Security services at a 'critical juncture'

High risk awareness but low understanding of products, report says

Resellers must look at the bigger picture if they are to succeed in selling security, as confused customers hold back on spending, according to a report from research firm IDC.

Despite awareness of risks being higher than ever, there is a shortfall in understanding the products, the report said.

IDC has predicted the market will grow from $1.9bn in 2001 to $5.9bn in 2006. But IDC analyst Martin Canning said companies attempting to provide security services may struggle due to a lack of understanding, as customers are unsure about the risks they face.

Canning said the security industry is at a critical point and players in the security services market must re-examine their positioning messages.

He added that the relatively low willingness to spend on security services is putting pressure on security services firms, and many will not survive.

"While the long-term prognosis is positive, and high awareness levels bode well for the future, IDC believes that the market has reached a critical juncture," Canning said.

Bernie Dodwell, sales and marketing director at security distributor Allasso, said IDC's assessment was accurate. "Security is like a jigsaw with many interconnecting parts that need to be looked at both individually and as a whole. People are aware of the risks, but they are only looking at the risks in one area and not as a whole," he said.

Dodwell added that resellers must evolve their offerings. "Resellers must develop a consultancy and risk-management role, rather than just selling a product to solve individual security problems," he said.

"There are lots of resellers that are good at one part of the jigsaw and part of our role is to educate and train resellers in the wider picture."