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Who can benefit most from subscriptions

Q&A with Chris Ritter

After launching Security Center Subscription, the pay-as-you-go version of Security Center, our customers and channel partners had some insightful feedback to share with us. This new ownership option, which was introduced in response to the shifting buying behaviors of clients with a preference towards a more predictable budget and lower upfront costs, gives clients access to the on-premises Security Center system with a term contract that includes updates, support and trials to cloud services.

Feedback and benefits aside, everyone wants to know: who's buying into this new flexible ownership model? In this short Q&A, Chris Ritter, Director of Sales, North East US at Genetec, shares his views on the types of installations and clients that can benefit most from Security Center Subscription.

Q: What's your general impression about Security Center Subscription? Do you feel the security market is ready for this change?   

CR: When Genetec first launched Security Center Subscription, it was a game changer. This may be a first for the security industry, but pay-as-you-go has been around for a while. Microsoft and other big software companies introduced a subscription model years ago and they have done very well. This was an inevitable shift, and being with Genetec for a while now, I'm not surprised that we are one of the first ones in the industry to take the leap.  

Most clients that I speak to are excited at the prospect of moving expenses from capital budgets to operational budgets. They also like the idea of having one price that includes support and updates. For our integrators, subscriptions will change the way they do business. Those with forward-thinking mindsets are quick to catch on to the benefits, and are ready to adapt to the more service-oriented business model.  

Q: Can you elaborate on how the channel is adapting to the new subscription model?

CR: Savvy integrators are bundling expenses of hardware and software in the subscription fee, making it even easier for clients to buy into the pay-as-you-go offering. They're also finding clever ways to propose Security Center Subscription to schools or other federal agencies. For instance, public bids are required by schools and government agencies when a project's cost reaches a certain amount, say $5,000. Integrators are now asking - how many cameras with software licenses can we bundle for a price of $4,999/year to avoid a public bid? It's a new strategy that could change the landscape of government projects.  

Q: What industries are showing the most interest in subscription? Where have you had success?   

CR: Retail stores and city entities are the quickest to show interest in the flexible ownership model. It's an easy way to expand operations and add a small number of cameras to a growing system without going through the red tape to get big budgets. The health and fitness club industry is also an interesting market. A lot of national gyms lease their exercise equipment, so it makes sense for them to also lease their security equipment.  

The biggest success we see is from seasonal businesses. Waterparks, ski hills, or any outdoor activity centers that need security systems but are only open 50% of the year. Security Center Subscription is a more affordable option that gives them the ability to have 100% of cameras online during their peak season, and then scale down the number of cameras to the minimum during the off-season. Temporary events in cities such as concerts, marathons or parades would benefit in the same way.  

Another industry that can really benefit is property management companies. Managing security is built-in to their agreement, and Security Center Subscription gives them a no-hassle, affordable option which can be bundled into their operational expenses.   

Clients with retrofit installations or take-overs might also find subscriptions more interesting. For example, a business might want to upgrade their video surveillance software, but doesn't want to go back to management to request additional funds. It's an easy transition to a new software at an affordable cost, and they only have to commit to a monthly term.

Q: Any final thoughts?

CR: It's important for people not to confuse Security Center Subscription with a cloud-based solution. Security Center subscription is server-based, and there are options for additional cloud storage or services if required. Apart from that, the entire move to a subscription model reminds me of the days when IP security solutions were first introduced. There was initial hesitancy, but once the market was educated, the shift happened. It's the same for this new flexible ownership model. Those that do not jump onboard now, might be left behind.

Test drive Security Center Subscription today, with a 90-day trial of our latest Compact edition, ideal for smaller sites.