Consumers hold firms responsible for data breaches

While consumers are growing increasingly aware of the risks involved with online data breaches, they put responsibility for protecting their personal data firmly in the hands of businesses, a new survey suggests.

A survey of 9000 consumers in 11 markets including Australia, conducted by Gemalto for its 2016 Data Breaches and Customer Loyalty report, found that just 30% believe they are responsible for securing and protecting their personal data. The remaining 70% place the onus on businesses.

But only 29% of consumers believe companies are taking protection of their personal data very seriously, even as 58% believe their data will be stolen in the future.

These fears do not seem sufficient to change behaviours, as 80% of respondents use social media even though 59% believe use of these networks poses a great risk to their personal data. Likewise, 87% use mobile banking even though 34% believe this leaves them vulnerable to cybercriminals.

In the event of theft of personal data, the majority of respondents said they would stop using a retailer (60%), bank (58%) or social media site (56%).

Two-thirds of consumers also indicated they would be hesitant to do business with an organisation that suffered the theft of financial or sensitive information during a data breach.

The report also shows that 21% of consumers have already been affected by fraudulent use of financial information, 15% have experienced fraudulent use of their personal details and 14% have suffered identity theft.

“Consumers have clearly made the decision that they are prepared to take risks when it comes to their security, but should anything go wrong they put the blame with the business,” Gemalto CTO for Data Protection Jason Hart said.

“The modern-day consumer is all about convenience and they expect businesses to provide this, while also keeping their data safe. With the impending threats of consumers taking legal action against companies, an education process is clearly needed to show consumers the steps they are taking to protect their data.”

Image courtesy Richard Patterson under CC

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