Market Insight- Global Car Security System Market

Market Overview

Car security system or vehicle security system is an intelligent electronic device installed in the car, in order to dissuade theft of the vehicle itself, the content in it or both. Car security system varies according to the type of car. For instance, premium cars such as BMW 7 Series, Jaguar XK, Audi A6, and more are equipped with high-end and cutting-edge security system. Different types of security systems are installed in a car such as immobilizer system where the system stops the car from being driven away by locking the steering wheel, gear, lever, or pedals in positions. It can also disable electronics system of the car. One of the most commonly used car security method is the alarm system where the device produces an audible and visual warning if the car notices an unauthorized entry. This system works differently for different cars including ultrasonic sensors, glass break sensors, perimeter sensors, door locks, etc. 

The global car security market was valued at US$ 7,971.5 Mn in terms of value in 2019. The market is estimated to grow at a CAGR of 6.0% during the forecast period.

Market Dynamics- Drivers

  1. Increasing awareness among car owners regarding benefits of advanced security system is expected to drive the global car security system market during the forecast period

Increasing car thefts worldwide has compelled the car owners to deploy advanced security systems in their vehicles. The increase in car theft has increased the demand for automotive spare parts, as cars are dismantled and parts are sold in the aftermarket. Enhanced security measures and technologies have encouraged car owners to adopt anti-theft solutions for their cars. Thus, improved security system and growing awareness among consumers regarding benefits of car security systems are expected to boost the global car security system market growth over the forecast period. According to Germany’s BKA Federal Police, in 2015, around 18,500 stolen vehicles were not recovered. According to Federal Bureau of Investigation (FBI), in 2012, around 721,053 motor vehicle thefts were reported. This was a 0.6% Y-o-Y increase in vehicle theft and a loss of US$ 4.3 Bn worth of vehicles.

  1. Suitable regulatory policies and laws are expected to propel the global car security system market growth over the forecast period

Various government agencies are promoting car security systems, which is expected to boost the demand for the same. Use of basic systems such as immobilizers has been made mandatory in various countries namely Australia, in order to reduce car theft instances. Implementation of such as regulations is expected to boost the demand for vehicle security system. According to Government of Western Australia, Department of Transport, it is mandatory to fit government approved immobilizers before licensing or transferring a vehicle in the territory. If the vehicle to be licensed is already fitted with an immobilizer, confirmation about the government’s approval must be done. Moreover, various insurance companies have sustained major losses due to increased incidences of car theft. Installing vehicle security system decreases the probability of car theft. In fact, some companies refuse to provide insurance to vehicles that are without security system. According to German Insurance Association, in 2014, insurance companies in Germany provided car-theft claims equivalent to US$ 280 million. These factors are expected to accelerate the market growth over the forecast period.

Asia Pacific region is expected to dominate the global car security market in 2019, accounting for 28.8% share in terms of value, followed by North America and Europe respectively.

Car Security System  | Coherent Market Insights

Source: Coherent Market Insights

Market Dynamics- Restraints

  1. High initial installation cost is expected to restrain growth of the global car security system market during the forecast period

Installing vehicle security system is relatively expensive, which is averting automakers from making it as a standard feature for all cars. Some carmakers offer this feature as an optional accessory, while some offer only for high-end models. Moreover, security systems require timely maintenance, which is another factor hindering its adoption and thereby restraining the global car security system market growth in the near future. For instance, BMW India offers alarms and ultrasonic sensors, which are option in model 320d. Furthermore, Toyota Yaris (U.S.), a midrange passenger is not equipped with is not equipped with engine immobilizer in its ‘L’ model – which is the base variant. Furthermore, high installation costs in aftermarket is another factor hampering the market growth. Different security systems require different installation techniques, which can further increase the installation cost.

  1. Lack of awareness regarding benefits of vehicle security system is expected to hinder the global car security system market growth over the forecast period

Although car security system is provided with certain high-end models, car owners are still unaware of the benefits of this system. This pattern is quite prevalent in emerging economies where economic and mid-range cars are preferred due to limited purchase power. Generally, these types of cars are not equipped with vehicle security system, which in turn, is expected to hamper the global car security system market growth over the forecast period.

