British consumers likely to avoid organisations following a data breach
Customers in the UK are more likely to change their spending habits following a data breach than those in the US. That's according to research into consumer trust and spending habits.
In fact, 41% of UK customers would stop spending money with a business forever following a data security breach compared to just 21% of US consumers.
The research also found that:
- 26% of UK customers won't spend money with brands they don't trust to handle their data. That figure drops to just 18% for Americans
- Americans are more likely to be a victim of a security breach than Brits (44% as opposed to 38%)
- Retail and travel industries are among the least trusted industries on both sides of the Atlantic
- 56% of UK respondents were uncomfortable about giving out their credit card details over the phone. However, this figure dropped to just 42% for their American counterparts.
For UK businesses, the findings issue a stark warning about the potential consequences of a data breach.
According to a spokesperson for the report:
"Awareness of data security is something that is on everyone's radar, yet our UK and US surveys have highlighted some real differences of opinions and traits, when comparing attitudes to data and payment security between the two countries.
"UK consumers certainly seem more guarded with providing personal information, such as payment card details, over the phone, yet the US is catching up fast. Similarly, if a security breach has occurred at an organisation, Brits appear more likely to avoid that organisation in future, and instead go elsewhere. In my opinion, 2019 is the year that organisations need to take steps to provide far clearer assurances to consumers as to how their data is being captured, processed and stored otherwise customers are not going to wait, and they may find them going elsewhere for their purchase."
Smaller doesn't mean safer
British consumers shouldn't be complacent as the report shows that there is still a lack of awareness about cybercrime and data breaches. According to the findings, over half of UK respondents (55%) felt they could trust a local store with their data more than a national company.
But, according to UK government statistics, smaller organisations are experiencing a significant number of cyber-attacks. In fact, with 42% of small and micro businesses identifying at least one breach or attack over a 12 month period.
So, more small and medium sizes businesses are being affected by data breaches than ever before. And, in many cases, cybercriminals are specifically targeting smaller companies. This is because they are less likely to invest in robust cybersecurity processes. So, when handing over your valuable data you need to be aware of the risk. Regardless of whether you are giving to a national bank or a local hairdresser.
Be aware. Be safe from a data breach
At Hayes Connor, we want to reduce the number of data violations taking place across the UK. To do this, we are helping to raise awareness of this issue. We are also educating people and businesses to prevent similar mistakes from happening.
Alternatively, if you have been the victim of a data breach or cyber fraud, find out how we can help you to recover any losses. Or give us a call our helpline to discuss your case in more depth.
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