. According to a new report on the American market for security system integration, IMS Research found that integrators are increasing their RMR (Monthly Recurring Revenue) through service and maintenance contracts and forecasts that these will account for 33.4% of the total market in 2014.According to the study, service and maintenance contracts are not only a means of stabilizing cash flow over a long-term period by security system integrators, as they are also the most profitable part of most projects. Margins for service and maintenance can be over 30% while margins for equipment are often less than 20%
"Companies that are offering a value-added service contract are seeing strong growth and greater resilience to the economic crisis than integrators that don't. Companies with high RMR levels are also more attractive to investors and buyers," said report author and IMS Research analyst Ewan Lamont.
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