Market Opportunity

  1. Expansion of production plants in emerging economies is expected to offer lucrative growth opportunity

Key car manufacturers in the market are focused on shifting production plants or expanding existing plants in emerging economies, in order to capitalize growing demand for automobiles and benefit lower capital and labor costs in these regions. Domestic component suppliers have significant growth opportunity as global automakers prefer local manufacturers for component supplies. Automotive component markets in the Latin American countries such as Mexico are expected to benefit significantly from demand for aftermarket and OEM products. For instance, in September 2016, Audi AG, a Germany-based carmaker, inaugurated a production plant of Audi Q5 in San Jose, Mexico. In April 2016, Ford Motor Company invested US$ 1.6 billion on a new production plant in Luis Potosi, Mexico. Furthermore, in 2015, BMW AG, the Germany-based leading automobile manufacturer, announced the establishment of a new plant in San Luis Potosí, Mexico. The plant is expected to start production in 2019.

  1. Investing research and development activities, in order to offer affordable vehicle security system

Vehicle security system requires high installation cost, which restricts its adoption economic and mid-range cars. Manufacturers can invest in research and development activities, in order to innovate cost-efficient security system. This way, vehicle security system can be incorporated into economic as well as mid-range cars thereby providing excellent growth opportunities for market players.

Car Security System  | Coherent Market Insights

Source: Coherent Market Insights

Market Trends

  1. High adoption of telematics systems

Development of novel technologies and increasing inclination towards connected cars, consumers are increasingly preferring convenient, sophisticated, and efficient security systems. Modern car models are being equipped with telematics, which allows car owners to monitors their vehicle and map their location. These systems can send notification/alert to owners regarding forced vehicle entry, theft attempts, and actual theft. Moreover, manufacturers are providing monitoring systems that can be integrated with smartphones. These systems provide easy monitoring and remote access to the vehicle 24x7x365.

  1. Growing focus of OEMs on end-to-end solutions

Key manufacturers in the market are providing end-to-end solutions for car security systems. The authorized dealers also provide installation and maintenance services for vehicle security systems. However, local dealers and suppliers are not authorized to replace the security systems. This is done to gain strategic advantage and capitalize growth opportunities.

The Mid-range cars segment of global car security market is accounted for 57.8% in 2019 and is expected to grow at a CAGR of 6.4% during the forecast period.

Car Security System  | Coherent Market Insights

Source: Coherent Market Insights

Value Chain Analysis

Car Security System  | Coherent Market Insights

Competitive Section

Key companies operating in the global car security system market are Omron Corporation, Tokai Rika Co., Ltd., Valeo S.A., Continental AG, Delphi Automotive PLC, Robert Bosch GmbH, Denso Corporation, Mitsubishi Electric Corporation, and Tokai Rika Co., Ltd.

Key Developments

  1. Key companies in the market are focused on product launch, in order to gain competitive advantage edge in the market. For instance, in January 2018, OMRON Corporation showcased its artificial intelligence (AI), robotics, automation and sensing and control at the 2018 Consumer Electronics Show (CES) in Las Vegas, U.S.
  2. Major market players are focused on partnerships and collaborations, in order to enhance their market presence. For instance, in September 2016, Valeo S.A. partnered with Gemalto, a provider of digital security, to provide security by virtual car key system called Valeo InBlue, which will connected to smartphone.

Market Dynamics

Car security system or vehicle security system is an intelligent electronic device installed in the car, in order to dissuade theft of the vehicle itself, the content in it or both. Generally, high-end vehicles are equipped with car security system with basic anti-theft solutions in mid-range cars. Car security system varies according to the type of car. Generally, high-end vehicles are equipped with car security system with basic anti-theft solutions in mid-range cars. Over the years, automakers have introduced innovative vehicle security systems such as alarm system, which produces an audible albeit loud sound when there is an attempt of unauthorized entry. Furthermore, high-end luxury cars have immobilizer system, wherein the security system restricts the car’s movement by locking gear, steering wheel, lever or electronics systems.

