Pro-Vigil, known for providing AI-driven remote video monitoring solutions, has released its latest research report, "The State of Physical Security Entering 2026."
This annual study, now in its sixth year, highlights the persistence of physical security issues with 88% of businesses reporting either an increase or stability in incidents in 2025, closely mirroring the 91% from 2024.
Physical security strategies at a crossroads
The report gathers insights from industry leaders in sectors such as construction, dealerships, retail, and manufacturing to explore how evolving crime patterns, economic challenges, and technological advances are influencing security strategies.
One significant finding is that while 12% of businesses noted a rise in security incidents, 76% observed no change, and 12% reported a decline. When incidents did occur, they often resulted in substantial operational setbacks, with 27% citing asset damage, 21% inventory impacts, and 18% facing project deadlines.
Economic challenges heightening security risks
Local crime and economic instability emerged as primary concerns for businesses
Local crime and economic instability emerged as primary concerns for businesses. Among those witnessing increased incidents, 20% attributed this to local crime surges, while 16% pointed to economic pressures.
Looking towards 2026, nearly half of respondents, 46%, expect economic uncertainty to negatively affect their physical security. Inflation (22%), unemployment (15%), and tariffs (14%), alongside interest rates (8%), are among the most pressing economic issues for security frameworks.
AI in security: Awareness grows, but use lags
As industries move forward, AI's role in physical security is gaining attention yet is not widely adopted. The report notes that 15% of businesses currently incorporate AI into their security strategies, a noticeable increase from 7% in 2024. Although 61% see AI as potentially effective in preventing security breaches, 60% admit they do not use AI, and 25% are uncertain if their systems include it. This indicates a significant opportunity for growth in AI adoption.
Future outlook: Security concerns persist
Despite increasing AI awareness, only 23% of companies revised their security approach in 2025, often due to a perceived sense of security or low incident rates.
However, concerns about crime and uncertainty continue to rise with 45% of respondents expressing heightened worries compared to the previous year. For 2026, 52% anticipate an increase in physical security incidents at their businesses.
Pro-Vigil, a provider of AI-enabled remote video monitoring (RVM), management and crime deterrence solutions, today published The State of Physical Security Entering 2026 research report.
The sixth annual study shows that physical security incidents remain persistent: 88% of respondents reported incidents at their business either increased or stayed the same in 2025, on par with the 91% who reported the same in 2024.
Physical security strategies
The survey polled business leaders across industries including construction, dealerships (car/truck/boat/RV), retail, manufacturing and more to understand how crime, economic conditions and technology are shaping physical security strategies in the year ahead. Key findings include:
Security Incidents Steady, Bottom Lines Remain at Risk
- In 2025, 12% of respondents reported an increase in physical (non-cyber) security incidents, while 76% said incidents stayed the same and only 12% saw a decrease.
- When incidents occur, they hit operations hard: respondents cited damage to assets (27%) as the top impact, followed by impact to inventory (21%) and project delays (18%).
Physical security risk
Local Crime and Economic Uncertainty Driving Concerns
Respondents looked at local conditions and the broader economy as key drivers of physical security risk:
- Among those experiencing more incidents, rising local crime (20%) and the state of the economy (16%) were stated as top factors behind the increase.
- Looking ahead, 46% of respondents said they fear economic uncertainty will negatively impact their business’s physical security in 2026.
- The most worrisome economic issues for security programs were inflation (22%), unemployment (15%), and tariffs (14%), followed by interest rates (8%).
Physical security strategy
AI Awareness Surges, but Adoption Still Lags
The 2026 report also tracks how businesses are thinking about and using AI in their physical security programs:
- 15% of respondents now say their physical security strategy utilises AI, more than double the 7% who reported using it in 2024.
- Perceptions have shifted even more dramatically: 61% believe AI can be a useful tool in stopping physical security incidents at their business, while 29% are unsure.
- Yet 60% still say they are not using AI for security, and a further 25% don’t know if their systems include AI, indicating significant room for opportunity and adoption.
Despite rising awareness of AI and ongoing incident levels, most organisations have been slow to change course: only 23% of respondents said their physical security strategy changed in 2025, and many who did not change pointed to a perceived lack of incidents or confidence that they are already secure.
Looking Ahead to 2026
The outlook for 2026 reflects ongoing anxiety about crime and uncertainty:
- 45% of respondents said they are more worried about crime than they were a year ago.
- A majority, 52%, expect physical security incidents at their business to increase in 2026.
