What is the market size for private security guards today and in the next 5 years in the US?

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What is the market size for private security guards today and in the next 5 years in the US?

The private security guard market size in the US is approximately $44Billion in 2017. This year security guard services saw a revenue increase of 6.5%. The industry is anticipating a continual 5% increase in market size over the next five years. I have triangulated some information to conclude that in five years, market size will have increased to $55.8 Billion. This increase is partly driven by more corporate spending on security services in the U.S.

market overview

According to information in a Guardian Newspaper Report, the US has one and a half times more security guards than it does law enforcement officers. The industry is currently dominated by three companies. The first two, Securitas& G4S are foreign run businesses. Allied Universal is a major player that is based inside the U.S. All three account for 27% of the US security market revenue received annually.

market size

The US market size private security guards is approximately $44 billion in 2017. This figure represents outsourced and in house spending. The outsourced security market segment is $24.5 billion. The 2017 White Page for Contract Security Industry states that technology integration based services are rising in popularity quickly. Private security outsourcing businesses currently dominate the US market. 75% of the market's revenue are from traditional patrol service sales.

market forecast

My research did not result in any pre-compiled data about the market size over the next five years. I was able to calculate some figures derived from statistics from the Summit Security Report. The report claims that the US will increase security service spending 5% annually to 2019. By adding a 5% increase to the $44 Billion Dollar 2017 market size. I was able to predict that the 2018 market size will be $46 Billion. Using the same formula I was able to calculate market size of 2018 and 2019. For the market size from 2020-2022, I compared the 5% spending growth with employment growth in the industry, which is also 5% thru 2024. Because of an inherent relation of trends in market size and employment growth within an industry, I am assuming that a 5% market size increase annually over the next five years is accurate.

calculations

2018: $44B+$2.2B (5% Market Size Gain)=$46B Market Size
2019: $46B+$2.3B (5% Market Size Gain)=$48.3B Market Size
2020: $48.3B+$2.41B (5% Market Size Gain)=$50.7B Market Size
2021: $50.7B+$2.5B (5% Market Size Gain)=$53.2B Market Size
2022: $53.2B+2.6 (5% Market Size Gain)=$55.8B Market Size

Conclusion

The private security market in the US is has seen growth in 2016 and 2017. It is also expected to see a steady 5% gain over the upcoming five years to $55.8 Billion in 2020. Systems integration and security consulting services are in rising demand for 2017. The market is currently dominated by conventional patrol services. It can be assumed that the rising popularity of technological integration will end that time honored trend soon.






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