Increasing car thefts worldwide has compelled the car owners to deploy advanced security systems in their vehicles. The increase in car enhanced security measures and technologies have encouraged car owners to adopt anti-theft solutions for their cars. Thus, improved security system and growing awareness among consumers regarding benefits of car security systems are expected to boost the global car security system market growth over the forecast period. According to Germany’s BKA Federal Police, in 2015, around 18,500 stolen vehicles were not recovered. According to Federal Bureau of Investigation (FBI), in 2012, around 721,053 motor vehicle thefts were reported. This was a 0.6% Y-o-Y increase in vehicle theft and a loss of US$ 4.3 Bn worth of vehicles.

Market Taxonomy

This report segments the global car security system market on the basis of car type, sales channel, product type and region. On the basis of car type, the market is segmented into Economic Cars, Mid-Range Cars, and Premium cars. On the basis of sales channel, the market is segmented into OEM, and aftermarket.  On the basis of product type, the market is segmented into immobilizer system, remote central locking system, alarm system and others.

For a comprehensive understanding of market dynamics, the market is analyzed across key geographical regions, namely, North America, Europe, Asia Pacific, Latin America and Middle East & Africa. Each of these regions is analyzed on the basis of market findings across major countries in these regions, for a macro-level understanding of the market.

Key features of the study:

  • This report provides an in-depth analysis of the global car security system market with market size (Thousand Units and US$ Million) and CAGR (%) over the forecast period: 2019 – 2027, considering 2018 as the base year
  • It elucidates potential revenue opportunities across different segments and explains attractive investment proposition matrix for this market
  • This study also provides key insights about market drivers, restraints, opportunities, new product launches or approvals, regional outlook, and competitive strategies adopted by leading players
  • It profiles leading players in the global car security system market based on the following parameters – company overview, financial performance, product portfolio, geographical presence, distribution strategies, key developments, and strategies
  • Key companies covered as part of this study include Omron Corporation, Tokai Rika Co., Ltd., Valeo S.A., Continental AG, Delphi Automotive PLC, Robert Bosch GmbH, Denso Corporation, Mitsubishi Electric Corporation, and Panasonic Corporation among others.
  • Insights from this report will allow marketers and management authorities of companies to make informed decisions with respect to future product launches, technology upgrades, market expansion, and marketing tactics
  • Various strategy matrices used in analyzing the global Car security system Market would provide stakeholders vital inputs to make strategic decisions accordingly

Detailed Segmentation:

  • Global Car Security System Market, By Car Type:
    • Economic Cars
    • Mid-Range Cars
    • Premium Cars
  • Global Car Security System Market, By Sales Channel:
    • OEM
    • Aftermarket
  • Global Car Security System Market, By Product Type:
    • Immobilizer system
    • Remote Central Locking System
    • Alarm System
    • Other Systems
  • Company Profiles
      • Omron Corporation
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Tokai Rika Co., Ltd.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Valeo S.A
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Continental AG
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Delphi Automotive PLC
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Robert Bosch GmbH
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Denso Corporation
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Mitsubishi Electric Corporation
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Panasonic Corporation
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates

*Browse all the market data tables and figures on “Global Car Security System Market - forecast to 2027”.

