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1

ID: 220725

URL: https://venturebeat.com/2021/11/18/report-nearly-half-of-online-shoppers-will-cut-ties-with-a-retailer-if-personal-info-is-compromised/

Date: 2021-11-18

Report: Nearly half of online shoppers will cut ties with a retailer if personal info is compromised

Hear from CIOs, CTOs, and other C-level and senior execs on data and AI strategies at the Future of Work Summit this January 12, 2022. Learn moreA new report from NTT Application Security has found that 94% of consumers understand the risks of online shopping. However, 46% say they would stop shopping with a retailer altogether if their own credit card or personal information was leaked. The findings also state that 35% of consumers indicated that they would continue shopping with a retailer that experienced a security breach, while only 25% said they would take their business elsewhere. The results suggest that although a significant majority of consumers generally understand the risks associated with shopping online during the holiday season, they ultimately prioritize the benefits of ecommerce over cybersecurity. Additional survey findings include insights around consumer trust when using mobile apps and steps online shoppers take to protect their information. Even though 26% of respondents have already experienced credit card or identity theft as a direct result of shopping online — with 10% of those instances having occurred during the COVID-19 pandemic — most consumers still feel that their personal information is protected. Additionally, 58% of respondents feel that their data is protected when shopping online, 40% said they feel more secure when shopping online with a large retailer versus a small business, and online shoppers feel significantly more secure storing their credit card information in retail mobile apps (57%) compared to ecommerce sites (19%). These figures indicate a sense of trust between consumers and ecommerce retailers. A recent study from Juniper Research projects that fraudulent activities will cost merchants more than $20 billion by the end of 2021. With the onus falling on retailers to secure their online storefront or potentially risk paying settlements that can result from a breach, it is now critical for merchants to invest in application security testing that scans for exploitable vulnerabilities without interrupting their business during the holiday shopping season. The data cited within the latest NTT Application Security research is derived from a SurveyMonkey Audience survey conducted by NTT Application Security from October 5, and October 6, 2021, among 1,057 US consumers ages 18 and older that buy personal goods online. The modeled error estimate for this survey is plus or minus three percentage points. Read the full report from NTT Application Security.