The business world’s attention is on Latin America. More specifically, on Brazil. With purchasing power expanding across all socio-economic classes, the Brazilian economy is booming. Furthermore, while the global economic recession has affected public and private spending in other countries around the world, it has not touched Brazil, which makes the country even more attractive for foreign companies looking to ride the wave of growth.
Among the sectors of greatest interest to foreign companies, there is one that stands out – security. This segment has been growing intensely due to public and private investments in infrastructure, transportation, and surveillance, stemming from the need to offer increased security to the population and reduce high crime rates. Besides that, upcoming global sporting events in Brazil, such as the 2014 World Cup and the 2016 Olympic Games have further stimulated investment in security solutions.
According to a report recently released by the Security Industry Association (SIA), the market for electronic security equipment in Brazil, which currently totals US $592 million, should more than triple by 2017, reaching US $1.8 billion. At present, this market consists of surveillance video equipment (39.6%), followed by access control solutions (20.8%), intrusion detection systems (19.2%), fire detection and fighting equipment (10.4%), and electronic article surveillance (10%).
High profile sporting events are major drivers for the demand, but they are not the only motivating factors. Across Latin America, private and public organizations are investing in physical security technologies to bolster the protection of employees and offer greater security to the population, whether in the private enterprise, or in public places such as streets, squares, and transportation systems.
By way of example, recently NICE announced that its integrated security solutions had been implemented at Lima Metro, the new mass transit system for Lima, Peru. Serving millions of passengers monthly, Lima Metro is using various NICE solutions — including NiceVision, NiceLog and NICE Inform — to address security, safety, and operational risks on the transit system.
One thing is certain – the growth of the Brazilian and Latin American security markets is increasing the demand for multinational security companies in the region.