Table of Content

  1. Research Objective and assumption
    • Research Objectives
    • Assumptions
    • Abbreviations
  2. Market Purview
    • Report Description
      • Market Definition and Scope
    • Executive Summary
      • Market Snippet By Car Type
      • Market Snippet By Sales Channel
      • Market Snippet By Product Type
      • Market Snippet By Region
    • Coherent Opportunity Map (COM)
  3. Market Dynamics, Regulations, and Trends Analysis
    • Market Dynamics
      • Drivers
      • Restraints
      • Market Opportunities
      • Regulatory Scenario
      • Industry Trend
      • Merger and Acquisitions
      • New Product Approvals/Launch
  4. Global Car Security System Market, By Car Type, 2017 - 2027 ( Thousand Units and US$ Million)
    • Introduction
      • Market Share Analysis, 2017 and 2027 (%)
      • Segment Trends
    • Counterbalance
      • Introduction
      • Market Size and Forecast, 2019 - 2027, ( Thousand Units and US$ Million)
    • Warehouse
      • Introduction
      • Market Size and Forecast, 2019 - 2027, ( Thousand Units and US$ Million)
  5. Global Car Security System Market, By Sales Channel, 2017 - 2027 ( Thousand Units and US$ Million)
    • Introduction
      • Market Share Analysis, 2017 and 2027 (%)
      • Segment Trends
    • IC Engine Powered
      • Introduction
      • Market Size and Forecast, 2019 - 2027, ( Thousand Units and US$ Million)
    • Electric Powered
      • Introduction
      • Market Size and Forecast, 2019 - 2027, ( Thousand Units and US$ Million)
  6. Global Car Security System Market, By Product Type, 2017 - 2027 ( Thousand Units and US$ Million)
    • Introduction
      • Market Share Analysis, 2017 and 2027 (%)
      • Segment Trends
    • Product Type 1
      • Introduction
      • Market Size and Forecast, 2019 - 2027, ( Thousand Units and US$ Million)
    • Product Type 2
      • Introduction
      • Market Size and Forecast, 2019 - 2027, ( Thousand Units and US$ Million)
    • Product Type 3
      • Introduction
      • Market Size and Forecast, 2019 - 2027, ( Thousand Units and US$ Million)
    • Product Type 4,5
      • Introduction
      • Market Size and Forecast, 2019 - 2027, ( Thousand Units and US$ Million)
  7. Global Car Security System Market, By Regions, 2017 - 2027 ( Thousand Units and US$ Million)
    • Introduction
      • Market Share Analysis, By Region, 2017 and 2027 (%)
    • North America           
      • Introduction
        • Market size and Forecast, 2019 - 2027 ( Thousand Units and US$ Million)
      • By Segment
        • Market Size and Forecast, By Car Type, 2019 - 2027 ( Thousand Units and US$ Million)
        • Market Size and Forecast, By Sales Channel, 2019 - 2027 ( Thousand Units and US$ Million)
        • Market Size and Forecast, By Product Type, 2019 - 2027 ( Thousand Units and US$ Million)
      • By Country
        • U.S.
        • Canada
    • Europe
      • Introduction
        • Market size and Forecast, 2019 - 2027 ( Thousand Units and US$ Million)
      • By Segment
        • Market Size and Forecast, By Car Type, 2019 - 2027 ( Thousand Units and US$ Million)
        • Market Size and Forecast, By Sales Channel, 2019 - 2027 ( Thousand Units and US$ Million)
        • Market Size and Forecast, By Product Type, 2019 - 2027 ( Thousand Units and US$ Million)
      • By Country
        • Germany
        • Italy
        • U.K.
        • France
        • Spain
        • Russia
        • Rest of Europe
    • Asia Pacific
      • Introduction
        • Market size and Forecast, 2019 - 2027 ( Thousand Units and US$ Million)
      • By Segment
        • Market Size and Forecast, By Car Type, 2019 - 2027 ( Thousand Units and US$ Million)
        • Market Size and Forecast, By Sales Channel, 2019 - 2027 ( Thousand Units and US$ Million)
        • Market Size and Forecast, By Product Type, 2019 - 2027 ( Thousand Units and US$ Million)
      • By Country
        • China
        • Japan
        • Australia
        • India
        • ASEAN
        • South Korea
        • Rest of Asia Pacific
    • Latin America
      • Introduction
        • Market size and Forecast, 2019 - 2027 ( Thousand Units and US$ Million)
      • By Segment
        • Market Size and Forecast, By Car Type, 2019 - 2027 ( Thousand Units and US$ Million)
        • Market Size and Forecast, By Sales Channel, 2019 - 2027 ( Thousand Units and US$ Million)
        • Market Size and Forecast, By Product Type, 2019 - 2027 ( Thousand Units and US$ Million)
      • By Country
        • Brazil
        • Mexico
        • Argentina
        • Rest of Latin America
    • Middle East and Africa
      • Introduction
        • Market size and Forecast, 2019 - 2027 ( Thousand Units and US$ Million)
      • By Segment
        • Market Size and Forecast, By Car Type, 2019 - 2027 ( Thousand Units and US$ Million)
        • Market Size and Forecast, By Sales Channel, 2019 - 2027 ( Thousand Units and US$ Million)
        • Market Size and Forecast, By Product Type, 2019 - 2027 ( Thousand Units and US$ Million)
      • By Country
        • GCC Countries
        • South Africa
        • Rest of Middle East and Africa
  8. Competitive Landscape
    • Company Profiles
      • Omron Corporation
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Tokai Rika Co., Ltd.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Valeo S.A
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Continental AG
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Delphi Automotive PLC
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Robert Bosch GmbH
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Denso Corporation
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Mitsubishi Electric Corporation
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Panasonic Corporation
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
    • Analyst Views
  9. Section
    • Available Customizations
    • References
    • Research Methodology
    • About us and Sales Contact

