The majority of users would stop interacting with a brand after a breach.
Between the Equifax breach, the Cambridge Analytica-Facebook breach, and many more, 2018 has witnessed a significant amount of big-brand security breaches. These breaches put the personal information of millions at risk of exposure, affecting many users' trust of certain companies, according to the Ping Identity 2018 Consumer Survey: Attitudes and Behavior in a Post-Breach Era released on Wednesday.
The report surveyed more than 3,000 consumers in the US, UK, France, and Germany to study how customers felt in this post-breach era. With one in five people becoming victims of a data breach, according to the report, many people could have negative connotations with certain companies.
SEE: Cybersecurity strategy research: Common tactics, issues with implementation, and effectiveness (Tech Pro Research)
Of the respondents who fell victim to a data breach, 34% experienced financial lost, said the report. Following a breach, 78% of respondents said they would stop engaging with the brand online, and 36% said they would stop engaging with the brand completely, added the report. Security breaches not only infringe on the consumer's personal information but also their trust with the breached company.
Nearly half (49%) of respondents said they wouldn't engage a service or application that experienced a recent data breach. Some 37%, however, reported that they would use a recently breached online service if no other way of receiving the service it provided was available, added the report.
The report also studied how trust in brands fluctuated between age groups. Users under age 35 generally maintain a much higher trust of online services than those older than 55, which is logical, as younger users have grown up in a much more technologically integrated world. Users are not only more trustful of online services, but they are also more carefree with their sensitive data online, said the report. Some 54% of young users are more willing to enter their bank information in an online website or app than those from older generations.
However, the rise in security breaches has acted as a wake-up call to most users. In fact, 54% of respondents reported being more concerned with protecting their personal information now than they were prior to breaches. Additionally, 28% of users cited changing how they use social platforms to log in following the Cambridge Analytica scandal.
Check out this TechRepublic article for more information on how to keep your personal data secure.
The big takeaways for tech leaders:
- One in five users have been victims of a data breach, and out of that number 34% of them experienced financial loss. — Ping, 2018
- 54% of respondents are more concerned with protecting their personal data now than they were prior to the breach. — Ping, 2018
- You've been breached: Eight steps to take within the next 48 hours (free PDF) (TechRepublic)
- Data Caper: How Cambridge Analytica hoarded voters' personal details (ZDNet)
- Facebook data privacy scandal: A cheat sheet (TechRepublic)
- Survey: How much personal information are you willing to share for shopping discounts? (ZDNet)
- Why business can't keep the public safe from data breaches (TechRepublic)