5 Ways Alarm Service Companies Can Create Recurring Revenue with Smart Service Plans

    Apr 09, 2025

    Most alarm service companies run on a one-and-done model. Install the system, walk away and hope the client calls again when they need something. But in today’s market, that’s not how you build sustainable growth. The companies pulling ahead are the ones stacking recurring revenue.

    Guess what? You don’t need to overhaul your entire business to make it happen. You just need to shift how you package and offer your services. And instead of thinking “how can I make more money?”, ask better questions:

    • How can you deliver more value?
    • How can you make your customers’ lives easier?
    • How can you solve more problems for your customer?

    In this blog, you’ll discover how recurring revenue changes the game for your alarm service business. Plus, we’ll detail 5 real-world examples of recurring revenue models you can start using today.

    First, Why Is Recurring Revenue So Powerful?

    Here’s why it matters:

    • It improves cash flow
    • It creates predictable income
    • It builds loyalty and reduces churn
    • It increases the lifetime value of every customer

    Plus, when customers pay monthly or annually, they’re more likely to call you again for upgrades, repairs and add-ons. That’s how you turn a single install into a long-term relationship.

    Step 1: Package Your Services into Tiers

    People don’t always want a custom quote. Sometimes they want a clear, simple plan they can choose from. Try offering tiered service plans like:

    Basic Plan: Monitoring only, ongoing support

    Standard Plan: Monitoring plus annual maintenance and firmware updates

    Premium Plan: Includes remote support, camera checks, system upgrades and priority service calls

    You can even add a Home Automation package that includes smart device setup, app integrations or network support. Just remember to address the answers to the questions detailed above.

    Step 2: Turn Small Services into Monthly Add-Ons

    Not everything needs to be bundled. Some clients are happy with a base plan but may want extra options. Offer add-ons like:

    • Cloud video storage for cameras
    • Quarterly system health checks
    • Battery replacement and cleaning
    • Remote access troubleshooting
    • Smart lock or video doorbell support

    Think of them as the “extras” menu. These small charges add up across dozens or hundreds of clients and can make a serious impact on yearly revenue.

    Step 3: Offer Discounts for Prepaid Annual Plans

    Give people the option to pay monthly or annually and reward them for choosing the full year upfront. This improves your cash flow and keeps the customer locked in longer.

    Add something like:

    • “Pay annually and get one month free”
    • “Free camera checkup with annual plan”
    • “Priority scheduling for all yearly subscribers”

    Make it feel like a smart decision, not just a sales pitch.

    Step 4: Promote Service Plans After the Sale

    Right after an install is the perfect time to introduce a service plan. The customer is excited. You’re top of mind. And they’re thinking long term.

    Don’t wait for them to come to you. Include the plan info in your follow-up emails, installation packets and even on your invoices. Remember: the easiest customer to convert is the one who already paid you.

    Step 5: Build Automation Into Your Website

    If someone fills out a form or books a quote online, show them the service plan options before they submit. Let them choose to add monitoring or smart home support right then and there.

    Even better, create a pricing page that clearly breaks down each plan and what’s included. You can also get creative and test all kinds of upsells, downsells and cross-sells for maximum revenue.

    Recurring Revenue Isn’t Just for Big Companies Anymore

    You don’t need to be a national brand to offer service plans. You just need to make it easy, valuable and aligned with what people already expect from your business.

    At Slamdot, we help alarm service providers design websites and digital strategies that generate consistent revenue. That means landing pages, email marketing and strategic upsells that don’t feel pushy.

    Want to see how we can help you grow faster? Contact us today!

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