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DIY / MIY  SHOULD YOU BE CONCERNED OR THINK ABOUT SELLING IT
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Ken,
    Rob Baxter just wrote a compelling article on “Alarmageddon” that appeared in the Monitoring Supplement of SDM in January.  http://www.sdmmag.com/articles/90819-are-diy-miy-heralding-alarmageddon
    There has been a lot of press recently on the new wave of DIY and even MIY (monitor it yourself).   A list of both large companies and start-ups announced DIY home automation solutions at the Consumer Electronics Show this month http://www.securityinfowatch.com/article/12033295/ces-2015-security-technology-report .  Beyond the CES Show, USA Cellular just announced a DIY entry Westinghouse just announced a door lock that is also a Z-Wave and Wi-Fi hub for home automation.  The market is in full transition and the RMR/Monitored Alarm model is being wrestled into something that a typical small dealer will not recognize and, in fact, into something that is outside of what the typical dealer can compete with.  It is the end of an era at some level.
    Baxter’s article in SDM offers a solution and shows what the “Typical Dealer” can do to compete with these evolutions and sustain the business model that underscores the industry.
    The battle is not lost and the business model still works for the typical dealer.
Keith Jentoft, President
Videofied – verified alarm systems
www.videofied.com
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RESPONSE
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    Maybe I read the article too quickly but I do not agree that self installation is going to be the death of alarm companies, that self monitoring is going to be the death of central stations, that central stations are busy weeding out false alarms rather than focusing on reporting crimes in progress.  I do agree that verification, especially video verification, such as Videofied, adds value to central station monitoring and increases the likelihood of confirming crime in progress and reducing false alarms being dispatched.
    I've been getting lot of calls from companies who intend to enter the DIY business.  And why not.  Here's what you need:  a good web site; a central station; an equipment vendor who will drop ship; and some capital.  You don't need more space than chair and table.  Figure out how to market your product so that you break even on the equipment and shipping and make a profit on the monitoring.  You can sell as much as traffic on your web site can handle, as much as your equipment vendor can ship it out, and as fast as your central station can confirm receipt of a signal.  Not really a major investment.  Well, you will need our Nationwide Agreement and probably some advice along the way.
    How concerned do you need to be about self monitoring?  Not very in my opinion.  Getting notice that your alarm went off on your smart phone isn't going to do you much good when you're in the house, in your bed, and there is a real break in.  Same for a smoke signal.  You may not be in position to notify the police or fire departments.  Even a not so hot alarm salesman should be able to convince a consumer or business owner that a professional central station monitoring the alarm is going to provide far more effective protection and notice than a self monitored system.  Sounds like the industry is afraid that customers are going to go back to just a local, really loud bell, no monitoring.  Sure the self monitoring works out just fine when 99 percent of the alarms are false.  But that 1 percent can kill you.  
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COMMENT ON GUARD RESPONSE FROM JAN 15, 2015 ARTICLE
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Ken
    Replacing out guard response with video/audio still does not guarantee a response. Tucson Police took over 6 hours to respond to a call from an employee of a Tucson Library. The employee called in a duress call due to a gang fight that broke out in the library. By the time Tucson Police showed up, the library had gone off of lock down and reopened. Situations like this have become the norm in Tucson. Private sector response to crimes, just like private sector package delivery and private sector schools, will fill the need to have a responsible, liable, private sector response. 
     How do you collect from clients? Since the guards bill me, if the client is past due on payment, I resort to dispatching the police. This works in Tucson because the Tucson Police never go after the alarm company and only go after the citizen for revenues. Clients who refuse to pay guard service, of $25.00 to $35 per dispatch, quickly have a change of heart when they face $200.00 charges from Tucson Police.   
     Training of Guards responding compared to Police? Before we even go there, let's remember that Tucson Police never responded to 50% of the alarm calls they received last year. Out of the 50% they did respond to, responses were often 3 hours plus after the alarm occurred. This left the client, who is under the assumption that police are responding, showing up at a possible crime scene with no response from TPD. 
     Guard response allows for an alarm to operate how an alarm is suppose to operate. The goal of an alarm is not to verify a burglary, but to warn of a possible burglary, "an early detection system." The alarm industry and police have changed the goal from securing the client, to preventing false alarms. If you look at city ordinances, they all say the main reason for the ordinance is to reduce false alarms, not to protect the citizens. The Tucson Assistant Chief of Police clearly stated that the sole reason of the Tucson Alarm Ordinance was to raise a million dollars. The official ordinance states the ordinance is to reduce false alarms. Neither the police nor the ordinance stated that the ordinance was intended to protect the public. 
Thank You, 
Roger D. Score, President
Arizona Alarm Dealers Association
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