The East European and Russian video surveillance equipment market, which is worth a combined $595.1m, is forecast to grow at a CAGR of 4.8%. However, this masks the mixed fortunes that a forecast for Russia and Eastern Europe, according to recently published estimates from the US-based market research company IHS Inc.
IHS market analyst, Aaron Dale, said: “Currently, Russia accounts for approximately half of all revenues in the total Russia and East Europe video surveillance equipment market. However, the Russian market is forecast to decline due to a combination of damaging sanctions, capital flight and a volatile currency, while the rest of Eastern Europe is forecast to see strong growth.” From a comparatively equal size in 2013, IHS forecasts the market in Eastern Europe will be about twice the size of the Russian market by 2018.
Other findings include:
Ukraine is predicted to exhibit the lowest growth of all nations in Eastern Europe. The market for video surveillance equipment in Ukraine will be heavily restrained by the military conflict between pro-Russian separatists and the Ukrainian armed forces. As a result, Ukraine’s share of total market revenues is forecast to drop from approximately 5pc in 2013 to 3pc in 2018.
The overall market has tipped in favour of network equipment (by supplier revenues) for the first time, despite the large focus on analogue equipment that exists in many regions.
Due to the challenging economic conditions, supply to the Russia market continues to consolidate with the top 15 suppliers accounting for 68.5pc of the market in 2014, compared with 66.5pc in 2013.
