The lock market - Italy

1.2 The global and European market

The access solutions industry generates more than $*** billion annually worldwide [***]. However, the market for access solutions is very fragmented: standards are not harmonized and needs vary locally. For example, the market share of Assa Abloy, the largest player in the sector, is only **%. Several trends are affecting the market, such as:

Urbanization which creates a demand for new buildings and therefore access solutions; The growing need for security; The growing importance environmental issues.

The market is also evolving according to internal trends in the sector: the offer is being renewed with the emergence of technological innovations (***) but also thanks to the evolution of the regulation.  

Sales of locks and hinges by value UE, ****-****, in billion euros (***) Source: ****

The European market for locks and hinges has been growing steadily since ****, generating a turnover of almost €** billion in ****. Germany is the leading European manufacturer with a turnover of €*.* billion in ****, far ahead of Austria (***).

Main countries producing locks and hinges in Europe EU, ****, in millions of euros (***) Source: ****

1.3 The booming domestic market

In this section, we will use the ATECO code **.**, which refers to the manufacture of locks and more generally to the manufacture of locks, padlocks, keys, handles, hinges, straps and similar hardware for buildings, furniture, vehicles, etc.

Sales of locks and hinges manufacturing activities Italy, ****-****, in billion euros Source: ****

The production of locks and hinges generated sales of almost €*.* billion in ****, following a steady increase between **** and ****, with a CAGR of *.*% over the same period.

1.4 The Italian trade balance

This section is based on HS code **.**, which considers metal locks and padlocks, and the keys corresponding to these different locks.

Exports and imports of locks and padlocks and related keys decreased slightly between **** and ****. However, Italy's trade balance was in large surplus in **** and ****, with a coverage rate of around ***% for both years. 

Commercial scale for locks, padlocks and keys Italy, ****-****, in million dollars Source: ****

In particular, the charts below illustrate exports and imports of locks and focus only on the following HS codes:

******: metal locks for motor vehicles (***); ******: metal furniture locks (***); ******: metal locks for purposes other than motor vehicles and furniture (***). 

Imports and exports of different types of locks Italy, ****, in millions of dollars Source: ****

In ****, exports and imports of metal locks not for furniture or motor vehicles were largely predominant, reaching $*** billion and $** billion respectively. Exports and imports of automotive locks accounted for $** million and $** million respectively, much more than furniture locks.

Main export destination countries Italy, ****, as a percentage of lock exports Source: UNComTrade Germany and France were the main recipients of Italian exports of locks (***), with the two countries accounting for **% of Italian exports in ****. Spain, Poland and Brazil together accounted for **.*% of exports.

Main ...

2.1 The construction sector

The dynamics of the locksmith sector are linked to cyclical factors, which influence both the market trend in general and the construction sector in particular [***].

Value and evolution of construction investments Italy, ****-****, in billions of euros and percentages Source: ANCE The construction sector is dynamic: investment in construction (***).

The SaMoTer Observatory (***) in ****.

2.2 The window and door market supported by tax incentives

The window and door market is largely linked to construction investment. Demand for windows and doors has been increasing since ****, although the growth rate has dropped from *.*% in **** to *.*% in **** [***]. Thus, according to the UNICMI (***) reached €*.* billion for €**.* billion of investments in construction. In the residential segment, the majority of demand is generated by renovations.

Evolution of the sales of metal doors and windows Italy, ****-****, in billion euros Source: ****

The market for metal windows and doors grew by *.*% in **** to €*.** billion. This upward trend is expected to continue in the coming years, but is largely dependent on the renovation market.

The majority of sales come from the residential segment, specifically replacements and renovations in this sector, which represent **% of metal window and door sales, while the "new" segment represents only **%. In recent years, there has been a slight increase in sales in the industrial segment (***). The majority of customers are individuals: **% of sales are to individuals. Sales to large and small companies account for **% and **.*% of turnover, respectively.

  Demand for windows and doors generated by tax incentives Italy, ****-****, in billion euros Source: ****

Tax incentives for energy retrofitting of buildings also supported the demand for doors and windows in ...

3.1 The different actors

Source: ****

Sometimes the roles of these different players converge: security systems can be installed by the manufacturer or the distributor. Advice and customisation of the offer are therefore playing an increasingly central role.

Lock manufacturers

Assoferma, the national association of lock, hardware and handle manufacturers, groups together companies specialising in locks and handles. Among them are:

Alban Giacomo S.p.a (***), more than *** employees and over **,*** items produced. Antipanic S.r.l Assa Abloy Italia S.p.a: with a turnover of *.* billion euros in ****, the Swedish group Assa Abloy is a world leader in the production of locks and door opening solutions for the construction industry CISA S.p.a Giesse S.p.a Hoppe S.p.a Krona Koblenz S.p.A Savio Thesan S.p.a SFS Intec S.r.l Viro S.p.a

You will find an exhaustive list of these companies (***) here .

