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Identity ManagementCybersecurity NewsBanking/Finance/InsuranceRetail/Restaurants/Convenience

Shoppers Blame Retailers for Security Breaches

retail 2 responsive default security
March 28, 2016

When it comes to security breaches, consumers are clear about who they hold responsible.

According to a new study from retail services provider Interactions, “Security Hacks and the Lasting Impact on Retailers,” 75% of consumers believe that keeping shopper information safe is the retailer’s responsibility.

Nearly half of all shoppers believe that a retailer could avoid a security breach by investing in better technology. When asked about the other ways to avoid security breaches, 43% of shoppers indicated the use of credit cards with chip technology, 32% said stricter laws enforced against hackers, and 14% said the use of mobile wallets.

The study also found that 43% of shoppers do not trust companies to keep their personal information safe. Of these, 30% do not think companies invest in enough security measures.

While consumers are ready to place the burden of protecting their data on retailers, they have also become surprisingly accepting of the risk of breaches. The study found that 64% of shoppers have accepted security breaches to be part of the shopping process. Another 53% say that security breaches are a risk they’re willing to take in exchange for convenience.

Consumers may say they accept the risks, but their behavior still punishes retailers who suffer hacking attacks. Forty percent of shoppers avoid retailers that have been hit by security breaches. For those who shop at a retailer that has experienced a security breach, 39% spend less per trip than before, 67% use cash instead of credit or debit cards, and 60% shop online with one specific card designated to online purchases to monitor its activity.

In addition, many consumers still alter their shopping behavior to minimize the chances of a breach affecting them. Thirty-four avoid shopping online and 50% avoid shopping on their mobile phones due to the fear of security breaches.

Read more: http://www.interactionsmarketing.com/retailperceptions/2016/03/security-hacks-and-the-lasting-impact-on-retailers/
 

KEYWORDS: cyber security data breach data security data theft hackers mobile wallet retail security security breach security technology

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