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Research Methodology

Coherent Market Insights followsa comprehensive research methodology focused on providing the most precise market analysis. The company leverages a data triangulation model which helps company to gauge the market dynamics and provide accurate estimates. Key components of the research methodologies followed for all our market reports include:

  • Primary Research (Trade Surveys and Experts Interviews)
  • Desk Research
  • Proprietor Data Analytics Model

In addition to this, Coherent Market Insights has access to a wide range of the regional and global reputed paid data bases, which helps the company to figure out the regional and global market trends and dynamics. The company analyses the industry from the 360 Degree Perspective i.e. from the Supply Side and Demand Side which enables us to provide granular details of the entire ecosystem for each study. Finally, a Top-Down approach and Bottom-Up approach is followed to arrive at ultimate research findings.


Data Triangulation Methodology | Coherent Market Insights

Coherent Market Insights desk research is based on a principle set of research techniques:

  • National level desk research: It Includes research analysis of regional players, regional regulatory bodies, regional trade associations, and regional organization.
  • Multinational level desk research: The research team keeps a track of multinational players, global regulatory bodies, global trade associations, and global organization.

Coherent Market Insights has a large amount of in-house repository of industry database. This is leveraged as a burner for initiating a new research study. Key secondary sources include:

  • Governmental bodies, National and international social welfare institutions, and organizations creating economic policies among others.
  • Trade association, National and international media and trade press.
  • Company Annual reports, SEC filings, Corporate Presentations, press release, news, and specification sheet of manufacturers, system integrators, brick and mortar - distributors and retailers, and third party online commerce players.
  • Scientific journals, and other technical magazines and whitepapers.

Market Analysis | Coherent Market Insights

Preliminary Data Mining

The raw data is obtained through the secondary findings, in house repositories, and trade surveys. It is then filtered to ensure that the relevant information including industry dynamics, trends, and outlook is retained for further research process.

Data Standardization

Holistic approach is used to ensure that the granular and uncommon parameters are taken into consideration to ensure accurate results. The information from the paid databases are further combined to the raw data in order to standardize it.

Coherent Statistical model

We arrive at our final research findings through simulation models. Coherent Data Analytics Model is a statistical tool that helps company to forecast market estimates. Few of the parameters considered as a part of the statistical model include:

  • Micro-economic indicators
  • Macro-economic indicators
  • Environmental indicators
  • Socio-political indicators
  • Technology indicators

Data Processing

Once the findings are derived from the statistical model, large volume of data is process to confirm accurate research results. Data analytics and processing tools are adopted to process large chunk of collected informative data. In case, a client customizes the study during the process, the research finding till then are benchmarked, and the process for new research requirement is initiated again.

Data Validation

This is the most crucial stage of the research process. Primary Interviews are conducted to validate the data and analysis. This helps in achieving the following purposes:

  • It provides first-hand information on the market dynamics, outlook, and growth parameters.
  • Industry experts validates the estimates which helps the company to cement the on-going research study.
  • Primary research includes online surveys, face-to face interviews, and telephonic interviews.

The primary research is conducted with the ecosystem players including, but not limited to:

  • Raw Material Suppliers
  • Manufacturers
  • System Integrators
  • Distributors
  • End-users