Blacksmiths, key players in the market

The ERSI association (***) certifies the qualification of professional lock specialists. This offers the customer a guarantee of competence. The number of qualified locksmiths varies by region, with the vast majority in Lombardy. The complete list is available here .

The distributors

Lock manufacturers may approach customers directly, but ...

3.2 A concentrated market

  Lock and hinge manufacturing companies EU, ****, number of companies per country Source: Eurostat Although Italy ranks third in the European Union in terms of turnover, there were only *** Italian lock and hinge manufacturers in ****, far fewer than in Germany. The Italian market is highly concentrated and has remained relatively stable in recent years. Since ****, the number of companies has increased slightly: there were *** companies in Italy in **** and *** in ****. Evolution of the number of lock and hinge manufacturing companies Italy, ****-****, number of companies Source: ****

The vast majority of these businesses are limited companies (***). Only **% were contractors, self-employed or self-employed. 

  Legal form of the companies manufacturing locks and hinges Italy, ****, in percentage of total enterprises Source: ****

4.1 A constantly evolving offer

The lock market includes a wide variety of more or less traditional products, with a range of end customers.

Different technologies

Mechanical locks are the most traditional and include keyed master cylinders, lock cylinders, lock cases, lever locks and accessories. They are distinguished from electromechanical locks, which rely on a security mechanism operated by peripheral devices such as keypads, fingerprint readers, buttons, etc.

In both cases, whether they are more traditional mechanical locks or electronic locks, the products are constantly evolving to meet market demand. For example, the lever systems for mechanical locks are being upgraded to include intelligent and functional levers. For electronic locks, the collaboration of the various players in home automation is becoming fundamental: the electronic lock must in fact be connected to the home automation system and integrated into the door and the house. [***]

Different sectors

Locks can be installed by individuals but also in the private sector. For example, there are locks for :

The industrial sector: industrial locks form a product group with a separate market for OEMs and professionals. These are locks that are integrated into another product, such as a vending machine, parking meter, telephone booth or locker for public or industrial use, often ...

4.2 The development of smart locks

The market for window and door security, and therefore more generally for home and building security, has been significantly affected by recent technological innovations: this has influenced directly the appearance of more modern locks or indirect with the appearance of substitute products. This technological craze is both a threat and an opportunity for the traditional and historic operators of the lock market.

A connected/smart lock allows you to open a door with a mobile phone, using a mobile app, by moving your smartphone closer to the lock, or remotely via internet access.

Globally, the connected locks market size is expected to reach $**.* billion by ****, according to a new report by Grandviewresearch which estimates an average annual growth rate of **.*% over the period ****-****.

  Estimated evolution of the market size for connected locks World, ****-****, in billions of dollars Source: Grand View Research    

In ****, the smart home market in Italy grew by **% compared to ****, reaching a value of €*** million. Security solutions continue to dominate the market (***), followed by heating and lighting solutions and connected devices.

The entry of industry leaders into this niche market

Most traditional lock companies have developed their range of smart locks with varying degrees of success. ...

4.3 Price developments

  Changes in the producer price index for the lock and hinge manufacturing industry Italy, ****-****, base ***= *** Source: Istat    

This graph shows the evolution over time of prices for locks and hinges, sold in the domestic and foreign markets, in the initial marketing phase. Prices in the initial marketing phase have increased since ****, with a slight decrease in ****. This is even more evident in the domestic market.

5.1 Laws governing the locksmith profession and products

Law */**** provides that skills can be attested and certified by compliance with the UNI reference standard. The UNI *****:**** standard establishes the requirements in terms of knowledge, skills and competences necessary to be qualified as a locksmith and safe technician. [***]

Currently, among the many draft standards under consideration, many of which will become harmonised standards under the Construction Products Directive **/***/EEC, particular attention is being paid to the following:

Revision of standard EN ***:****: Emergency escape devices Revision of standard EN ****:****: Panic devices for emergency exits EN ***** : Electrically operated emergency exit systems EN *****: Electrically operated emergency exit systems EN **** : Cylinders for locks EN ***** : Locks. [***]

6.1 Positioning of the actors

• Assa Abloy
• ISEO Serrature
• Mottura
• Allegion
• Gretsch-Unitas
• Antipanic S.r.l
• Alban Giacomo S.p.a
• Schlegel Giesse S.p.a
• CISA S.p.a
• Viro S.p.a
• SFS Intec S.r.l
• Hoppe S.p.a
• Nuova star S.p.a