The American home-security market: new trends, new competitors
The specialist started by explaining how the company works. It offers security services and home automation – and “where these two circles overlap is where Vivint really plays well.” In terms of the competition, “there are players that are originating from the security space that are morphing into the home automation” and vice versa, and it’ll be “really interesting to what degree the overlap occurs” for these firms. New entrants include Google, Arlo and Amazon Ring.
One of the trends covered was professional services versus self-monitoring. Many people are initially attracted by point solutions, such as doorbell cameras, and could then be drawn to a combined security and home automation service. However, the balance of what people want could shift in future: “I personally think for the near term, meaning the next 0-3 years, you’re going to see more and more people doing a combination of the security and the home automation.”
On the downside, Vivint’s panel is expensive. However, it was pointed out that moving towards desktop-based controls would provide a lower-price entry point. Another way the company can attract more customers is by amplifying the fact they offer a no-contract service or diversifying contract types – for instance, paying half upfront. Marketing is another area Vivint could bolster.
To access all the human insights from Third Bridge Forum’s Vivint and the US home security sector Interview, click here to view the full transcript.