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Residential Security

Q1 2023

Quantified Consumer

Security Monitoring: Business Models, Pricing, Attrition

The residential security market is in a moment of fundamental realignment. Self-install and self-monitoring system options have expanded the market and resulted in millions of new security households. This flagship study quantifies and examines security system owners’ preferred business models, preferred price points, and reasons for attrition.

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Executive Summary

Security System Ownership

Installation Among Recent Security System Buyers

Adoption of Security Services

High Likelihood to Switch Monitoring Provider

Demographics of Security Households in US Internet Households

Technology Affinity by Security Monitoring Services

Installation Method for All Home Security Systems

Installation Method for Home Security Systems Acquired within the Past 12 Months

High Likelihood of Adopting New Services

Likelihood of Cancelling Security System Contract by Age Group

High Likelihood of Reconsidering Cancellation When Offered Incentive

An Overview of Security Systems in US Internet Households - 2022

Home Security System Ownership

Interactive Systems Among Home Security Households

Security Solution Adoption

Security Service Adoption

Home Security System & Service Adoption

Home Security System Installation

Installation Method for All Home Security Systems

Installation Method for Home Security Systems Acquired within the Past 12 Months

Alternative Security Solutions Considered, Among Recent System Buyers

Demographics of Security Households in US Internet Households

Residential Security Services

Adoption of Security Services

Security Monitoring Service by Installation Method

Top Security System Brands

Top Professional Monitoring Service Providers, YoY

Paid Home Security Service, YoY

Paid Home Security Service by Service Provider

Professional Monitoring Service Provider Net Promoter Score (NPS)

Top 10 Brands by NPS, July 2022

NPS of Top Professional Monitoring Providers, QoQ

Equipment Financing and Preferred Business Models for Security Monitoring

Average Upfront Fees for Home Security Systems

Security System Equipment Payment Method

Security System Equipment Payment Method by Installation Method

Security System Equipment Payment Method by Security Service Fees

Security Service Fees & New Services

Average Monthly Fee for Home Security Service, YoY

Avg Monthly Fee by Top 10 Brands, July 2022

Home Security Service ARPU by Generation

Home Security Service ARPU by Age Group

Home Security Service ARPU by Family Size

Security System Owner High Interest in Additional Services

Acquisition Channels and Triggers

Security System Purchase Channels Among Recent Buyers

Security System Purchase Location Among Recent Buyers

Triggers of Security System Acquisition

Security Monitoring Service by Purchase Triggers

Experience of Accident or House Damage

Beyond Intrusion: Top 3 Conditions for Security System to Detect

Top Three Desired Features Beyond Intrusion Protection

Monitoring Provider Churn

Changes Made to Home Security System in the Past 12 Months

Reason for Switching Professional Monitoring Provider

Reason for Cancelling Professional Monitoring Service

High Likelihood of Switching to New Professional Monitoring Service Provider

High Likelihood of Subscribing to Professional Monitoring Service

High Likelihood of Switching Monitoring Providers by Monthly Home Security Service Cost

Cancellations and Retention Incentives

High Likelihood of Cancelling Pro-Monitoring Service

Likelihood of Cancelling Security System by Generation

Likelihood of Cancelling Security System Contract by Age Group

Left Length of Contract, Among Intended Cancellers

Impact of Contract Terms on Cancellation Plans

Impact of Retention Incentive on Cancellation Plans

Impact of Service Pricing Discount as Retention Tool

Self-monitoring: Reasons and Selection

Reason for Choosing Self Monitoring Service

Reason for Choosing Specific Monitoring Service Than Other Options

Attitudes toward Self-Monitored Security System

Would these prompt you to subscribe to professional monitoring?

Reason for Switching from Self to Professional Monitoring

Security System Intentions

Security System Purchase and Intention to Buy

Method of Security System Monitoring and Responding

High Likelihood of Change to My Pro-Monitored Security System

 Published by Parks Associates
© February 2023 Parks Associates

All rights reserved. No part of this book may be reproduced, in any form or by any means, without permission in writing from the publisher.

Printed in the United States of America.

Disclaimer
Parks Associates has made every reasonable effort to ensure that all information in this report is correct. We assume no responsibility for any inadvertent errors.

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