Consumers will abandon brands that don’t protect their data. Photo: Shutterstock
Organizations have been warned they need strong cybersecurity protections to limit customer exposure to cyberthreats or risk seriously damaging their brand, according to a new study.
And companies that fail to protect Australians from cyber threats can expect people to abandon them.
Almost 60% of Australian consumers say they would stop spending money with a brand if they were the victim of a phishing attack involving that brand, and 60% say they would lose trust in the brand if it was leaking personal information to a spoofed version of their website, according to a new Mimecast Brand Trust report.
“Online brands need to factor in the cost of acquiring customers, because losing customers to a cyberattack – which could have been avoided – is a major concern,” said Garrett O’Hara, technology technologist. field manager at Mimecast APAC, said Information age.
In a digitally driven world, companies have a mandate to protect people’s data and take action to prevent them from falling victim to cyber attacks involving their brand names, the study found.
“Organizations need to put brand protection measures in place because it is clear that in the event of an attack the customer is likely to opt out and turn to a more trustworthy brand,” O said. ‘Hara.
This is a clear and current threat, with the global survey including responses from 1,000 Australian consumers finding that no country is immune and averages still high in all countries surveyed.
In Australia, 77 percent of those surveyed said they had received phishing emails in their inbox and 49 percent of those surveyed were directed to a spoofed website from a web search.
Consumers clearly know that businesses have a responsibility to secure their email communications and guard against bogus versions of their websites.
Some 78 percent of Australian respondents expect the services to be safe to use, and more than two-thirds believe the responsibility lies with the brand.
O’Hara said people want to feel safe knowing that “the brands they interact with online are legitimate and confident that they don’t pass their details on to cybercriminals.”
Why the most trusted industry is also the most common threat
When it comes to trust, not all industries are created equal.
In Australia, the three most trusted industries are online banking, healthcare and utilities, according to research.
In particular, online banking is one of the most trusted industries.
Consumer confidence in this industry is in part due to the role banks play in communicating with customers about threats and scams, providing advice on what to watch out for and how best to protect yourself.
However, most phishing emails are banking related, which puts people at considerable risk.
Knowing this, cyber attackers are exploiting the trust consumers place in bank brands – and they are getting more and more sophisticated, making it harder for people to distinguish real emails from fake ones and, therefore, them. messages to trust.
But O’Hara highlighted one positive that came out: Banks were forced to invest more in communicating with customers about threats and scams, providing advice to consumers on what to watch out for and to offer advice on how they can protect themselves.
“Other sectors should be encouraged to learn from this,” he added.
When it comes to consumers’ biggest fears about brands, it’s about leaking personal information to scammers and losing money.
If either of these happens, not only will consumers stop trusting the affected brands, but they will stop spending money, whether it’s their favorite brand, that they use regularly or just one with which they are familiar.
And in terms of the most exploited phishing attacks, there were delivery services, online banking, and entertainment services.
“With recent lockdowns and a spike in online communication, it makes sense that the areas most exploited for phishing attacks are delivery services, online banking and entertainment services,” he said. added.