 "Asia Pacific Airport Security Market Takes Off Following Increased Air Traffic: Frost & Sullivan")
Air traffic in the Asia Pacific has been hitting new highs with the surge in tourism in the region. The spurt in passenger numbers brings with it increased security concerns. Airports are developing their infrastructure to deal with the greater footfall and are upgrading their security systems to comply with the new government regulations and prepare for the escalating terrorist threats in the region.
New analysis from Frost & Sullivan, Asia Pacific Airport Security Market Assessment, finds that the market earned revenues of $5.2 billion in 2008, and estimates this to reach $9.2 billion in 2015.
“The Asia Pacific countries are emerging economies with flourishing trade and tourism sectors,” says Frost & Sullivan Research Associate Mirnalini Kumaran. “These countries are constructing new airports and re-developing existing ones to meet the demands of increased air traffic, giving a boost to the security spending in these regions.”
However, some airports are reluctant to spend on security systems due to tighter budgets, complex procurement patterns and inconsistent security policies, causing a dip in security solution vendors’ revenues. Further, the intensifying competition has constricted the margins of market participants. They can offset these issues and command premium prices through value-added services, product differentiation and innovation.
“Market participants should start providing new technology equipment and integrated solutions, and also adopt efficient supply chain and competitive strategies,” notes Kumaran. “Technological innovations also have a significant role to play in the adoption rates and advances in biometric identification and surveillance bode well for the market.”