The Chinese audio and video door phone market—including indoor units, outdoor units and accessories—was estimated to be worth $577 million in 2012. A total of 10.9 million audio and video indoor units were estimated to be shipped, with video units accounting for more than 80 percent of them, according to a new report published by IMS Research – now part of IHS.
Cheryl Li, security and fire research analyst at IHS, said: “Residential construction is the major driver of the market for audio and video door phones in China, as real estate developers are mandated to install door phones in new residential buildings.
“But while new-land purchases and new-construction projects decreased in 2012 because of government measures to restrain increases in housing prices, the impact on the door phone market was not all that apparent in 2012 given the time lag between the construction and door phone markets.”
Even so, the Chinese audio and video door phone market is still forecast to grow at a steady compound annual growth rate (CAGR) of 9.0 percent from 2012 to 2017, supported by the government’s target to build 36 million affordable housing units through 2015. A clear trend toward large-screen indoor units and Internet protocol (IP) products in the market will also cause a slight increase in average selling prices (ASP) during the next five years.
The Chinese audio and video door phone business is said to be highly fragmented because of the country’s large geography, coupled with the project-oriented nature of door phone product sales. For instance, the top three suppliers accounted for only 25 percent of the total market, even though the space could become more concentrated.
“Leading door phone manufacturers and real estate developers often enter into strategic deals,” Li said. “This means that manufacturers sell directly to real estate developers at a lower price than to other sales channels. Because of this, market share is expected to become more consolidated among major manufacturers during the coming years.”
