Two-thirds (66%) are unlikely to shop or do business with an organization that experiences a breach where their financial and sensitive information is stolen
A majority of consumers are willing to walk away from businesses entirely if they suffer a data breach, with retailers most at risk, according to Gemalto. Two-thirds (66%) are unlikely to shop or do business with an organization that experiences a breach where their financial and sensitive information is stolen. Retailers (62%), banks (59%), and social media sites (58%) are the most at risk of suffering consequences with consumers prepared to use their feet.
Surveying 10,500 consumers globally, Gemalto found that, across all ages, 93% are placing the blame squarely on businesses and would think about acting against them. Social media sites worry consumers the most, with 61% concerned companies in this space don't adequately protect consumer data, followed by banking websites (40%).
Companies held responsible as consumers act
With the rising awareness of data protection and data privacy issues, consumers now believe the majority (70%) of responsibility for protecting their data rests on the company holding it. This has made data protection a major consideration for consumers when interacting with a brand, with 82% wanting organizations to have greater online security measures. These concerns are prompted by 91% believing that there are applications and websites they currently use which pose a risk to the protection and security of their personal identifiable information (PII).
Despite consumers placing the responsibility firmly in the hands of organizations, only a quarter feel as though companies take the protection and security of customer data very seriously. Taking matters into their own hands, consumers are not giving businesses anywhere to hide, as the majority of respondents have either already provided organizations with feedback on what security methods they are offering (35%), have considered it (19%) or might in the future (33%).
A troubled past and frustrated future for consumers
It's unsurprising that consumers are frustrated with the state of data protection within organizations. A quarter of those surveyed have already been a victim of fraudulent use of their financial information (26%), 19% through fraudulent use of their PII, and 16% of identity (ID) theft. Worse, consumers have no faith that things are going to improve, as two-thirds (66%) are worried that at some point in the future their personal information will be stolen.
Even with the fear that they may become victims of a data breach, consumers aren’t planning to change their behaviour online as they believe responsibility lies with the companies holding their data. This could explain why over half (55%) of respondents continue to use the same password across different accounts.
In addition to switching brands, young people are more prepared to go further and participate in legal action against brands that lose their data than older generations. Nearly seven in 10 (67%) 18-24-year olds revealed they would take fraudsters and brands that suffered a breach to court, compared to just 45% for 65s and over, with a further 28% of generation z (18-24 year olds) at least considering it.