commercial & Public Buildings

Entertainment & Casinos Security

Retail – Analytics, Residential Security and other submarkets

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Questionnaire

NCC TELECOM PVT LTD

Market Scope Survey

To help us build more information about the customers and to build a market for

our security and automation based products, we would request you to spare a few

minutes of your time to answer the following questions. This will help us in planning

future projects and sales to ensure we meet our customer needs.

Name of the Architect/ Dealer: ____________________________________

Name of the firm/ Association: ____________________________________

Date: ___/___/______

Email Id: __________________________

Contact Address: ________________________________________________

Phone Number: ______________________

1. Have you ever installed any security system in any of your project? Yes No

2. Are you were aware about our Company (NCC Telecom Pvt Ltd) and products before?

Yes No

3. Which brand are you aware of providing security systems? (Mark all the brands you know)

NCC Telecom Godrej

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Matrix Panasonic Honeywell Johnson Controls Zicom Lenel Systems Tyco Siemens

Group 4 Others

4. Which company’s security system have you ever installed in any project? NCC Telecom Godrej Matrix Panasonic Honeywell Johnson Controls Zicom Lenel Systems Tyco Siemens Group 4 Other (please specify) __________________________________

5. Do you find our products and services, necessity or luxury for our present lifestyle?

Necessity Luxury

6. In which price brackets of flats, do you think our products and services are feasible economically?

30- 50 Lakhs 50-80 Lakhs

80-100 Lakhs Above 1 crore

7. Which NCC Telecom product did you find useful and applicable to your projects? Intercom System Video Apartment System

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Video Tracking System Stand Alone Home Automation

8. Can you please suggest any related products or services that customers would find useful: ___________________________________________________

9. Medium of advertisement you will be suggesting for promotion of our products in your area: __________________________________________

10. Please suggest some dealers in your area who will be interested our products: ____________________________________________________

11. Please provide details about your upcoming projects and their construction status: ______________________________________________________

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