For the first time since Dallas-based research firm Parks Associates began studying security in 1988, there is a statistical drop in the percentage of homes monitored. The number fell from 19.5 percent in 2008 to 17.5 percent in 2010. While 2 percent seems a small differential, when considered as the percentage of all monitoring lost, the number jumps to 10 percent.

The latest findings are the result of two surveys conducted by Parks earlier this year of 6,100 and 2,516 broadband (BB) households (HHs) about their security systems. It follows surveys completed at least once per year between 2003 and 2010. Respondents were queried about the presence of security at home, providers used, satisfaction, and other information.

Based on the findings and keen analysis of Parks Associates, SSI's 2010 Residential Market Report provides ideas for minimizing attrition, selling more to existing customers and leveraging exciting new services to attract new business.

Simply understanding which customers are at risk is a help to providers and dealers alike when addressing waffling or uncertain customers at the time of new contracts. However, Parks Associates believes more action and better solutions than simple awareness will benefit the industry.

In multiple Parks Associates' surveys during the past one year, security households have indicated an interest in energy monitoring at a much higher level than nonsecurity households. In addition, they are more than three times as likely to be willing to pay a modest monthly fee for that information as nonsecurity households.
 

From the article, "Why Residential Is Ready to Rebound" by Tricia Parks
 

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